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ARTICLE · 01 JUNE 2020

New York Sues Distributor For "Appalling" Price Gouging

Frankfurt Kurnit Klein & Selz PC
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New York Attorney General Letitia James sued Quality King Distributors, alleging that the company engaged in price gouging during the COVID-19 pandemic.

United StatesConsumer Protection
Jeffrey Greenbaum
Jeffrey Greenbaum
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New York Attorney General Letitia James sued Quality King Distributors, alleging that the company engaged in price gouging during the COVID-19 pandemic.  Specifically, the AG alleged that Quality King dramatically increased its wholesale prices for Lysol products, in violation of the state's price gouging law, "simply to line its own pockets and profit off New Yorkers during a time of crisis." 

New York law prohibits selling consumer products that are necessary for the health, safety, and welfare of consumers for an "unconscionably excessive price."  

The AG alleged that, prior to the pandemic, Quality King sold Lysol spray to retail stores for about $4.25 per can.  The AG charged that, over the last several months, Quality King has repeatedly raised its prices for the spray, and, in March, charged about $9.15 per can.  The AG said that Quality King sold more than 46,000 cans of Lysol Spray at improperly inflated prices.  The lawsuit also alleges that Quality

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This post first appeared in Frankfurt Kurnit's Focus on the Data blog (www.focusonthedata.com). It provides general coverage of its subject area. We provide it with the understanding that Frankfurt Kurnit Klein & Selz is not engaged herein in rendering legal advice, and shall not be liable for any damages resulting from any error, inaccuracy, or omission. Our attorneys practice law only in jurisdictions in which they are properly authorized to do so. We do not seek to represent clients in other jurisdictions.

Originally published by the New York Legal Ethics Reporter

www.fkks.com

This alert provides general coverage of its subject area. We provide it with the understanding that Frankfurt Kurnit Klein & Selz is not engaged herein in rendering legal advice, and shall not be liable for any damages resulting from any error, inaccuracy, or omission. Our attorneys practice law only in jurisdictions in which they are properly authorized to do so. We do not seek to represent clients in other jurisdictions.

www.fkks.com

This alert provides general coverage of its subject area. We provide it with the understanding that Frankfurt Kurnit Klein & Selz is not engaged herein in rendering legal advice, and shall not be liable for any damages resulting from any error, inaccuracy, or omission. Our attorneys practice law only in jurisdictions in which they are properly authorized to do so. We do not seek to represent clients in other jurisdictions.

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