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L.A. City Attorney announces $1.2M price gouging restitution for fire survivors

California Looks To Take Legal Action Against State Farm Over Handling Of Insurance Claims From LA Wildfires
ALTADENA, CALIFORNIA - MAY 04: An aerial view of homes being rebuilt amid cleared lots where homes were destroyed by the Eaton Fire on May 4, 2026 in Altadena, California. California initiated legal action against insurer State Farm today, accusing them of delaying and underpaying home insurance claims by survivors of the 2025 Los Angeles wildfires. The Eaton Fire ignited on January 7, 2025, killing 19 people and destroying more than 9,000 structures, most of them homes in Altadena.
Photo by Mario Tama/Getty Images

Los Angeles City Attorney Hydee Feldstein Soto announced that she got back $1.2 million for Eaton and Palisades fire survivors who were price-gouged while seeking temporary housing.

A civil enforcement action was made against global rental giant Blue Ground after the company was accused of jacking up its rental prices by more than 50% during the fires. Prosecutors say Blue Ground violated state and city gouging laws when it did that.


The January 2025 wildfires was the most unprecedented event in the history of our City, devastating the lives of many Angelenos. Our suit alleged that Blueground not only violated the law, but preyed on vulnerable individuals who had already lost so much,” Soto said in a statement. “My office will continue to hold accountable individuals and businesses who violate the law and exploit our residents.”

Once the judgment is entered, aside from paying restitution, Blue Ground can no longer advertise, offer, or charge rent in the city or county that violates the state or L.A.'s gouging laws.

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