PRICE Act

This bill, the PRICE Act, requires third-party delivery platforms to follow specific pricing practices to ensure transparency for users. It defines key terms, sets pricing requirements, and establishes enforcement mechanisms by the Federal Trade Commission (FTC) and state attorneys general.

Sec. 2, Definitions: Defines the FTC as the enforcing agency, a "delivery fee" as any extra charge beyond the retail establishment's price, a "retail establishment" as a physical store or restaurant, and a "third-party delivery platform" as a website or app that primarily arranges same-day delivery from such establishments.

Sec. 3, Pricing requirements for third-party delivery platforms: Starting 90 days after enactment, platforms must calculate delivery fees using a fixed methodology set when the user selects the retail establishment, based only on the item price and delivery-related factors (like distance), not user characteristics or platform-retailer deals. Platforms must display the retail price and any delivery fees when an item is selected, show the ongoing total cost throughout ordering, and provide a clear explanation of each delivery fee before payment. This section does not prevent adding gratuities.

Sec. 4, Enforcement: Violations are treated as unfair or deceptive acts under FTC rules. The FTC enforces the act with its usual powers and must issue necessary regulations. State attorneys general can sue in federal or state court to stop violations, enforce compliance, or seek damages, after notifying the FTC. The FTC can intervene in such state actions. If the FTC sues, states cannot separately sue the same defendants for the same violation.