Which states have junk fee laws, and what do I have to do?
Quick answer
Do your prices show the full cost up front? California, Colorado, Connecticut, Massachusetts, Minnesota and Virginia require most shown prices to include every mandatory fee. Oregon covers online prices, Illinois starts January 1, 2027, Rhode Island covers tickets and lodging, and Florida regulates restaurant fees. Taxes and shipping can usually be added later.
Facts table: laws, dates, fines and official sources
| State | Law | Starts | What it covers | Fine or penalty | Our pages |
|---|---|---|---|---|---|
| California | Civ. Code 1770(a)(29) (SB 478, SB 1524) | July 1, 2024 | Most consumer goods and services; restaurants may show a fee separately if it is clearly shown wherever prices appear | No set dollar fine in SB 478; customer suits under the Consumers Legal Remedies Act, plus AG and local prosecutors (Senate analysis) | California guide |
| Colorado | C.R.S. 6-1-737 (HB25-1090) | January 1, 2026 | All prices; restaurants may show a service charge and who gets it next to the price | Up to $20,000 per violation (fiscal note) | Fine · Kit |
| Connecticut | C.G.S. 42-536 (P.A. 25-44) | July 1, 2026 | All goods and services; variable fees (e.g. shipping) disclosed up front with the amount before purchase | Willful: up to $5,000 per violation (C.G.S. 42-110o) | Connecticut guide |
| Illinois | 815 ILCS 505/2MMMM (P.A. 104-0472) | January 1, 2027 | All prices; auto-gratuity percentage must be shown | Up to $50,000, or $50,000 per violation with intent to defraud | Guide · Kit |
| Massachusetts | 940 CMR 38.00 (AG rules) | September 2, 2025 | Total price whenever a price is shown; also trials and subscriptions | Up to $5,000 per violation (c. 93A s. 4) | Fine · Kit |
| Minnesota | Minn. Stat. 325D.44, subd. 1a | January 1, 2025 | All prices; auto-gratuity percentage must be shown | Court-set civil penalty up to $25,000 (Minn. Stat. 8.31) | Penalty · Kit |
| Oregon | ORS 646A.087 (SB 430) | January 1, 2026 | Prices shown online | Customers: $200 or actual damages; state: up to $25,000 per willful violation (ORS 646.638, 646.642) | Lawsuits · Kit |
| Rhode Island | R.I. Gen. Laws 6-13.1-1(6)(xxi) | January 1, 2026 | Live-event tickets and short-term lodging only (follows the FTC fee rule) | Up to $10,000 per violation (6-13.1-8); customers $500 or actual damages | Rhode Island guide |
| Virginia | Va. Code 59.1-608 | July 1, 2025 | All prices; restaurants and hotels may add a disclosed auto-gratuity | Customers: $500 or actual damages (59.1-204); state: up to $2,500 per willful violation (59.1-206) | Fine · Kit |
| Florida (restaurants) | Fla. Stat. 509.214 (SB 606) | July 1, 2026 | Restaurant operations charges: amount and purpose on menus, websites, bills and receipts | Up to $1,000 per offense (509.261) | Penalty · Kit |
| Federal (FTC) | 16 C.F.R. Part 464 | May 12, 2025 | Live-event tickets and short-term lodging only | Not listed here | See below |
What is a junk fee law?
A junk fee law (also called an all-in pricing or drip pricing law) says the first price you show must be the price the customer actually pays, apart from a few listed extras such as government taxes. It does not cap your prices or ban fees. You can still charge a service fee; it just has to be inside the number you advertise.
Which fees can I leave out of the price?
Usually only government taxes and fees, real shipping costs for physical goods, and optional add-ons the customer chooses. California's Attorney General says shipping can be left out but handling charges cannot, and a card fee must be included if you only accept cards (AG FAQ). Connecticut lets you leave out fees that depend on the buyer's choices, such as delivery, if you say they exist when the price is shown and give the amount before purchase (C.G.S. 42-536). Check each state's rule before relying on an exception.
Do restaurants have different rules?
Yes, and they vary. Virginia, Minnesota and Illinois let restaurants add an automatic gratuity if the percentage is shown. Colorado lets restaurants show a service charge and how it is shared next to the price. California exempts restaurant fees that are clearly shown wherever prices appear (SB 1524). Florida requires the amount and purpose on menus, bills and receipts. See Virginia, Colorado, Minnesota and Florida.
Is there a federal junk fee rule?
Only for two industries. The FTC's Rule on Unfair or Deceptive Fees (16 C.F.R. Part 464) took effect on May 12, 2025 and covers live-event tickets and short-term lodging (hotels, vacation rentals and similar), not restaurants or retail in general (FTC FAQ). Rhode Island made breaking that federal rule a state deceptive trade practice from January 1, 2026. For every other business, the state laws above are what apply.
What are the fines, and can customers sue?
The table above shows the official maximums. Several states also let customers sue: Oregon ($200 or actual damages for willful violations), Virginia ($500 or actual damages), Rhode Island ($500 or actual damages), California (Consumers Legal Remedies Act suits) and Connecticut and Minnesota (actual damages and attorney fees). See the Oregon lawsuit guide for how a private claim works.
How do I comply in practice?
- List every fee you charge and mark which ones every customer must pay.
- Put those mandatory fees into the first price shown on your website, menus, signs, ads and quotes.
- Leave out only what the state allows (usually taxes, shipping, optional add-ons), and disclose them before payment.
- For restaurants, follow the state's specific gratuity or service-charge rule.
- Keep screenshots and a dated record of the change.
Our state kits turn these steps into a checklist, fee audit sheet and ready wording: Illinois, Colorado, Virginia, Minnesota, Massachusetts, Oregon and Florida restaurants.
Need it done fast? Our one-law compliance kits give you a checklist, fill-in templates and a tracker with the official sources quoted. One-time payment, instant download.
FAQ
Which fees can I leave out of the advertised price?
Usually government taxes, real shipping costs and optional add-ons. Handling charges, booking fees, service fees and fees that cover your own costs (wages, rent, insurance) must normally be in the price. Each state lists its own exceptions.
Does my small business have to follow a junk fee law?
Usually yes. These laws apply based on what you sell and where you sell it, not on your headcount. Check each law's exemptions, for example for regulated industries.
Do restaurants count?
Yes, but most states have a special restaurant rule: a disclosed auto-gratuity (Virginia, Minnesota, Illinois), a disclosed service charge (Colorado, California), or menu and receipt disclosures (Florida).
Is there a federal junk fee rule?
Only for live-event tickets and short-term lodging. The FTC Rule on Unfair or Deceptive Fees (16 C.F.R. Part 464) has applied since May 12, 2025. Other businesses follow state law.
What are the fines?
Maximums range from up to $1,000 per offense (Florida restaurants) to up to $50,000 (Illinois, from 2027). See the table for each state with a link to the official source.
Can customers sue me over hidden fees?
In several states, yes: Oregon allows $200 or actual damages, Virginia and Rhode Island $500 or actual damages, and California, Connecticut and Minnesota allow suits for damages.
Is this legal advice?
No. This is general information, not legal advice. Check the official sources or ask a lawyer about your situation.