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Can I charge different prices to different customers without violating discrimination laws in Pennsylvania? What are the requirements?
Can I charge different prices to different customers without violating discrimination laws in Pennsylvania? What are the requirements?
Based on the information provided in the Pennsylvania Consolidated Statutes, discrimination in rates is prohibited. No public utility shall make or grant any unreasonable preference or advantage to any person, corporation, or municipal corporation, or subject any person, corporation, or municipal corporation to any unreasonable prejudice or disadvantage. No public utility shall establish or maintain any unreasonable difference as to rates, either as between localities or as between classes of service [1.1]. Therefore, charging different prices to different customers without a valid reason may be considered discriminatory and violate Pennsylvania law.
However, there are exceptions to this rule. For example, public utilities may establish reasonable zone or group systems, or classifications of rates or issue special tickets at special rates, or grant nontransferable free passes, or passes at a discount to any officer, employee, or pensioner of such common carrier [1.1].
It is important to note that the Pennsylvania Consolidated Statutes do not only apply to public utilities but also to city contracts or purchases. Contracts or purchases not requiring advertising or bidding may not require advertising or bidding if they meet certain criteria [2.3].
If you are not a public utility or a city contract or purchase, the Pennsylvania Consolidated Statutes may not apply to you. However, if you are a public utility or a city contract or purchase, you should consult with a legal professional to ensure that you are in compliance with Pennsylvania law.
Additionally, public utilities are subject to regulations prohibiting them from paying for goods, services, equipment, or fuels at prices in excess of those contained in contracts existing between the utilities and providers of such goods, services, equipment, or fuel services [1.2].
Conclusion
In summary, charging different prices to different customers without a valid reason may be considered discriminatory and violate Pennsylvania law. However, public utilities may establish reasonable zone or group systems, or classifications of rates or issue special tickets at special rates, or grant nontransferable free passes, or passes at a discount to any officer, employee, or pensioner of such common carrier. If you are a public utility or a city contract or purchase, you should consult with a legal professional to ensure that you are in compliance with Pennsylvania law.
Source(s):
- [1.1] Discrimination in rates.
- [1.2] Limitation on prices paid for property and fuel.
- [2.3] Contracts or purchases not requiring advertising or bidding.
Jurisdiction
Pennsylvania