IMPLICATOR
At a ceremony this week in Annapolis, Maryland Gov. Wes Moore signed HB 895 after saying grocery shoppers should see a “transparent, consistent price at the register.” The enrolled Protection From Predatory Pricing Act makes Maryland the first U.S. state to bar covered grocers and third-party delivery services from using personal data to set higher prices. Moore’s office said the Oct. 1 law is a consumer-protection measure tied to grocery costs.
Key Takeaways
- Maryland’s HB 895 takes effect Oct. 1 and targets data-based grocery price increases.
- Covered grocers and delivery services face $10,000 first-offense penalties and $25,000 repeat penalties.
- Consumer Reports and allied groups warn exemptions for loyalty programs, subscriptions and consent weaken the law.
- Instacart ended item price tests after a December 2025 investigation found price gaps up to 23%.
AI-generated summary, reviewed by an editor. More on our AI guidelines.
What the law bars
Under the enrolled measure, covered food retailers and third-party delivery services may not use personalized pricing or consumer personal data to set higher prices for a specific consumer or group of consumers. It also regulates the use of protected-class data when selling, advertising or offering consumer goods and services.
Maryland routes enforcement through the Maryland Consumer Protection Act, with civil penalties of $10,000 for a first violation and $25,000 for repeat violations after notice and a 45-day cure period.
Advocates object to carveouts
Consumer Reports thanked Moore and lawmakers for prioritizing surveillance pricing, then warned that the signed statute “won’t protect” Maryland shoppers. The group cited exemptions for loyalty or membership programs, subscriptions and prices offered after a consumer consents to provide data.
Consumer Reports also objected to the law’s enforcement structure. Consumers cannot sue under the new provision; only the attorney general can bring cases. American Economic Liberties Project, Towards Justice and Tech Equity Action urged Moore to veto the measure, arguing that the final version created an industry liability shield.
Retailers dispute the premise
Maryland Retailers Alliance rejected Moore’s public description of the bill in an April 30 statement. The trade group argued that charging two shoppers different prices for the same item based on personal data was already illegal under Maryland’s consumer protection law.
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It also cited grocery profit margins of 1% to 3% and stated that the Maryland attorney general’s office had no substantiated complaints showing a pattern of unlawful grocery price increases. Its position is that personalized grocery pricing is more common in hotels, airlines, app-based platforms and rideshare services than in traditional supermarkets.
Instacart tests drew attention
December 2025 reporting from Consumer Reports found Instacart shoppers sometimes saw different prices for the same grocery items from the same store at the same time. Consumer Reports said prices differed by up to 23% for some products.
Instacart said Dec. 22 that it would end item price tests on its platform and stop retailers from using Eversight technology for that work. The company stated that the program was not based on supply, demand, personal data, demographics or individual shopping behavior.
Federal findings set the backdrop
In January 2025, Federal Trade Commission staff said pricing intermediaries can use location, demographics, browsing patterns, shopping history and even mouse movements to tailor consumer prices. FTC staff said the intermediaries it examined worked with at least 250 clients ranging from grocery stores to apparel retailers.
Before Oct. 1, grocery chains, supermarkets, large-format food retailers and app-based services operating in Maryland will need to review how consumer data enters their pricing systems.
Frequently Asked Questions
What did Maryland ban in grocery pricing?
HB 895 bars covered grocery retailers and third-party delivery services from using consumer personal data to set higher prices for a specific shopper or group of shoppers.
When does Maryland’s grocery pricing law take effect?
The Protection From Predatory Pricing Act takes effect Oct. 1, 2026. Businesses operating in Maryland have until then to review pricing systems and data use.
Who enforces the new Maryland law?
Maryland’s Consumer Protection Division and attorney general enforce the law. Consumers do not get a private right to sue under the new provision.
Why are consumer groups criticizing the law?
Consumer Reports and allied groups say exemptions for loyalty programs, subscriptions and consent-based pricing could let companies reach similar outcomes through discounts or targeted offers.
How does Instacart fit into the story?
Consumer Reports found different Instacart shoppers sometimes saw different prices for the same grocery items. Instacart later ended item price tests using Eversight technology.
AI-generated summary, reviewed by an editor. More on our AI guidelines.
Marcus Schuler
Editor-in-Chief and founder of Implicator.ai. Former ARD correspondent and senior broadcast journalist with 10+ years covering tech. Writes daily briefings on policy and market developments. Based in San Francisco. E-mail: [email protected]
