Office of Consumer Protection

DEPARTMENT OF COMMERCE AND CONSUMER AFFAIRS
KA ʻOIHANA PILI KĀLEPA

 OFFICE OF CONSUMER PROTECTION

JOSH GREEN, M.D.
GOVERNOR | KE KIAʻĀINA

 NADINE Y. ANDO
DIRECTOR | KA LUNA HOʻOKELE

THOMAS MANA MORIARTY
EXECUTIVE DIRECTOR

 

FOR IMMEDIATE RELEASE
February 12, 2024

Hawai‘i Joins Coalition in Support of Federal Trade Commission Rule Outlawing ‘Junk Fees’

 HONOLULU — The Hawai‘i Department of Commerce and Consumer Affairs Office of Consumer Protection and the Hawai‘i Department of the Attorney General joined a coalition of 19 state attorneys general, led by Pennsylvania Attorney General Michelle Henry and North Carolina Attorney General Josh Stein, in supporting a proposed Trade Regulation Rule on Unfair or Deceptive Fees by the Federal Trade Commission (FTC).

The comment letter was filed on Wednesday, February 7, 2024, in response to an FTC notice of proposed rulemaking, which allowed for comments on the proposed rule’s provisions, including:

• Prohibiting ‘bait and switch’ advertising by requiring businesses, from the outset, to clearly and conspicuously disclose the total price, inclusive of any mandatory fees;
• Requiring businesses to more prominently display the total price when pricing information is advertised;
• Prohibiting businesses from misrepresenting the nature and purpose of any fee, and;
• Requiring businesses to clearly and conspicuously disclose the nature and purpose of certain fees (such as shipping charges and optional fees) before the consumer consents to pay.

“We commend the collaborative efforts that went into supporting the Federal Trade Commission’s proposed Trade Regulation Rule on Unfair or Deceptive Fees,” said Mana Moriarty, executive director of the Office of Consumer Protection. “By advocating for measures such as prohibiting ‘bait and switch’ advertising, enhancing disclosure requirements, and preventing misrepresentation of fees, we strive to protect consumers and uphold the standards of fairness in the marketplace.”

In their letter, the Hawai‘i Office of Consumer Protection and attorneys general support the proposed FTC rule and highlight their enforcement efforts in protecting consumers from deceptive fee practices.

“Junk fees harm consumers by hiding the true total price of goods and services, and they also harm honest businesses that refuse to deceive consumers by hiding or misrepresenting these additional fees,” said Deputy Attorney General Christopher Leong, of the Department of the Attorney General Commerce and Economic Development Division. “The Department of the Attorney General strongly supports FTC efforts to eliminate these unfair and deceptive practices.”

In addition to Hawai‘i, joining Pennsylvania and co-lead state North Carolina in the letter, are the attorneys general from Arizona, Colorado, Connecticut, Delaware, District of Columbia, Illinois, Maine, Michigan, Minnesota, New Jersey, New York, Oklahoma, Oregon, Vermont, Washington, and Wisconsin.

A copy of the letter can be found here.

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Media Contact:
William Nhieu
Communications Officer
Department of Commerce and Consumer Affairs
Email: [email protected]
Phone: 808-586-7582

Dave Day
Special Assistant to the Attorney General
Office: 808-586-1284
Email: [email protected]

Toni Schwartz
Public Information Officer
Hawai‘i Department of the Attorney General
Office: 808-586-1252
Cell: 808-379-9249
Email: [email protected]