Attorney General Bonta Issues Consumer Alert on Price Gouging Following State of Emergency Declaration in Orange County Due to Chemical Incident

OAKLAND - California Attorney General Rob Bonta today issued a consumer alert following the Governor's declaration of state of emergency in response to an overheating tank of methyl methacrylate at an aerospace plastics facility in Garden Grove, California. Beginning May 21, a chemical storage tank containing approximately 5,000 to 7,000 gallons of methyl methacrylate, a volatile and highly flammable liquid, began heating up and emitting toxic fumes at a GKN Aerospace facility in the City of Garden Grove within Orange County. Tens of thousands of residents from surrounding areas have been evacuated amid the possibility of the tank spilling or exploding. In today's alert, Attorney General Bonta reminds all Californians that price gouging during a state of emergency is illegal under Penal Code Section 396. Californians who believe they have been the victim of price gouging should report it to their local authorities or to the Attorney General at oag.ca.gov/report. To view a list of all price gouging restrictions currently in effect as a result of proclamations by the Governor, please visit the Governor's Office of Emergency Services Price Gouging webpage.

"Amid the developing situation in Orange Country, I urge residents in the impacted area to stay alert, follow all evacuation orders immediately, and monitor official channels for critical updates. California's price gouging law protects people impacted by an emergency from illegal price gouging on housing, gas, food, and other essential supplies," said Attorney General Bonta. "If you see price gouging, I encourage you to immediately file a complaint with my office online at oag.ca.gov/report or contact your local police department or sheriff's office. Stay safe, California."

Stay Up to Date:

Orange County Fire Authority:

City of Garden Grove: https://ggcity.org/emergency

California law generally prohibits charging a price that exceeds, by more than 10%, the price a seller charged for an item before a state or local declaration of emergency. For items a seller only began selling after an emergency declaration, the law generally prohibits charging a price that exceeds the seller's cost of the item by more than 50%. This law applies to those who sell food, emergency supplies, medical supplies, building materials, and gasoline. The law also applies to repair or reconstruction services, emergency cleanup services, transportation, freight and storage services, hotel accommodations, and rental housing. Exceptions to this prohibition exist if, for example, the price of labor, goods, or materials has increased for the business.

Violations of the price gouging statute are misdemeanors. The Attorney General and local district attorneys and city prosecutors can enforce the statute.