Galloway motel named in price-gouging suit filed by state
A Galloway Township motel allegedly more than doubled its rate during the Hurricane Sandy-related State of Emergency, according to a price-gouging lawsuit filed by the New Jersey State Attorney General.
The A-1 Motel on the White Horse Pike in Galloway Township allegedly increased its rate by 117 percent, from its highest pre-Sandy rate of $50 a night to as much as $108.70 a night, according to a news release.
The lawsuit also named six other motels in North Jersey and three gas stations, also in North Jersey, for alleged price gouging.
Merchants, including motels, gas stations and food stores, are prohibited during declared states of emergency from raising their prices by more than 10 percent from the highest pre-storm price. Merchants also are prohibited from increasing rates for 30 days following the state of emergency declaration.
The state Division of Consumer Affairs has received more than 2,000 complaints of price gouging since the state of emergency was declared October 27. The state has filed price gouging suits against 18 businesses since Sandy struck.
To report any suspected price gouging or other consumer protection law violations, call the Division of Consumer Affairs at 1-800-242-5846.