Price Gouging

[FritzPaul]

When I listened to WWL-Radio's Garland show this afternoon, a caller said he used Expedia to try and reserve 4 rms for 3 nites in Lafeyette and the total was $18,000+. $1,334 per rm per nite for 1 king size bed or 2 full sized bed. In the info-age society, this Inn ought to know this gouging is going to come back and bite them in the you know where! Hopefully our state's price gouging laws can nail these SOB's and anyone like them that try to take advantage of a bad situation.

[bevgo]

I heard about that earlier. I sure hope he reported them. This is totally illegal

[wayoutfront]

I am not buying that.

[CentralFlGal]

Sorry, I've not yet Googled Alabama's, Mississippi's or Louisiana's attorneys general, but here is Florida's on price gouging:

July 7, 2005

Attorney General Warns Against Price Gouging

Hurricane Dennis prompts declaration of emergency

TALLAHASSEE – Attorney General Charlie Crist today warned unscrupulous businesses operators against taking advantage of Florida residents and visitors as they cope with emergency conditions brought on by Hurricane Dennis. Crist mobilized his office and staffed a toll-free hotline at 1-866-9-NO-SCAM (1-866-966-7226) to handle consumer calls over possible price gouging. The Attorney General's action follows Governor Jeb Bush's official declaration of an emergency for all of Florida.

"Many Floridians are still recovering from last year's devastating storms, and the last thing they need to worry about now is someone trying to take advantage of them," said Crist. "We take price gouging very seriously, and every credible allegation will be thoroughly investigated by our office."

Those who suspect price gouging should call the Attorney General's hotline at 1-866-966-7226, and investigators will look into the complaint. Florida law prohibits extreme increases in the price of such commodities as food, water, hotels, ice, gasoline, lumber and equipment needed as a direct result of an officially declared emergency.

During last year's record-setting hurricane season, the Attorney General's Office received 8,911 complaints through its price gouging hotline. The office initiated 58 formal investigations and filed 13 price gouging lawsuits against hotels, generator businesses, tree removal companies and other businesses. To date the Attorney General's Office has recovered more than $500,000 in restitution for Florida consumers from settlements and other resolutions. Other investigations and settlement negotiations are ongoing.

Under Florida law, a commodity's price is unconscionable if the increase in the price represents a "gross disparity" from the average price of that commodity during the 30 days immediately prior to the declared emergency. This applies unless the increase is attributable to additional costs incurred by the seller or to national or international market trends.

Violators of the price gouging statute are subject to civil penalties of $1,000 per violation, up to a total of $25,000 for multiple violations committed in a single 24-hour period. A new law enacted this year criminalizes price gouging and provides that during a declared state of emergency, any person who offers goods and services for sale to the public without possessing an occupational license commits a second-degree misdemeanor.

Crist also cautioned consumers to be wary of business scams that might arise in the wake of Hurricane Dennis, including building repair and tree removal companies that come into storm-affected areas. The Attorney General said residents should deal whenever possible with established local companies when they contract for repairs or arrange financing to pay for any repairs that might not be covered by insurance.

Consumers should be wary of any unsolicited "contractor" who knocks on the door with an offer to fix a damaged roof or windows. Before signing any contracts, Floridians should check the contractor's license, payment terms and other provisions, Crist said.

[BUD]

Reminds me after Hugo a bag of ice was $30 for a 5lb bag and milk was $50 a gallon!!!!!

[CajunMama]

It's against the law here to price gouge. I really don't believe that story especially knowing the hearts of the people here. Now maybe Expedia is doing the price gouging....they have to make a profit. If in doubt call the hotel yourself.

[crazycajuncane]

It's against the law here to price gouge. I really don't believe that story especially knowing the hearts of the people here. Now maybe Expedia is doing the price gouging....they have to make a profit. If in doubt call the hotel yourself.

Expedia to try and reserve 4 rms for 3 nites in Lafeyette and the total was $18,000+. $1,334 per rm per nite for 1 king size bed or 2 full sized bed.

You know what kind of PROFIT that is??? It's hard to believe. I would like to know what chain that is for.

[FritzPaul]

I am not buying that.

During the show another caller called in to verify the other caller's story.

[CentralFlGal]

If you suspect price gouging, the following information should help (Florida's is a few responses above this one).

In Alabama:

Consumer Affairs Division: 1-800-392-5658 or 334-242-7335. Attorney General main information line: 334-242-7300.

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In Mississippi:

Consumer Protection Division: 800-281-4418 or 601-359-4230. Fax: 601-359-4231

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In Louisiana:

Consumer Protection Section: 1-800-351-4889. In Baton Rouge, the local number is 225-326-6465. Fax: (225) 326-6499

[CajunMama]

It's against the law here to price gouge. I really don't believe that story especially knowing the hearts of the people here. Now maybe Expedia is doing the price gouging....they have to make a profit. If in doubt call the hotel yourself.

Expedia to try and reserve 4 rms for 3 nites in Lafeyette and the total was $18,000+. $1,334 per rm per nite for 1 king size bed or 2 full sized bed.

You know what kind of PROFIT that is??? It's hard to believe. I would like to know what chain that is for.

I would believe 133.40/night possibly but not 1334.00 Plus the callers numbers don't add up...it just sounds fishy to me.

[wayoutfront]

It's against the law here to price gouge. I really don't believe that story especially knowing the hearts of the people here. Now maybe Expedia is doing the price gouging....they have to make a profit. If in doubt call the hotel yourself.

Expedia to try and reserve 4 rms for 3 nites in Lafeyette and the total was $18,000+. $1,334 per rm per nite for 1 king size bed or 2 full sized bed.

You know what kind of PROFIT that is??? It's hard to believe. I would like to know what chain that is for.

I would believe 133.40/night possibly but not 1334.00 Plus the callers numbers don't add up...it just sounds fishy to me.

sounds fishy to me to..... maybe someone clicked 1st class airfare, for 20 people and the rooms

[HurriCat]

Can't buy THOSE numbers - EIGHTEEN GRAND?

Anyways, the fact that there has been and will continue to be gouging can be no surprise to anyone. Greed is eternal.
Here in Orlando/Goldenrod area, I did not see or hear about local rip-offs, but we heard plenty about jacked up ice and water prices in more coastal areas that were harder hit. I guess the greed seeks out the greatest desperation for the easiest pickings. Did you hear the stories about people buying roadside generators and chainsaws, only to get their nice, heavy box home and find it full of cinderblocks or whatever. True stories or urban legends?

This is also probably a Preparedness Forum thread.

[Foladar]

The numbers are close.
3 nights (1,334 per night) x 4 rms is 16,008 .. plus tax ? plus fees etc

Edit: But no clue where he found it, found some as cheap as 49.00 per night

[Ixolib]

When I listened to WWL-Radio's Garland show this afternoon, a caller said he used Expedia to try and reserve 4 rms for 3 nites in Lafeyette and the total was $18,000+. $1,334 per rm per nite for 1 king size bed or 2 full sized bed. In the info-age society, this Inn ought to know this gouging is going to come back and bite them in the you know where! Hopefully our state's price gouging laws can nail these SOB's and anyone like them that try to take advantage of a bad situation.

Sounds a little extreme/fishy. Tyree wouldn't have let that one go un-challenged!! Robinette just ain't got it...

[MomH]

There are always some "bad guys." Thank goodness there are also a lot of "good guys" during troubled times. After Charley my daughters drove to Okeechobee to get gas and ice. One of the local eateries filled 4 huge chests for them and wouldn't accept a penny, even as a tip.

[TexasSam]

After working in hotels for 16 years that price you saw is know as a "rack rate" it's the max price for the room that they normaly never use. when your in a hotel look at that card on the door. for 1 the room would be say $200.00 for 2 $400.00 3 $300.00 ect it's like hotels in monoply, don't get used much, but it's there.