Lower Grocery Prices Act

Key Points

• This bill bans grocery stores and food companies from using algorithms or AI to charge different people different prices based on their personal data, behavior, or biometrics. It targets what the bill calls "surveillance-based price setting" for food and agricultural products.
• Normal group discounts for veterans, seniors, teachers, and students are still allowed. Loyalty programs and rewards apps can keep operating too, as long as the rules are clearly posted and every eligible person gets the same deal.
• Companies using automated pricing systems must publicly explain what data they use and how they use it. They also have to give consumers a way to check and correct any personal information the system relies on, with these procedures published at least 180 days before launch.
• The FTC would enforce this law, and state attorneys general could also bring lawsuits on behalf of residents. Individual consumers could sue for at least $3,000 per violation, and courts could triple that amount for willful violations.
• Companies cannot force consumers into private arbitration to resolve disputes under this law. Pre-dispute arbitration agreements and class action waivers are declared unenforceable, which is a significant consumer protection measure.