Legal FAQs
Can businesses raise their prices during disasters?
“Price gouging” is where a seller takes advantage of a disaster by selling certain goods or services at excessive prices. This practice is prohibited under Section 17.46(b)(27) of the Texas Business & Commerce Code, which is part of the Texas Deceptive Trade Practices Act.
This law says that during a disaster declared by the Texas governor or U.S. president, sellers may not sell or lease the following necessities at an excessive price:
- fuel
- food
- medicine
- lodging
- building materials
- construction tools
- other necessities
You can file a complaint if a business is engaged in price gouging during a disaster. The Texas Attorney General (AG) recommends that you file a consumer complaint with their office.
For more information, please see the AG’s page on price gouging.
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Last updated November 10, 2023