Schuette notes gas price gouging illegal in Mich.

LANSING (AP) -- State Attorney General Bill Schuette has issued a warning that gasoline price gouging is illegal in Michigan as some oil production in the Gulf of Mexico could be shut down due to hurricane Isaac. AAA Michigan said Monday that gasoline prices rose 3 cents during the previous week to a statewide average of about $3.93 per gallon ahead. That's about 14 cents a gallon more than a year earlier. Schuette said in a release Tuesday that higher gas prices are likely, but circumstances "are not a free pass for price gouging." The Consumer Protection Act prohibits retailers from charging a price that is grossly in excess of the price at which similar property or services are sold. Anti-trust laws also prohibit gas stations from entering into agreements to fix prices. Published: Fri, Aug 31, 2012