Thousands Allege Gas Price Gouging in Wake of Hurricane Sandy

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Bloomsfield, NJ: In the wake of Hurricane Sandy, accusations of price gouging on gasoline are being made, and in some cases lawsuits have been filed.

One such lawsuit accuses Vinny Fuel Corporation also known as the Delta gas station at 141 Bloomfield Ave, of raising prices by 25 cents per gallon during the state of emergency which was officially declared on October 27th.

Another six gas stations are allegedly price gouging, according to consumer reports, including two in Newark, as well as a hotel, none of which have faced costs that would have justified the prices increases, Attorney General Chiesa said in a press release.

Under state law, it is illegal to raise prices excessively during a declared state of emergency and for 30 days thereafter. The definition of excessive prices is a price that is more than 10 percent higher than the price at which the affected merchandise was sold during the normal course of business prior to the state of emergency.

In other words, prices may not exceed 10 percent above the normal markup from cost, even if the merchant faces additional costs during the emergency.

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