California Outlaws Hidden Fees, Protecting Consumers from Price Gouging

California has passed legislation to ban "junk fees," hidden costs that inflate prices for goods and services. The new law, effective from July 1, 2024, prohibits drip pricing and regulates how companies can advertise or display costs. Junk fees, which exceed the actual cost of the service, are estimated to cost Americans at least $29 billion annually. The move comes as the Biden administration also seeks to crack down on these fees, and federal lawmakers introduce a bill to address the issue. Consumer advocates have praised the law, emphasizing the need for transparent pricing information to enable informed purchases.