Sponsors (21)
The bill increases consumer protections, transparency, and enforcement capacity during market shocks—benefitting low-income consumers and improving oversight—at the cost of higher compliance and reporting burdens, legal uncertainty, potential supply risks, and new federal spending that may be borne by businesses and taxpayers.
Low-income consumers will likely pay lower prices during exceptional market shocks because the bill bans grossly excessive pricing and empowers the FTC and state attorneys general to act.
Consumers and small businesses gain stronger legal recourse and potential restitution because the FTC and state attorneys general can seek damages and penalties for abusive pricing.
The FTC receives $1.0 billion through FY2033, giving the agency sustained funding to carry out investigations, enforcement, and program activities related to the law.
Many businesses (public and private), especially small and mid-size firms, will face higher compliance, reporting, and litigation costs because of new FTC/SEC requirements and enforcement risk, costs that may be passed to consumers or reduce competition.
The presumption of violation during exceptional market shocks combined with a high rebuttal burden may chill legitimate temporary price increases, risking supply refusals and shortages for consumers.
Ambiguous terms (e.g., 'grossly excessive price', 'exceptional market shock') and broad FTC discretion increase legal uncertainty and litigation risk for firms trying to know whether they're covered.
Based on analysis of 8 sections of legislative text.
Bans "grossly excessive" prices, defines enforcement standards and presumptions during market shocks, requires SEC disclosures for affected issuers, and funds the FTC with $1 billion.
Official title: To make price gouging unlawful, to expand the ability of the Federal Trade Commission to seek permanent injunctions and equitable relief, and for other purposes.
Introduced July 17, 2025 by Janice D. Schakowsky · Last progress July 17, 2025
Makes it illegal to sell goods or services at "grossly excessive" prices and gives the Federal Trade Commission tools to identify and enforce against such pricing, especially during major market disruptions. Requires public companies that experienced an "exceptional market shock" to disclose quantitative and narrative details about price, volume, cost, and margin changes in their next Form 10‑Q or 10‑K filing, and provides $1 billion to the FTC to carry out enforcement and related work.