As public health concerns surrounding the coronavirus continue to grow, Governor Ralph Northam’s declaration of a state of emergency has triggered Virginia’s anti-price gouging statutes designed to protect consumers from paying exorbitant prices for necessary goods and services during an emergency.
“When you’re trying to make sure that you and your family have all the necessities in order to protect yourselves against illness, the last thing you want to deal with is a scam or exorbitant price for a needed service or product,” said Virginia Attorney General Mark Herring. “The sad reality is that there are unscrupulous folks out there who will take advantage of public health crises in order to make more money.
“Virginia law offers protections for folks who find themselves in need of things like medicines, cleaning products, hand sanitizers and other necessities during a public health crisis.” Herring said. “I would encourage all Virginians to pay attention to any prices that seem too high and contact my office as soon as possible if you think someone may be illegally overcharging for necessary goods or running a scam.”
Enacted in 2004, Virginia’s Post-Disaster Anti-Price Gouging Act prohibits a supplier from charging “unconscionable prices” for “necessary goods and services” during the thirty-day period following a declared state of emergency. Items and services covered by these protections include but are not limited to water, ice, food, cleaning products, hand sanitizers, medicines, personal protective gear and more. The basic test for determining if a price is unconscionable is whether the post-disaster price grossly exceeds the price charged for the same or similar goods or services during the ten days immediately prior to the disaster.
Suspected violations of Virginia’s Anti-Price Gouging Act should be reported to Attorney General Herring’s Consumer Protection Section for investigation, as violations are enforceable by the Office of the Attorney General through the Virginia Consumer Protection Act.
Consumers can contact Attorney General Herring’s Consumer Protection Section for information or to file a complaint: by phone at (800) 552-9963 or by email at consumer@oag.state.va.us
Additionally, Attorney General Herring has warned Virginians to be wary of scams related to the coronavirus. Herring urges residents to look out for emails that claim to be from the Centers for Disease Control and Prevention (CDC) or experts saying that they have information about the coronavirus. For the most updated information, visit the CDC and the World Health Organization websites.
The attorney general also warns consumers not to click on any links from unknown sources. This could lead to downloading a virus on your computer or phone. Herring urges residents to ignore any offers, online or otherwise, for a coronavirus vaccine. Residents seeing any advertisements for prevention, treatment or cures should ask themselves: If there had been a cure for the disease would they be hearing about it through an advertisement or sales pitch?
“Thoroughly research any organizations or charities purporting to be raising funds for victims of the coronavirus,” the attorney general cautions. ”Look out for “investment opportunities” surrounding the coronavirus. According to the U.S. Securities and Exchange Commission, there are online promotions claiming that the products or services of certain publicly-traded companies can prevent, detect, or cure the disease and that the stock of these companies will dramatically increase because of that.
