On April 28, 2026, Maryland Governor Moore signed HB 895 (the Protection From Predatory Pricing Act) into law, which will impose limitations on the use of personalized pricing in the food retail and grocery delivery context.  The law will go into effect on October 1, 2026.  As we have detailed in prior blog posts, there has been a wave of personalized pricing proposals at the state level, and the FTC is focusing attention on pricing in the grocery sector.

The law prohibits covered entities’ use of “dynamic pricing” to set higher prices for exempt food, unless consumers provide consent or another exception applies.  Additionally, the law prohibits the use of protected class data to offer, advertise, or sell food or service to a consumer if certain conditions are met.  Specifically, the law includes the following key terms and concepts:

• Covered Entities.  The law applies to both (1) merchants operating physical establishments of at least 15,000 square feet that sell food exempt from state taxes and (2) third‑party delivery service providers that facilitate as a consumer service the delivery of food that is exempt from state taxes to Maryland consumers. 
• Restrictions on “Dynamic Pricing.”  The law regulates covered entities’ use of “dynamic pricing” for food that is exempt from state taxes.  The law defines “dynamic pricing” as the discriminatory practice of offering or setting a personalized price for a good or service that is specific to a consumer based on the consumer’s personal data, regardless of whether the seller collected or purchased the personal data.
• Use of Protected Class Data.  The law also prohibits covered entities from using “protected class data” to “offer, advertise, or sell goods or services” where such use would result in withholding or denying an accommodation, advantage, or privilege provided to others.  “Protected class data” is defined to include information about an individual or group that, alone or in combination, directly or by implication identifies a characteristic protected from discrimination under state or federal laws.
• Exemptions.  The law exempts promotional pricing, such as loyalty programs, benefits, and other “temporary discounts,” different prices due to subscription-based contracts or agreements, or where the consumer “consents to providing personal data or other information in exchange for obtaining the price.”
• Enforcement.  The law provides a 45-day cure period and does not permit a private right of action.