Media Coverage
Source: NerdWallet
Media Coverage
Press Contacts: Erik Cummins, Matt Hyams, Taina Rosa, Olivia Thomas
08.27.24
On July 1, California banned “drip pricing,” or advertising a price that doesn’t disclose mandatory additional fees and surcharges up-front.
Pillsbury’s David Wright explained that California’s law is designed to target last-minute, high-cost service fees focused on products and services like concert tickets and hotel rooms. Notably, the new rules do not prohibit “reasonable” shipping fees and taxes.
The law is “not necessarily preventing businesses from trying to recoup those costs, but instead trying to make it so that businesses disclose those costs up front, so consumers know what they’re getting themselves into,” Wright said.
“The safest way [for businesses] to protect themselves [under the new law] is to include all prices” within the sticker price, he said.
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