Maryland will become the first US state to outlaw dynamic pricing in grocery stores. Governor Wes Moore has confirmed he will sign the Protection from Predatory Pricing Act into law, with enforcement beginning in October.
Why it matters
The law sets a precedent that could reshape how large retailers use customer data to set prices. At least four other states have introduced similar bills this year.
What the law does
Grocery stores must keep prices fixed for at least one business day. Retailers cannot use surveillance data, loyalty card profiles, or algorithmic decision systems to charge different customers different prices for the same product.
The law applies to stores occupying at least 15,000 square feet that sell food meant to be eaten off-site. That covers most major chains including Walmart, Kroger, and Giant.
Supporters say
Consumer advocates argue that dynamic pricing exploits shoppers who have fewer choices. Governor Moore called the practice “surveillance pricing” and said families should not pay more for groceries because an algorithm decided they would.
The Maryland Attorney General’s office will enforce the law. First offences carry civil penalties of up to $10,000. Repeat violations can reach $25,000.
Critics say
Retail industry groups warn the law could block legitimate discount programmes and slow the adoption of electronic shelf labels, which they say reduce pricing errors and labour costs. The National Grocers Association said the bill was drafted too broadly and could capture routine promotional pricing.
What happens next
The law takes effect in October 2026. Several national chains have already begun lobbying for narrower language in copycat bills advancing in California, New York, and Illinois. The Federal Trade Commission is conducting its own study of surveillance pricing, with findings expected by year-end.