Requires the clear and conspicuous disclosure of pricing changes for online grocery delivery and online pick-up services; imposes a fine of not more than one hundred dollars for the first offense and not more than two hundred fifty dollars for a second and each subsequent offense for violations.
NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A10188A
SPONSOR: Magnarelli TITLE OF BILL:
An act to amend the general business law, in relation to the disclosure
of pricing changes for online grocery delivery and online pick-up
services
PURPOSE OR GENERAL IDEA OF BILL:
To require food retailers that offer delivery to disclose the difference
in online and in store price.
SUMMARY OF PROVISIONS:
Section 1: Adds a new article 38-c to the General Business Law titled
"Online Sale of Groceries."
Section 840 adds definitions of "food retailer", "in store price",
"online price" and "third-party platform."
Section 841 requires food retailers and third party platforms to
disclose whether the price of the product online differs from the
in-store price, and requires that this disclosure be on the primary
landing page of the retailer. This section also outlines penalties and
states that the Secretary of State shall promulgate rules and regu-
lations as necessary to carry out the provisions of this section.
Section 2: Establishes the effective date.
JUSTIFICATION:
Online ordering and delivery of groceries has grown exponentially in the
past decade. These services are offered by traditional retailers through
their own websites/apps or through 3rd party services, such as Insta-
cart. They provide convenient delivery to customers. However, retailers
and services often markup the prices of products over the in-store
price. This in addition to any delivery or service fees charged. This
mark-up is not always clearly stated to the consumer. This legislation
would require grocery retailers and/or delivery services to state wheth-
er the online price differs from the in-store price. The goal is to
provide the consumer transparency in deciding if they want to pay a
higher price for purchasing products online. It does not outlaw the
practice, just requires companies be open and transparent about what
mark-ups they are charging.
LEGISLATIVE HISTORY:
2025: A.1096-B; 2024: A.9194
FISCAL IMPLICATIONS:
None to the State.
EFFECTIVE DATE:
This act shall take effect 180 days after it shall have become law.
STATE OF NEW YORK
________________________________________________________________________
10188--A
IN ASSEMBLY
February 12, 2026
___________
Introduced by M. of A. MAGNARELLI, LEE -- read once and referred to the
Committee on Consumer Affairs and Protection -- reported and referred
to the Committee on Codes -- committee discharged, bill amended,
ordered reprinted as amended and recommitted to said committee
AN ACT to amend the general business law, in relation to the disclosure
of pricing changes for online grocery delivery and online pick-up
services
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. The general business law is amended by adding a new article
2 38-C to read as follows:
3 ARTICLE 38-C
4 ONLINE SALE OF GROCERIES
5 Section 840. Definitions.
6 841. Disclosure of pricing policy.
7 § 840. Definitions. As used in this article, the following terms shall
8 have the following meanings:
9 (a) "Food retailer" shall mean a supermarket, grocery store or other
10 retailer that operates on a self-service basis and sell a minimum
11 percentage, as determined by the secretary of state, of produce, meat,
12 poultry, seafood, baked goods and/or dairy products.
13 (b) "In store price" shall mean the price charged to the consumer for
14 a particular product when purchased within the grocery store's physical
15 store location.
16 (c) "Online price" shall mean the price charged to the consumer for a
17 product purchased or ordered through any website, mobile application or
18 other internet service.
19 (d) "Third-party delivery platform" shall mean any website, mobile
20 application or other internet service that offers or arranges the sale,
21 purchase, delivery or pickup of any products from a grocery store or
22 food retailer online.
23 § 841. Disclosure of pricing policy. 1. Any food retailer, or third-
24 party delivery platform shall clearly and conspicuously provide a pric-
25 ing policy that discloses whether the online price of products is the
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD01303-07-6
A. 10188--A 2
1 same as the in store price, or if it is not the same. The disclosure
2 shall indicate that prices on the platform may generally differ from the
3 in-store price. Third-party delivery platforms shall prominently include
4 a disclosure on the primary landing page for food retailers stating that
5 prices on the platform may generally differ from the in-store price. If
6 a food retailer has a website, the third-party delivery platform must
7 post a link to the website on their platform in a manner that is easily
8 noticeable and accessible to the consumer.
9 2. In addition to any other penalties provided by law, a violation of
10 the provisions of this section shall constitute an offense punishable by
11 a fine of not more than one hundred dollars for the first offense and
12 not more than two hundred fifty dollars for a second or each subsequent
13 offense.
14 3. The secretary of state shall promulgate such rules and regulations
15 as are necessary and appropriate to carry out the provisions of this
16 section.
17 § 2. This act shall take effect on the one hundred eightieth day after
18 it shall have become a law. Effective immediately, the addition, amend-
19 ment and/or repeal of any rule or regulation necessary for the implemen-
20 tation of this act on its effective date are authorized to be made and
21 completed on or before such effective date.
