Bill Text: NY S03049 | 2011-2012 | General Assembly | Introduced


Bill Title: Mandates that any article of merchandise advertised, and not available throughout advertised period, must be supplied at advertised price by seller within sixty days from the date the purchaser of such article is notified of its availability; specifies terms of raincheck and limited exceptions.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2011-02-07 - REFERRED TO CONSUMER PROTECTION [S03049 Detail]

Download: New_York-2011-S03049-Introduced.html
                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                         3049
                              2011-2012 Regular Sessions
                                   I N  S E N A T E
                                   February 7, 2011
                                      ___________
       Introduced  by  Sen.  KRUGER -- read twice and ordered printed, and when
         printed to be committed to the Committee on Consumer Protection
       AN ACT to amend the general business law, in  relation  to  availability
         for sale of advertised merchandise
         THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section 1. The general business law is amended by adding a new section
    2  397-b to read as follows:
    3    S 397-B. AVAILABILITY FOR SALE OF  ADVERTISED  MERCHANDISE.    1.    A
    4  RETAILER  WHO  ADVERTISES  AN ARTICLE OF MERCHANDISE FOR SALE AT A PRICE
    5  WHICH IS REDUCED, IN GOOD FAITH, TO A PRICE BELOW THE PRICE  SUCH  ARTI-
    6  CLES ARE USUALLY SOLD OR OFFERED FOR SALE FOR IN THE STORE, AND DOES NOT
    7  HAVE  SUCH  ARTICLE AVAILABLE THROUGHOUT THE ADVERTISED PERIOD SHALL, ON
    8  THE REQUEST OF A PURCHASER OF SUCH ARTICLE, OFFER TO ISSUE  A  RAINCHECK
    9  UNLESS ONE OR MORE OF THE FOLLOWING SITUATIONS EXISTS:
   10    (A)    THE ADVERTISEMENT IS MADE IN RELATION TO MAIL ORDER MERCHANDISE
   11  AS REGULATED BY SECTION THREE HUNDRED NINETY-SIX-M OF THIS ARTICLE.
   12    (B)  THE ADVERTISEMENT IS OF AN ARTICLE THAT IS ONE OF A KIND AND  THE
   13  ADVERTISEMENT CLEARLY AND CONSPICUOUSLY STATES SUCH FACT.
   14    (C)    THE ADVERTISEMENT CLEARLY AND CONSPICUOUSLY STATES THE SPECIFIC
   15  QUANTITY OF THE ARTICLE AVAILABLE AT THE OUTSET OF THE SALE.
   16    (D)  THE ADVERTISEMENT CLEARLY AND CONSPICUOUSLY STATES THAT  A  RAIN-
   17  CHECK  IS NOT AVAILABLE.  THIS EXCLUSION MAY ONLY BE USED IF THE ARTICLE
   18  WILL NOT BE OFFERED FOR SALE FOR AT LEAST ONE HUNDRED TWENTY  DAYS  FROM
   19  THE EXPIRATION DATE OF THE ADVERTISEMENT.
   20    2.    A  RAINCHECK  ISSUED PURSUANT TO SUBDIVISION ONE OF THIS SECTION
   21  SHALL ENTITLE THE HOLDER TO PURCHASE, AT THE STORE  ISSUING  SUCH  RAIN-
   22  CHECK,  THE ADVERTISED ARTICLE AT THE ADVERTISED PRICE WITHIN SIXTY DAYS
   23  FROM THE DATE OF ISSUANCE OR FOR A PERIOD OF TEN BUSINESS DAYS FROM  THE
   24  FIRST DATE OF AVAILABILITY OF THE ARTICLE, WHICHEVER SHALL BE LATER.
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD00481-01-1
       S. 3049                             2
    1    THE  ISSUANCE  OF  SUCH RAINCHECK SHALL CONSTITUTE AN AGREEMENT ON THE
    2  PART OF THE SELLER TO SUPPLY  SUCH  ARTICLE  AT  SUCH  PRICE.    NOTHING
    3  CONTAINED HEREIN SHALL PROHIBIT A SELLER FROM OFFERING A SIMILAR ARTICLE
    4  OF  EQUAL  OR  GREATER  VALUE  EITHER  DURING THE PERIOD COVERED BY SUCH
    5  ADVERTISEMENT OF THE ARTICLE OR WITHIN SIXTY DAYS FROM THE DATE OF ISSU-
    6  ANCE  OF  THE  RAINCHECK,  OR  THE SELLER AND PURCHASER FROM AGREEING TO
    7  LENGTHEN THE REDEMPTION PERIOD  OF  SUCH  RAINCHECK.  IF  THE  PURCHASER
    8  ACCEPTS SUBSTITUTION, SUCH SUBSTITUTION SHALL CONSTITUTE COMPLIANCE WITH
    9  THE PROVISIONS OF SUBDIVISION ONE OF THIS SECTION.
   10    3.  THE RAINCHECK SHALL INCLUDE AT LEAST THE FOLLOWING INFORMATION:
   11    (A)  NAME, ADDRESS AND TELEPHONE NUMBER OF THE ISSUER.
   12    (B)  DATE OF ISSUANCE.
   13    (C)  LAST DATE THAT THE RAINCHECK CAN BE REDEEMED.
   14    (D)  NAME, DESCRIPTION AND QUANTITY DESIRED OF THE ARTICLE.
   15    (E)  THE ADVERTISED PRICE.
   16    4.  THE RAINCHECK SHALL CONTAIN THE FOLLOWING NOTICE:
   17    YOU MAY REDEEM THIS RAINCHECK FOR THE ADVERTISED ITEM DESCRIBED ON THE
   18  OTHER SIDE WITHIN SIXTY DAYS OF ISSUANCE OR FOR A PERIOD OF TEN BUSINESS
   19  DAYS FROM THE FIRST DATE OF AVAILABILITY OF THE ITEM, WHICHEVER SHALL BE
   20  LATER.
   21    YOU WILL PAY ONLY THE ADVERTISED PRICE FOR THE ITEM.
   22    YOU ARE UNDER NO OBLIGATION TO BUY THE ITEM.
   23    5.  EVERY  RETAILER  WHO ADVERTISES SUCH AN ARTICLE OF MERCHANDISE FOR
   24  SALE, WHICH IS NOT AVAILABLE, SHALL NOTIFY THE PURCHASER NO  LATER  THAN
   25  FIFTEEN  DAYS  AFTER  THE RECEIPT OF SUCH MERCHANDISE BY THE SELLER THAT
   26  THE MERCHANDISE IS NOW AVAILABLE FOR PURCHASE.
   27    6. THERE SHALL BE, WITHIN EACH RETAIL  ESTABLISHMENT  THAT  ADVERTISES
   28  ITEMS  FOR  SALE  AT  A PRICE BELOW THE USUAL SELLING PRICE, A CLEAR AND
   29  CONSPICUOUSLY POSTED SIGN, POSTER OR PLACARD INDICATING  WHERE  A  RAIN-
   30  CHECK CAN BE OBTAINED.
   31    7.  IT SHALL BE AN AFFIRMATIVE DEFENSE TO AN ALLEGED VIOLATION OF THIS
   32  SECTION THAT THE SELLER WAS UNABLE  TO  HONOR  A  RAINCHECK  WITHIN  THE
   33  REDEMPTION  PERIOD  BECAUSE SUCH SELLER DID NOT RECEIVE A REORDER OF THE
   34  ADVERTISED ARTICLE FROM A  SUPPLIER  THROUGH  NO  FAULT  OF  THE  SELLER
   35  PROVIDED,  HOWEVER,  THAT THE SELLER MUST MAINTAIN RECORDS SUFFICIENT TO
   36  SHOW THAT THE ADVERTISED SALE ITEMS WERE REORDERED IN ADEQUATE TIME  FOR
   37  DELIVERY AND IN SUFFICIENT QUANTITY TO FULFILL RAINCHECK OBLIGATIONS.
   38    8. THIS SECTION SHALL NOT APPLY TO A PURCHASE FOR RESALE.
   39    9.  NOTHING  IN  THIS SECTION SHALL BE CONSTRUED TO RELIEVE THE SELLER
   40  FROM ANY OTHER PROVISION OF LAW PROHIBITING THE ADVERTISING OF GOODS  OR
   41  SERVICES WITH THE INTENT NOT TO MEET REASONABLY EXPECTED DEMAND.
   42    10. NO PURCHASER SHALL BE REQUIRED TO PREPAY THE PURCHASE PRICE OR ANY
   43  PART THEREOF IN ORDER TO OBTAIN A RAINCHECK.
   44    11. A PERSON WHO VIOLATES ANY PROVISION OF THIS SECTION IS GUILTY OF A
   45  FALSE  AND MISLEADING ADVERTISING PRACTICE AND SUBJECT TO THE PROVISIONS
   46  OF ARTICLE TWENTY-TWO-A OF THIS CHAPTER.
   47    12. NOTHING HEREIN SHALL BE CONSTRUED TO RESTRICT  THE  POWER  OF  ANY
   48  COUNTY,  CITY,  TOWN  OR  VILLAGE  TO ADOPT AND ENFORCE ADDITIONAL LOCAL
   49  LAWS, ORDINANCES, OR REGULATIONS WHICH  EXCEED  THE  MINIMUM  APPLICABLE
   50  STANDARDS IN THIS SECTION.
   51    S  2.  This  act  shall take effect on the sixtieth day after it shall
   52  have become a law.
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