Colorado’s New “Honest Pricing” Law: What Every Business and Landlord Needs to Know Before 2026

Beginning January 1, 2026, Colorado will enforce one of the most comprehensive pricing transparency laws in the country.  House Bill 25-1090, signed into law during the 2025 legislative session, adds a new section to the Colorado Consumer Protection Act (C.R.S. § 6-1-737) and amends Colorado’s landlord-tenant statutes.  The law is intended to target so-called “junk fees”—hidden charges that appear late in a purchase or rental process—and makes full disclosure of the total price mandatory for almost every transaction in the state.

1. The Purpose Behind HB 25-1090

Lawmakers framed this legislation as part of a broader consumer-protection effort.The bill’s findings emphasize that Colorado consumers should be able to understand the real price of a product, service, or rental unit without having to click through layers of small print or checkout screens.  In essence, if a fee is mandatory, it must be included in the first price a consumer sees.

2. The “Total Price” Requirement

Under the new C.R.S. § 6-1-737, businesses and landlords must clearly and conspicuously display the total price of any good, service, or property offered for sale or lease.

That total price must include every required fee or charge—except:

• Taxes or fees imposed by a government entity; and

• Shipping charges that are added only at the buyer’s option.

The total price must appear more prominently than any other price information.In other words, an advertisement cannot show “$100 + fees” if the unavoidable total is $125. The $125 must be the headline number.

3. What “Clear and Conspicuous” Means

The statute defines “clear and conspicuous” with specificity:

• Visual disclosures must be easily noticeable and readable.

• Audible disclosures must be understandable when spoken.

• Interactive or online disclosures must require affirmative acknowledgment before purchase.

Fine print, hidden menus, or late-stage pop-ups will not satisfy the standard.

4. Industry-Specific Rules

Restaurants and Bars

Businesses that apply a mandatory service charge may comply by disclosing:

• The amount or percentage of the charge, and

• How the proceeds are distributed (e.g., to staff or retained by management).

  
  

Delivery Platforms

Delivery network companies—such as ride-share or meal-delivery apps—must:

• Disclose all additional flat, variable, or percentage fees at the point of vendor selection,

• Identify factors that determine variability, and

• Display a subtotal screen before the customer confirms payment.

  
  

Federal Compliance Safe Harbor

If a business is already governed by federal price-disclosure rules (e.g., Truth in Lending, airline fare displays, broadband labels), compliance with federal law satisfies Colorado’s requirement.

5. New Rules for Landlords

Landlords face perhaps the most significant operational changes. The new law and companion amendments to C.R.S. § 38-12-801 provide that:

• No Utility Markups: A landlord may not charge a tenant more for utilities than the amount billed by the utility provider for that unit.

• Fee Increase Limit: For rental agreements of one year or less, non-utility fees cannot rise by more than 2 percent during the term.

• Third-Party Services: When billing for third-party services (like trash, internet, or pest control), any markup must not exceed 2 percent of the service cost or $10 per month—whichever is less.

• Lease Language: Rental agreements may not include any term requiring payment of a fee prohibited by the statute.

Landlords should update form leases, billing addenda, and advertising materials well before 2026.

6. Misrepresentation and Optional Charges

Even optional charges must be described accurately.  Before a consumer agrees to pay, the business must disclose:

• What the charge is for,

• Whether it is refundable,

• What good or service it covers, and

• Who receives the payment.

Misrepresentation of any of these elements constitutes a deceptive trade practice.

7. The Variable-Pricing Exception

The new statute recognizes that not every business can know the total cost of a service the moment it is offered.  Section 2(b)(II) provides an important exception for those circumstances.  A business or individual is excused from displaying a “total price” if they can demonstrate that:

1. The total price cannot reasonably be known at the time of the offer,

2. The uncertainty arises from factors beyond the control of the business—such as

3. consumer selections or preferences (e.g., service levels, options, add-ons), or

4. conditions that vary by distance or time (e.g., mileage, hourly rates, travel time), and

5. The business clearly and conspicuously discloses:

6. (A) the factors that determine the total price;

7. (B) any mandatory fees associated with the transaction; and

8. (C) a statement that the total price may vary.

   
   

This important exception could apply across many industries.  A moving company could advertise an hourly rate as long as it discloses that the final cost depends on total hours and mileage, plus any required fuel surcharges.   Ride-share or delivery apps could show variable pricing based on distance and demand if they disclose the factors affecting their prices before purchase.  Law firms or consulting services could similarly reference hourly rates and variable factors (complexity, time, or client choices) as long as those elements are plainly described.

8. Enforcement and Remedies

Violating § 6-1-737 is deemed a deceptive, unfair, or unconscionable act under the Colorado Consumer Protection Act.

Consumers—including tenants—can send a written demand for reimbursement, actual damages, and cessation of the unlawful practice.  If the violator fails to comply within 14 days, the consumer may recover:

• Actual damages, and

• 18 percent annual interest, compounded annually.

The Colorado Attorney General is also authorized to issue rules and bring enforcement actions.

9. Effective Date

HB 25-1090 takes effect January 1, 2026, and applies to conduct occurring on or after that date.There is no retroactive liability for earlier transactions, but businesses and landlords should update materials during 2025 to ensure compliance.

10. Compliance Checklist

For Businesses

• Audit all advertisements and web pages to ensure the total price is the most prominent figure.

• Remove or revise language like “plus fees,” “excludes surcharges,” or “before taxes and fees.”

• Train marketing and sales teams on disclosure standards.

• Confirm federal pricing-law overlap, if any.

• Determine any factors beyond the control of your business which can affect price and prevent the total price from being reasonably known.

  
  

For Restaurants and Bars

• Clearly state mandatory service charge amount or percentage.

• Identify whether it benefits employees or management.

  
  

For Delivery Platforms

• Present total or subtotal pricing before checkout.

• Disclose any variable fees and how they are calculated.

  
  

For Landlords

• Review all lease templates and advertising.

• Eliminate or cap third-party service markups per statutory limits.

• Adjust billing software or accounting procedures for utility pass-throughs.

• Ensure non-utility fees cannot rise more than 2% during short-term leases.

In Summary

Colorado’s HB 25-1090 transforms the way prices must be presented to consumers.

For businesses, it means replacing partial prices with full transparency.

For landlords, it means reevaluating every fee charged to tenants.

For consumers, it means full disclosure of fees, charges, and factors which could affect the final price paid for goods or services in Colorado.