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Senate Commerce Committee Statement to Senate, No. 2039 (State of New Jersey, March 11, 2021)

Summary

Senate Commerce Committee Statement to Senate, No. 2039, State of New Jersey, dated March 11, 2021, reporting Senate Bill No. 2039 favorably. The statement says the bill prohibits businesses in New Jersey from engaging in gender-based priced discrimination, commonly referred to as the pink tax or gender tax. It states that tailors or other businesses providing aftermarket clothing alterations, barbers or hair salons, and dry cleaners and laundries providing services to individuals would be required to disclose pricing for each standard service in writing. A violation is an unlawful practice under the consumer fraud act, punishable by a monetary penalty of not more than $10,000 for a first offense and not more than $20,000 for any subsequent offense.

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“Senate Commerce Committee Statement to Senate, No. 2039 (State of New Jersey, March 11, 2021).” Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/2021-03-11-scm-s2039-s1-512a04b77e/, SHA-256 a0afaf3cc7c73e3864f005a718d75ed27db4101d9d4c722544a50376b8a360d8.

Full text

     SENATE COMMERCE COMMITTEE

                    STATEMENT TO

                  SENATE, No. 2039

 STATE OF NEW JERSEY
                     DATED: MARCH 11, 2021

    The Senate Commerce Committee reports favorably Senate Bill
No. 2039.
   This bill prohibits businesses in New Jersey from engaging in
gender-based priced discrimination. Commonly referred to as the
“pink tax” or “gender tax,” gender-based discrimination occurs
when products and services marketed and intended for use by girls
and women are priced higher than comparable products and services
for boys and men.
   The bill provides that a business in the State is prohibited from:
   (1) discriminating based on gender with regard to the price
charged for a service offered by the business; and
   (2) charging prices for any two consumer products from the
same manufacturer that are substantially similar, if those products
are priced differently solely based on the gender of the individuals
for whom the products are intended or marketed. For the purposes
of the bill, two products would be considered “substantially similar”
if there are no significant differences in the materials used in the
products, the function of the products, and the functional design or
features of the products. A difference in color or packaging among
consumer products would not, by itself, be construed as a
substantial difference.
   The bill specifies that its provisions would not be construed to
prohibit price differences based upon labor, materials, tariffs, or any
other gender-neutral reason, including when a retail establishment
passes through a price to the consumer that is set by a manufacturer,
distributor, or other entity that is beyond the retailer’s control.
   Under the bill, the following businesses would be required to
clearly and conspicuously disclose to the customer in writing the
pricing for each standard service provided:
   (1) tailors or other businesses providing aftermarket clothing
alterations;
   (2) barbers or hair salons; and
   (3) dry cleaners and laundries providing services to individuals.
   The bill requires the pricing to be posted in an area conspicuous
to customers. Posted price lists are required to be in no less than 14-
point boldface type and clearly and completely display pricing for
every standard service offered by the business. Additionally,
business are required to provide a customer with a complete written
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price list upon request. The bill further requires businesses to
display in a conspicuous place at least one clearly visible sign,
printed in no less than 24-point boldface type, notifying customers
that gender-based price discrimination is prohibited under New
Jersey law.
   A violation of the bill’s provisions is an unlawful practice under
the consumer fraud act, P.L.1960, c.39 (C.56:8-1 et seq.). An
unlawful practice is punishable by a monetary penalty of not more
than $10,000 for a first offense and not more than $20,000 for any
subsequent offense. In addition, a violation can result in cease and
desist orders issued by the Attorney General, the assessment of
punitive damages, and the awarding of treble damages and costs to
the injured.

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