[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 3892 Introduced in Senate (IS)]
<DOC>
119th CONGRESS
2d Session
S. 3892
To prohibit retail food stores from price gouging and engaging in
surveillance-based price setting practices, and for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
February 12, 2026
Mr. Lujan (for himself, Mr. Merkley, Ms. Rosen, Mrs. Gillibrand, and
Mr. Heinrich) introduced the following bill; which was read twice and
referred to the Committee on Commerce, Science, and Transportation
_______________________________________________________________________
A BILL
To prohibit retail food stores from price gouging and engaging in
surveillance-based price setting practices, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,

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This Act may be cited as the ``Stop Price Gouging in Grocery Stores
Act of 2026''.

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(a) Prohibition.--An operator of a retail food store may not sell
or offer for sale an item at a grossly excessive price.
(b) Affirmative Defense.--An operator of a retail food store does
not sell or offer for sale an item at a grossly excessive price in
violation of subsection (a) if the retail food store demonstrates to
the Commission that the increase in the price of the item involved is
directly attributable to additional costs that are--
(1) not within the control of the retail food store; and
(2) incurred by the retail food store in procuring,
acquiring, distributing, or providing the item.
(c) Required Guidance.--Not later than 180 days after the date of
the enactment of this Act, the Commission shall promulgate, pursuant to
section 553 of title 5, United States Code, regulations with respect to
violations of subsection (a) that shall include guidelines on what
constitutes (for purposes of this Act)--
(1) a market;
(2) a grossly excessive price for an item; and
(3) an excessive price for an item.
(d) Definition of Grossly Excessive Price.--
(1) In general.--For purposes of subsection (a) and the
guidelines required by subsection (c), the Commission shall
define the term ``grossly excessive price'' using any metric it
deems appropriate.
(2) Definition considerations.--In formulating the
definition described in paragraph (1), the Commission shall
consider whether to provide that such term shall include a
price for an item that is an amount equal to or greater than
120 percent (or a lesser percentage, as determined appropriate
by the Commission) of the average price for such item in the
market during the 6-month period preceding the sale or offer
for sale that allegedly violates subsection (a).

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(a) Prohibition.--An operator of a retail food store may not engage
in surveillance-based price setting, including by--
(1) adjusting the price of any item for a consumer
(directly or indirectly) based on the personal information of
the consumer, including such personal information collected
using facial recognition technology; or
(2) using an electronic shelf label to change the price of
an item for a consumer based on the personal information of
such consumer.
(b) General Exceptions.--An operator of a retail food store does
not engage in surveillance-based price setting in violation of
subsection (a) if the retail food store demonstrates to the Commission
that each of the following conditions are met:
(1) A difference in the price of an item is based solely on
reasonable costs associated with providing the item to
different consumers.
(2) A discounted price of an item is offered to members of
a particular group that relates to occupation, age, military
service, student status, or other factors approved by the
Commission, based on publicly disclosed eligibility criteria.
(3) Any discount or reward with respect to an item is
offered uniformly to all consumers who meet the disclosed
eligibility criteria.
(4) Any personal information is used solely to offer or
administer the discount or reward and is not used for any other
purpose, including targeted advertising and surveillance-based
price setting.
(c) Exceptions for Use of Biometric Data.--Notwithstanding
subsection (a), an operator of a retail food store may use biometric
data of an adult consumer if such consumer chooses to voluntarily
verify the identity of such consumer by providing such biometric data,
if such retail food store--
(1) informs the consumer or the legally authorized
representative of the consumer in writing that such biometric
data is being collected, stored, or used by such retail food
store;
(2) informs the consumer or the legally authorized
representative of the consumer in writing of the specific
purpose and length of term for which such biometric data is
being collected, stored, and used;
(3) informs the consumer or the legally authorized
representative of the consumer in writing of the specific
circumstances under which biometric data is shared with law
enforcement;
(4) receives a written release executed by the consumer or
the legally authorized representative of the consumer for the
collection, storage, or use of such biometric data; and
(5) does not sell such biometric data to, or share such
biometric data with, any third party.

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(a) Requirement.--A retail food store that uses facial recognition
technology at such retail food store shall notify consumers of such
retail food store, in plain and simple language, about such use and the
intended purpose of such technology and use through clear and
conspicuous signage placed at the main entrance to the retail food
store.
(b) Limitation.--For purposes of this section, the term ``retail
food store'' does not include an online entity.

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(a) Prohibition.--An operator of a retail food store larger than
10,000 square feet--
(1) may not use an electronic shelf label or any digital
shelf display technology in such retail food store; and
(2) shall use a non-digital presentation of the price of
each item in such retail food store.
(b) Rule of Construction.--Nothing in this section may be construed
to prohibit a retail food store from providing a consumer, based on the
purchase history of such consumer, a discounted or promotional price in
accordance with the conditions described in section 3(b).
(c) Limitation.--For purposes of this section, the term ``retail
food store'' does not include an online entity.

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(a) Enforcement by Federal Trade Commission.--
(1) Unfair or deceptive acts or practices.--A violation of
section 2(a), 3(a), 4(a), or 5(a) (or a regulation promulgated
under such section) shall be treated as a violation of a rule
defining an unfair or deceptive act or practice prescribed
under section 18(a)(1)(B) of the Federal Trade Commission Act
(15 U.S.C. 57a(a)(1)(B)) and as a violation of section 5(a) of
such Act (15 U.S.C. 45(a)) regarding unfair methods of
competition.
(2) Powers of commission.--The Commission shall enforce
section 2(a), 3(a), 4(a), and 5(a) (and any regulations
promulgated under such sections) in the same manner, by the
same means, and with the same jurisdiction, powers, and duties
as though all applicable terms and provisions of the Federal
Trade Commission Act (15 U.S.C. 41 et seq.) were incorporated
into and made a part of this Act. Any retail food store that
violates such sections (or any regulations promulgated under
such sections) shall be subject to the penalties and entitled
to the privileges and immunities provided in the Federal Trade
Commission Act.
(3) Authority preserved.--Nothing in this Act shall be
construed to limit the authority of the Commission under any
other provision of law.
(4) Regulations.--The Commission may promulgate, pursuant
to section 553 of title 5, United States Code, any regulations
the Commission determines necessary to carry out the provisions
of this Act.
(b) Actions by States.--
(1) In general.--In any case in which the attorney general
of a State, or an official or agency of a State, has reason to
believe that an interest of the residents of such State has
been or is threatened or adversely affected by an act or
practice in violation of section 2(a), 3(a), 4(a), or 5(a) (or
a regulation promulgated under such section), the State, as
parens patriae, may bring a civil action on behalf of the
residents of the State in an appropriate State court or an
appropriate district court of the United States to--
(A) enjoin such act or practice;
(B) enforce compliance with such section (or such
regulation);
(C) obtain, for each such violation, the greater
of--
(i) the actual monetary damages incurred
from the violation; or
(ii) $3,000; or
(D) obtain any restitution, penalties, and other
legal or equitable relief as the court may deem just
and proper.
(2) Rule of construction.--Nothing in this subsection may
be construed to prevent an attorney general, official, or
agency of a State from exercising the powers conferred on the
attorney general, official, or agency by the laws of the State
to conduct investigations, to administer oaths or affirmations,
or to compel the attendance of witnesses or the production of
documentary or other evidence.
(c) Private Right of Action.--
(1) In general.--A consumer injured by an act or practice
in violation of section 2(a), 3(a), 4(a), or 5(a) (or a
regulation promulgated under such section) may bring in an
appropriate district court of the United States an action to--
(A) enjoin the violation;
(B) subject to paragraph (2), obtain, for each such
violation, the greater of--
(i) the actual monetary damages incurred
from the violation; or
(ii) $3,000; or
(C) obtain any restitution, penalties, and other
legal or equitable relief as the court may deem just
and proper.
(2) Willful or knowing violations.--If the court finds that
the defendant acted willfully or knowingly in committing a
violation described in paragraph (1), the court shall increase
the amount of the award to an amount that is 3 times the amount
available under paragraph (1)(B).
(3) Costs and attorney's fees.--The court shall award to a
prevailing plaintiff in an action under this subsection the
costs of such action and reasonable attorney's fees, as
determined by the court.
(4) Limitation.--An action may be commenced under this
subsection not later than 5 years after the date on which a
consumer first discovered or had a reasonable opportunity to
discover the violation.
(5) Nonexclusive remedy.--The remedy provided by this
subsection shall be in addition to any other remedies available
to the consumer.
(6) Invalidity of pre-dispute arbitration and joint action
waivers.--Notwithstanding any other provision of law, a pre-
dispute arbitration agreement or pre-dispute joint action
waiver between a retail food store and a consumer shall not be
valid or enforceable for purposes of this subsection.

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(a) In General.--Nothing in this Act may be construed to preempt,
displace, or supplant any State law, except to the extent that a
provision of State law conflicts with a provision of this Act, and then
only to the extent of the conflict.
(b) Greater Protection Under State Law.--For purposes of this
section, a provision of State law does not conflict with a provision of
this Act if such provision of State law provides additional protections
to consumers protected under this Act with respect to price gouging,
surveillance-based price setting, collecting personal information, or
using facial recognition technology in retail food stores.

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There is authorized to be appropriated for the fiscal year 2026
$5,000,000 (to remain available until September 30, 2032) to carry out
this Act.

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In this Act:
(1) Biometric data.--The term ``biometric data'' means data
generated by automatic measurements, including data gathered
through the use of facial recognition technology, or other
representations of the biological characteristics of a
consumer, including--
(A) fingerprints;
(B) voice prints;
(C) iris or retina scans;
(D) gait; and
(E) other unique biological patterns.
(2) Commission.--The term ``Commission'' means the Federal
Trade Commission.
(3) Electronic shelf label.--The term ``electronic shelf
label'' means electronic and wireless paper (E-paper) displays
or digital price tags that present product and pricing
information.
(4) Electronic surveillance technology.--The term
``electronic surveillance technology'' means a technological
method, system, or other tool of surveillance used to observe,
monitor, or collect information related to an consumer,
including sensors, cameras, device tracking, biometric
monitoring, facial recognition technology, or other forms of
observation or data collection that are capable of gathering
personal information about a consumer.
(5) Facial recognition technology.--The term ``facial
recognition technology'' means technology that facilitates or
otherwise enables an automated or semi-automated process that--
(A) assists in identifying a consumer based on the
physical characteristics of the face of such consumer;
or
(B) logs characteristics of the face, head, or body
of a consumer to infer the emotion, associations,
activities, or location of such consumer.
(6) Item.--The term ``item'' means a specific and distinct
product, good, or commodity available for sale.
(7) Non-digital presentation of price.--The term ``non-
digital presentation of price'' means--
(A) a sign that offers the unit price for 1 or more
brands or sizes of a given item;
(B) a sticker, stamp, sign, label, or tag affixed
to the shelf upon which the item is displayed; or
(C) a sticker, stamp, sign, label, or tag affixed
to the item.
(8) Personal information.--The term ``personal
information'' means any quality, feature, attribute, or trait
of a consumer that is reasonably capable of being associated
with, or could be reasonably linked to, directly or indirectly,
a particular consumer or a household of a particular consumer,
including--
(A) any immutable characteristic, including race,
ethnicity, and eye color;
(B) any mutable characteristic, including address,
weight, citizenship, and family or parental status;
(C) identifiers, including a real name, alias,
postal address, unique personal identifier, online
identifier, Internet Protocol address, email address,
account name, social security number, driver's license
number, passport number, and other similar identifiers;
(D) commercial information, including records of
personal property, products or services purchased,
obtained, or considered, and other purchasing or
consuming histories or tendencies;
(E) biometric data;
(F) internet or other electronic network activity
information, including browsing history, search
history, and other information regarding interaction by
such consumer with a website, application, or
advertisement;
(G) geolocation data;
(H) audio, electronic, visual, thermal, olfactory,
and other similar information;
(I) professional or employment-related information;
(J) educational information, including educational
experience, qualifications, and affiliations;
(K) inferences drawn from any of the information
described in this paragraph and used to create a
profile about such consumer reflecting the preferences,
characteristics, psychological trends, predispositions,
behavior, attitudes, intelligence, abilities, and
aptitudes of such consumer;
(L) interests, including the political, personal,
and professional affiliation of such consumer;
(M) financial circumstances, including personal or
household wealth, income, property, debt, and credit
history; and
(N) actions, habits, behaviors, and attributes of
such consumer, whether in a physical or digital
environment.
(9) Pre-dispute arbitration agreement.--The term ``pre-
dispute arbitration agreement'' means any agreement to
arbitrate a dispute that has not yet arisen at the time of the
making of the agreement.
(10) Pre-dispute joint action waiver.--The term ``pre-
dispute joint action waiver'' means an agreement, including as
part of a pre-dispute arbitration agreement, that would
prohibit, or waive the right of, a party to the agreement from
participating in a joint, class, or collective action in a
judicial, arbitral, administrative, or other forum, concerning
a dispute that has not yet arisen at the time of the making of
the agreement.
(11) Price.--The term ``price'' means the amount charged to
a consumer in relation to a transaction, including any related
cost, fee, and other material term of the transaction that has
a direct bearing on the amount paid by the consumer for the
item sold or offered for sale to the consumer.
(12) Retail food store.--The term ``retail food store'' has
the same meaning given the term in section 3 of the Food and
Nutrition Act of 2008 (7 U.S.C. 2012).
(13) Surveillance-based price setting.--The term
``surveillance-based price setting'' means offering, setting,
or informing a customized price for an item for a specific
consumer or group of consumers, based, in whole or in part, on
personal information collected through electronic surveillance
technology, including such information gathered, purchased, or
otherwise acquired.
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Stop Price Gouging in Grocery Stores Act of 2026 — S. 3892

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