Maryland becomes first US state to ban surveillance pricing
Original: Maryland becomes first state to pass bill banning ‘surveillance pricing’
Why This Matters
First state-level regulation addressing algorithmic price discrimination in retail
Maryland passed the Protection From Predatory Pricing Act, banning food retailers and delivery services from using personal data like browsing history and location to set individual prices. Violations face fines under deceptive trade practices law.
Maryland's legislature passed groundbreaking legislation prohibiting 'surveillance pricing,' where companies use personal data such as browsing history, location, or purchasing behavior to tailor prices to individual customers. The Protection From Predatory Pricing Act targets food retailers and third-party delivery services, treating violations as deceptive trade practices with potential fines and lawsuits. Governor Wes Moore backed the bill, stating 'Marylanders deserve to know that the price they see on the shelf is the price they will pay at the register.' However, Consumer Reports noted the final version contains loopholes, including exemptions for loyalty programs and pricing that only applies when personal data creates higher prices without establishing baseline pricing standards.