Business Law class: Price Gouging
- Based on these readings, define price gouging in the context of COVID-19.
- What was the intention of the state legislature, or the “legislative intent,” behind the drafting of Penal Code Section 396?
- On April 3, 2020, California Governor Gavin Newsom issued an executive order to thwart price gouging in the context of COVID-19. Skim and analyze: 10E Governor Executive Order N-44-20.pdf. In what ways did the Governor try to extend Section 396 in issuing his executive order?
- Analyze the two examples –On May 25, 2020, an individual was charged with hoarding and price gouging N95 masks. Then-U.S. Attorney for the Southern District of New York Geoffrey Berman provided that the criminal defendant allegedly spent over $200,000 to accumulate masks to sell at inflated prices. Read: 10F ICE Criminal Charge for Hoarding N95 Masks.pdf On April 7, 2020, investigators seized 50,000 masks from a warehouse located off Warm Springs Boulevard in Fremont, with the individual being issued a citation. No charges were ultimately filed. Read: 10G Warm Springs Masks Seized.pdf Determine the key differences between the case in Warm Springs and the case in New York. Specifically, one was charged with price gouging with respect to N95 masks, while the other was not. Why is that?