2.24.22


Here’s an ethical issue and Jewish source response:

Case

Uzi owns an Israeli restaurant in New York.  He sells the usual Middle Eastern fare.  On the table there are two menus: one in English and one in Hebrew.  The prices on the Hebrew menu are cheaper than those on the English menu.  Uzi claims that he is giving the other Israelis a discount.  One of his American customers who read both menus claims that he is cheating non-Hebrew-speaking customers.  

Is it right for Uzi to run a restaurant with two prices for the same falafel?

Answer

[a] There is a basic Jewish legal principle called Ona’ah that is usually translated as fraud (Bava Metzia 51a ff).  It says that a person must charge fair prices and not trick someone into paying more.

[b] A customer has an obligation to know market conditions before starting to bargain – but the seller cannot trick a customer into believing that this price is the market condition.  In other words, a person can charge whatever he wants, and if the customer pays the price, the customer loses.  But if the seller tells the customer, “This is what everyone is charging, go look,” the seller has violated Ona’ah and the deal is not valid.  

[c] Charging two different prices is not valid unless (1) the conditions of two markets are different, (2) a customer is a discount or volume buyer, or (3) the cost or nature of the goods has changed.   

[d] Therefore, charging two different prices in Hebrew and English is wrong, unless the nature of Israeli buyers and American buyers is such that they have different cost expectations in their markets. (A complicated issue – but because this is the same store and not two stores, the answer to this is “wrong.”)

 

Joel Grishaver, “You Be the Judge 3”, pgs. 39-40

Used with permission from Joel Grishaver