“A bill to prohibit certain uses of automated decision systems to inform individualized prices, and for other purposes.”
No CRS summary available for this bill.
This section prohibits persons from offering or charging different prices to different consumers for the same or substantially similar product or service using, informed by, or based on surveillance data, in whole or in part. It provides a safe harbor for (1) price differences based solely on reasonable costs if disclosed prior to purchase; (2) bona fide discounts offered uniformly to broadly defined groups (e.g., teachers, veterans, seniors, students) or loyalty program enrollees if eligibility is clearly disclosed, uniformly applied, surveillance data is not used for other purposes, and loyalty points are not priced differently; and renders the prohibition inapplicable to insurance or credit products. The section authorizes the Federal Trade Commission (FTC) to enforce the prohibition and related regulations as unfair or deceptive acts or practices and unfair methods of competition under the FTC Act (15 U.S.C. 45 et seq.), with the same powers, penalties, privileges, and immunities; expands FTC jurisdiction to common carriers, nonprofits, and air carriers; requires consideration of impacts on small businesses under the Regulatory Flexibility Act; and preserves other FTC authorities. Additionally, the section authorizes state attorneys general to bring civil actions in state or federal court to enjoin violations, enforce compliance, obtain at least $3,000 per violation or actual damages (whichever is greater), and secure other relief, without limiting state law powers.
This section (1) designates surveillance-based price setting—as described in section 2(a) of the One Fair Price Act of 2025—as an unfair or deceptive practice for air carriers, foreign air carriers, and ticket agents subject to Department of Transportation enforcement under 49 U.S.C. §41712; and (2) clarifies that federal preemption under 49 U.S.C. §41713(b)(4) does not apply to civil damages or injunctive relief claims, or state attorney general actions, based on such violations.