Testimony in Support of H-7284 Prohibiting Deceptive Trade Practices

Last updated: March 07, 2024

Testimony in Support of H-7284
Prohibiting Deceptive Trade Practices
House Committee on Corporations
March 7, 2024
Alan Krinsky, Director of Research & Fiscal Policy

The Economic Progress Institute supports Speaker Shekarchi’s H-7284 to protect Rhode Island consumers by recognizing and prohibiting the concealment of costs as a deceptive trade practice. 

Increasingly, Americans have noticed differences between advertised prices and the prices they must pay, in the end, for these same good or services. Perhaps most frequently encountered in the form of various fees added to the cost of concert tickets, such service fees or service charges are mandatory yet not always reflected in the advertised price. Too often, consumers only realize there are additional charges (the purpose of which is usually unclear) when they are already near the end of a purchase process and have already invested considerable time and energy, making it difficult to cancel at that stage. 

We support transparency in pricing and advertising to protect Rhode Island consumers, who should not be subject to any sort of bait-and-switch when making purchases. This legislation would protect consumers, including by authorizing Rhode Island’s Attorney General to develop further regulations as a means of enforcement. 

We applaud the Speaker for introducing this legislation and urge members of the House Committee on Corporations to send this legislation to the full House.

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