New Jersey Hotel to Pay $65K in Sandy Price Gouging Case

August 21, 2014

A hotel in southern New Jersey has agreed to pay nearly $65,000 to settle allegations of price gouging in the wake of Superstorm Sandy.

Amy Hotels did business as Econo Lodge in Egg Harbor Township.

New Jersey state officials claimed the company raised its room rates by as much as 150 percent to $199.99 per night after Gov. Chris Christie declared a state of emergency in advance of Sandy making landfall. The rooms cost $79.99 per night before the declaration.

New Jersey’s price gouging law prohibits excessive price increases during a declared state of emergency for merchandise used as a direct result of an emergency or used to protect the life, health, safety or comfort of persons or their property.

Nearly $25,000 from the settlement will be for consumer restitution.

Related Articles:
N.J. Accelerates Disbursement of Federal Sandy Aid for Homeowners
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Nuisance Flooding Rising Problem for U.S. Cities: NOAA

 

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Latest Comments

  • August 21, 2014 at 4:02 pm
    reality bites says:
    The gouging was only part of the problem. I was forced to find a hotel as our condo had 6.5' of water in the parking level. The hotel I stayed in charged their 'nermal' full r... read more
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