Gov. Gavin Newsom declared a state of emergency Tuesday in response to the Palisades Fire in Los Angeles and Ventura counties, activating California’s anti-price-gouging law. Driven by high winds, additional fires, including the Eaton and Hurst fires, ignited shortly after.

The anti-price-gouging statute, Penal Code Section 396, limits rent increases to no more than 10% above pre-emergency levels during the emergency period and applies to both existing tenants and new leases. The statute also restricts price increases on essential goods and services, including food, water, and transportation.


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