On July 23, 2026, New Jersey Governor Mikie Sherrill signed A4085 (the Fair Price Protection Act) into law, which prohibits companies from charging consumers different prices for groceries based on their personal data. New Jersey will join New York, Connecticut, and Maryland in imposing prohibitions and requirements on the use of personal data in determining pricing. Most provisions of the law will take effect on August 1, 2027.
Prohibition on Surveillance Pricing. The New Jersey Fair Price Protection Act will prohibit “surveillance pricing” or “any other pricing strategy that determines or varies” the sale price of groceries or other foodstuffs based, in whole or in part, on personal data. Surveillance pricing occurs when the data is collected through specific types of technology, including technology methods, systems, or tools like sensors, cameras, and other forms of observation capable of collecting information about a consumer’s behavior, characteristics, location, or other personal attributes. The Act will recognize several key exemptions, including:
- Reasonable costs associated with providing groceries and other foodstuffs to different consumers, provided that the price is not changed more than once per 24 hours;
- A bona fide discount (i.e., a price that is lower than the price at which groceries and other foodstuffs are advertised or offered for sale in recent, regular course of business) with publicly and conspicuously disclosed and uniformly offered criteria, such as discounts provided to teachers or veterans; and
- A bona fide discount offered as part of a loyalty program, provided that consumers opt in on a voluntary basis, all members receive uniform pricing benefits pursuant to publicly available uniform terms and conditions, and the program provides clear and conspicuous disclosures of pricing benefits.
Moratorium on Electronic Shelf Labels. The Act will also impose a one-year moratorium on the new use of electronic shelf labels that determine or vary the sale price of groceries or other food stuffs based (in whole or in part) on personal data. In the interim, the state will conduct a study on the use of electronic shelf labels.
A violation of the Act will be treated as an unlawful practice under New Jersey’s consumer protection laws and is enforceable by the New Jersey Attorney General.