Who is exempt from Minnesota's junk fee law?
Quick answer
Three carve-outs apply under Minn. Stat. 325D.44, subd. 1b: fees authorized by law that motor vehicle dealers charge on a purchase or lease, businesses or affiliates regulated by the Public Utilities Commission, and real estate settlement-service fees (broker commissions are not exempt). Broadband and cable or satellite providers meeting the federal pricing rules are treated as compliant. Everyone else must show prices with all mandatory fees.
What does the law say? Key facts and official sources
| Item | What the law says | Source |
|---|---|---|
| In force | January 1, 2025 (June 1, 2025 for industries whose prices are regulated by the Metropolitan Airports Commission) (Laws 2024, ch. 111) | Laws 2024, ch. 111 |
| Exemptions | (1) motor vehicle dealer fees authorized by law; (2) businesses or affiliates regulated by the Public Utilities Commission; (3) settlement-service fees under RESPA, not real estate broker commissions and fees (subd. 1b) | Minn. Stat. 325D.44 |
| Broadband | Compliant if it follows the broadband consumer label requirements in 47 CFR 8.1(a) (subd. 1a(i)) | Minn. Stat. 325D.44 |
| Cable and satellite TV | Compliant if it follows the FCC pricing requirements in Report and Order FCC 24-29 under 47 U.S.C. 552 (subd. 1a(j)) | Minn. Stat. 325D.44 |
| Not mandatory fees | Government taxes on the sale; reasonable postage or shipping actually incurred (subd. 1a(b),(d)) | Minn. Stat. 325D.44 |
| Penalty | The Attorney General can sue for a court-set civil penalty of up to $25,000 (8.31, subd. 3); injured customers can sue for damages and attorney fees (8.31, subd. 3a) | Minn. Stat. 8.31 |
| Last verified | October 31, 2026 | Astor Ventures |
Are restaurants exempt?
No. A food or beverage establishment, including a hotel, complies by disclosing the percentage of any automatic and mandatory gratuity in every priced offer or ad (subd. 1a(h)).
Are delivery apps exempt?
No, but they have their own safe harbor: show the extra flat fee or percentage when the customer picks a vendor or items, then an itemized subtotal before checkout (subd. 1a(c)).
Does federal law override it?
Subdivision 1a is enforceable unless preempted by federal law (subd. 1a(k)).
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What else do people ask?
When did the law start?
January 1, 2025 (Laws 2024, ch. 111).
Is sales tax part of the shown price?
No. Taxes imposed by a government entity on the sale are not mandatory fees (subd. 1a(b)).
What is the penalty?
A court-set civil penalty of up to $25,000 (8.31, subd. 3).
Is this legal advice?
No. General information only.
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