HB 4985
SURVEILLANCE-BASED PRICING
TL;DR
Illinois Rep. Nabeela Syed's HB 4985 would ban 'surveillance-based pricing,' the practice of using personal data (like browsing history, location, or demographics) to charge different customers different prices for the same product. The bill targets dynamic pricing algorithms that adjust prices based on individual consumer profiles rather than market conditions. It's currently stalled in the Rules Committee.
How This Might Impact Your Business
Retailers and e-commerce companies using AI to personalize prices based on customer data (Amazon-style dynamic pricing) would face direct restrictions in Illinois.
Ride-share, travel, and hospitality companies (Uber, airlines, hotels) that adjust prices based on user device, location patterns, or app behavior would need to revisit their pricing algorithms.
Insurance and financial services firms using consumer behavioral data to set individualized rates could fall within scope depending on final definitions.
Ad tech and data brokers that supply behavioral data feeding into pricing engines may lose Illinois customers if downstream uses become illegal.
Companies would likely need to document how their pricing models work and prove prices aren't tied to surveillance data on individual consumers.
The bill is currently stuck in the Rules Committee, meaning no immediate deadline, but Illinois has a track record of passing aggressive tech laws (BIPA, the AI hiring law) that trigger class-action lawsuits.
Standard market-based dynamic pricing (supply/demand, time of day) would likely remain legal; the target is individualized pricing based on personal data profiles.
What Should You Do
Ask your pricing and data science teams to map exactly what inputs feed your dynamic pricing models, especially any personal or behavioral data tied to identifiable consumers.
Have legal review whether your current pricing practices would survive an Illinois consumer class action, given the state's history with BIPA-style litigation.
Assign someone to track HB 4985 movement out of Rules Committee; if it advances, expect a 60-90 day window to adjust pricing systems.
Benchmark against similar proposals in California and New York, since a multi-state patchwork is likely and a uniform compliance approach will be cheaper than state-by-state fixes.
Prepare a one-page explainer for your board on how your company prices products, in case this becomes a reputational or investor question.
Who It Affects
Sponsors
Status Timeline
committee
Rule 19(a) / Re-referred to Rules Committee
March 27, 2026