H.R. 5226 directs the Federal Trade Commission (FTC) to create regulations prohibiting "deceptive downsizing"—the practice of selling smaller versions of products in packaging that looks identical or very similar to larger versions previously sold at comparable prices. The bill targets manufacturers across all consumer products, particularly food items, arguing that consumers often fail to notice size reductions until after purchase, artificially inflating prices and reducing purchasing power. The legislation provides a "safe harbor" allowing manufacturers to reduce product sizes without penalty only if they display a clear, conspicuous notice on the front of the package stating both the original size and the new reduced size. The FTC would enforce violations through its existing authority, treating breaches as unfair or deceptive trade practices subject to standard FTC penalties. No specific funding amounts or implementation timelines are designated in the bill, leaving those details to FTC rulemaking.
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