Price Gouging After the Los Angeles Fires: How to Protect Your Community and Stand Against Exploitation

Price Gouging: What can you do to protect your community?  

After disasters like the Eaton fire, communities rely on essential goods and services to recover—food, housing, medical supplies, and more. When businesses exploit these vulnerable times by inflating prices, it can have devastating consequences, particularly for those already struggling. 

What is Price Gouging, and Why Should We Care? 

Price gouging occurs during emergencies when prices for essential items—like rent, food, medical supplies, and repairs—are increased by more than 10%. This practice disproportionately impacts vulnerable populations, forcing them to choose between basic needs and financial stability. For families, seniors, and low-income individuals, price gouging can turn a difficult situation into a life-altering one. 

Penalties for Price Gouging: Protecting the Community’s Well-Being 

State and local laws impose serious penalties for price gouging, including fines up to $10,000, jail time, or both. These laws help ensure that everyone can access the necessities they need without facing financial ruin. 

How Long Do Price Gouging Protections Last? 

Price gouging protections typically last 30 days after an emergency declaration, but they can be extended if the emergency continues. For contractor services, like repairs, protections can last up to 180 days, preventing businesses and homeowners from being financially burdened during recovery. 

How Price Gouging Affects Rental Housing 

Rental price gouging becomes a significant issue after emergencies. In these cases, state law prevents landlords from raising rents by more than 10% on existing rentals. For new rentals, prices cannot exceed 160% of the HUD fair market value. 

These protections help prevent residents from being forced out of their homes or burdened by excessive rent during a crisis. 

How to Report Price Gouging 

If you believe you have been a victim of price gouging, report it. Keep transaction records and receipts as evidence. To report price gouging, call (800) 593-8222 or visit dcba.lacounty.gov. 

By staying informed, knowing your rights, and reporting violations, we can help protect our communities and ensure fair access to resources during emergencies. 

See our Los Angeles Fire page for more information.

“I’ve Lost My Home in the Maui Wildfire. What Should I Do Right Now?”

There are things that wildfire survivors can do right now to help make the recovery process easier. Once you and your loved ones are out of imminent danger, you should immediately contact your insurance company, make a plan for housing, track all expenses and insurance interactions, and prepare an inventory of your losses. 

  • Contact your insurance. If you have insurance, call your broker, and ask to get a copy of your policy and your declarations page. These documents will summarize your property and coverage limits. If you have internet access, it may be helpful to request these documents be sent by e-mail. In the meantime, ask your broker how much coverage you have to rebuild your home, replace the contents, and pay for Additional Living Expenses (“ALE”). 
     
  • Make a housing plan. Additional Living Expenses (ALE) coverage is used to pay for housing after you lose your home. ALE typically lasts for 24 months, or until the coverage runs out, whichever comes first. It’s important to manage this money carefully, because once your coverage runs out, that’s it. Sometimes a survivor is so happy to find a nice replacement home that they overlook the cost of rent and run through the ALE within 14 months and before their new home is rebuilt. Make sure to plan ahead so this doesn’t happen to you. 
     
  • Track all your expenses. When you lose your home, you spend money on things you wouldn’t need if you still had your house. One of the best things you can do for yourself is to keep track of everything. Simply throw your receipts in a shoebox — receipts for eating out, extra mileage and gas costs, etc. Even if your insurance won’t cover the costs, the utility company might. Better yet, use a debit or credit card to make purchases if you can. Receipts can fade with time, but a digital record will last. Remember – every receipt you save could put money back in your pocket! 
     
  • Document every insurance interaction. Plan to spend a lot of time on the phone with your insurance company. It is essential that you document everything including the date, time, and person you spoke with. Make sure to note what the adjuster tells you and request that they follow up your conversations with an email. Additionally, whenever you speak with your adjuster, send an email confirming the details of your conversation, especially when discussing your coverage, exclusions, limits, and policy benefits. Emails are your best protection as they go straight into the adjuster’s “claims diary.” I 
  • Prepare an inventory. Preparing a Personal Property Inventory (PPI) can be a daunting task, especially as you navigate your loss and the painful feelings that arise. However, many of our clients report feeling better after they complete the inventory. Enlist the help of a supportive friend or relative and try breaking the list down into smaller chunks – take it one room at a time. If that’s too much, start with something even smaller, like a closet, cupboard, or shed. Making a list of everything you lost in the fire while your memory is fresh will save you time and frustration later. The list should include big items like TVs, furniture, and artwork, as well as small ordinary things like kitchen utensils, toiletries, linens, and other housewares. You can write things down by hand or use a form from the internet. A complete PPI can put more money in your pocket, whether from insurance or the utility company. It’s hard now, but you’ll thank yourself later. 

Firefighters and the PFAS lawsuit

In June 2023, DuPont, Chemours, Corteva and 3M Company put up more than $13 billion to settle AFFF actions (Aqueous Film Forming Foams.) These settlements pertain only to 600 Public Water Systems. The settlements are subject to approval by Judge Richard M. Gergel, who was assigned in December 2018 to oversee the ongoing MDL proceedings in the United States District Court for the District of South Carolina. These agreements do not release any claims made by firefighters who have suffered serious health effects arising from PFAS exposure.

Firefighters are at a higher risk of PFAS-related diseases because they are exposed to per- and polyfluoroalkyl substances (PFAS) associated with their gear. The source of the PFAS may be from their gear’s construction materials or manufacturing process, deterioration of the gear during service, and/or while on duty. Studies have reported the presence of high levels of PFAS in firefighters’ blood. It has been proposed that the PFAS source is from the fire scene (AFFF, buildings contents, etc.), and/or from the gear itself. 

According to the US Environmental Protection Agency (EPA), scientific studies have shown that exposure to some PFAS in the environment may be linked to harmful health effects in humans and animals.

PFAS related health concerns

Research involving humans suggests that high levels of certain PFAS may lead to the following:

  • Increased cholesterol levels
  • Decreased vaccine response in children
  • Changes in liver enzymes
  • Increased risk of high blood pressure or pre-eclampsia in pregnant women.

Studies of laboratory animals given large amounts of PFAS indicate that some PFAS may affect growth and development. In addition, these animal studies indicate PFAS may affect reproduction, thyroid function, the immune system, and injure the liver. See PFAS Fact sheet here.

Civil or military firefighters diagnosed with cancer after exposure to PFAS in AFFF firefighting foam or gear may be eligible for money damages. Thousands of firefighters have already filed lawsuits.

Who may qualify for the PFAS firefighters’ lawsuit?

  • Anyone exposed to or used firefighting foam on the job or training; and,
  • Diagnosed with Kidney Cancer, Pancreatic Cancer, Testicular Cancer, Prostate Cancer, Non-Hodgkin’s Lymphoma, Bladder Cancer, Thyroid Cancer, or Liver Cancer