N.M. Code R. § 12.2.7.13
It is an unfair and deceptive trade practice to advertise or otherwise represent a sale or bargain using a fraudulent regular or former price at which the seller never sold or could not in good faith reasonably have expected to sell the good or service. A "fraudulent regular or former price" is any price at which the seller did not offer the good openly and honestly, in good faith, for a reasonably substantial period of time, and includes any unreasonably inflated price at which a reasonable and prudent seller would not have expected to sell the good. Example. Seller's cost for a concha belt is $300. Seller labels the item with a price of $3,000, knowing that no reasonable buyer would pay that much for this particular belt. Shortly thereafter, Seller then advertises a "70% discount" on the belt, offering it for $900, which is the price she wanted from the beginning. This violates the rule.
N.M. Code R. § 12.2.7.13