Senate Bill S4687

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   4687
 
                        2025-2026 Regular Sessions
 
                             I N  S E N A T E
 
                             February 11, 2025
                                ___________
 
 Introduced  by  Sen.  CLEARE -- 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  disclosure  of
   raincheck policies for certain advertised merchandise
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. The general business law is amended by adding a new section
 397-c to read as follows:
   § 397-C. DISCLOSURE OF RAINCHECK POLICY.  1.  FOR THE PURPOSES OF THIS
 SECTION, THE TERM "RAINCHECK" SHALL MEAN A WRITTEN STATEMENT ISSUED BY A
 RETAILER ALLOWING THE PURCHASE OF DESIGNATED MERCHANDISE AT A PREVIOUSLY
 ADVERTISED PRICE.
   2. A RETAILER WHO HAS ADOPTED AS A POLICY THE ISSUANCE OF   RAINCHECKS
 TO CONSUMERS FOR SALE OF ADVERTISED MERCHANDISE NOT AVAILABLE THROUGHOUT
 THE  ADVERTISED  PERIOD  SHALL, CLEARLY AND CONSPICUOUSLY POST ITS RAIN-
 CHECK POLICY:
   (A) IN CLOSE PROXIMITY TO THE CASH REGISTER OR SO SITUATED  AS  TO  BE
 CLEARLY VISIBLE TO THE BUYER AT THE POINT OF SALE;
   (B) ON ITS WEBSITE; AND
   (C) IN ANY ONLINE OR PRINTED ADVERTISEMENTS.
   3.    ANY  RAINCHECK  POLICY  ADOPTED  AND  POSTED BY A RETAILER SHALL
 INCLUDE, BUT NOT BE LIMITED TO, THE FOLLOWING INFORMATION:
   (A)  NAME, ADDRESS, AND TELEPHONE NUMBER OF THE RETAILER;
   (B)  RETAILER'S WEBSITE AND E-MAIL ADDRESS;
   (C) A STATEMENT THAT READS "ANY RAINCHECK  ISSUED  FOR  AN  ADVERTISED
 ITEM WILL BE HONORED FOR SIXTY DAYS AFTER ISSUANCE".
   4.  ANY  RAINCHECK  ISSUED  UNDER A POLICY ADOPTED BY A RETAILER SHALL
 INCLUDE AT LEAST THE FOLLOWING INFORMATION:
   (A) NAME, ADDRESS, AND TELEPHONE NUMBER OF THE ISSUER;
   (B) DATE OF ISSUANCE;
   (C) LAST DATE THAT THE RAINCHECK CAN BE REDEEMED;

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD01415-01-5
              

 S. 4687                             2
 
   (D) NAME, DESCRIPTION AND QUANTITY DESIRED OF THE ARTICLE; AND
   (E) THE ADVERTISED PRICE.
   5. THE RAINCHECK ISSUED SHALL CONTAIN THE FOLLOWING NOTICE:
   "YOU  MAY  REDEEM  THIS RAINCHECK FOR THE ADVERTISED ITEM DESCRIBED ON
 THE OTHER SIDE WITHIN SIXTY DAYS OF ISSUANCE.
   YOU WILL PAY ONLY THE ADVERTISED PRICE FOR THE ITEM.
   YOU ARE UNDER NO OBLIGATION TO BUY THE ITEM."
   6. IT SHALL BE UNLAWFUL FOR ANY RETAILER WHO PROVIDES A RAINCHECK  FOR
 ANY ADVERTISED MERCHANDISE WHICH IS NOT AVAILABLE FOR IMMEDIATE PURCHASE
 TO FAIL TO:
   (A)  CLEARLY AND CONSPICUOUSLY POST ITS RAINCHECK POLICY IN ACCORDANCE
 WITH THE REQUIREMENTS OF SUBDIVISION TWO OF THIS SECTION;
   (B) HONOR OR SATISFY THE RAINCHECK WITHIN SIXTY DAYS FROM THE DATE  OF
 ISSUANCE,  PROVIDED  THAT  AFTER  A  GOOD FAITH EFFORT A RETAILER CANNOT
 PROCURE THE ADVERTISED MERCHANDISE WITHIN  THE  SIXTY  DAY  PERIOD,  THE
 RETAILER  MAY  OFFER  THE  HOLDER A SUBSTANTIALLY SIMILAR ARTICLE OF THE
 SAME KIND, QUALITY, AND PRICE OF THE ORIGINAL ADVERTISED MERCHANDISE; OR
   (C) GIVE WRITTEN NOTICE VIA MAIL OR E-MAIL OR NOTICE BY PHONE  TO  THE
 HOLDER OF ANY RAINCHECK WHEN THE MERCHANDISE IS AVAILABLE AND INFORM THE
 HOLDER OF THE RAINCHECK THAT THE ADVERTISED MERCHANDISE WILL BE HELD FOR
 A  PERIOD  OF NO LESS THAN TEN DAYS FROM THE DATE OF NOTIFICATION, OR TO
 THE END OF THE SIXTY DAY PERIOD FOR WHICH THE RAINCHECK IS VALID, WHICH-
 EVER IS LONGER.
   7. IT SHALL BE AN AFFIRMATIVE DEFENSE TO AN ALLEGED VIOLATION OF  THIS
 SECTION  THAT  THE  SELLER  WAS  UNABLE  TO HONOR A RAINCHECK WITHIN THE
 REDEMPTION PERIOD BECAUSE SUCH SELLER DID NOT RECEIVE A REORDER  OF  THE
 ADVERTISED  ARTICLE  FROM  A  SUPPLIER  THROUGH  NO  FAULT OF THE SELLER
 PROVIDED, HOWEVER, THAT THE SELLER MUST MAINTAIN RECORDS  SUFFICIENT  TO
 SHOW  THAT THE ADVERTISED SALE ITEMS WERE REORDERED IN ADEQUATE TIME FOR
 DELIVERY AND IN SUFFICIENT QUANTITY TO FULFILL RAINCHECK OBLIGATIONS.
   8. A VIOLATION OF THIS SECTION SHALL BE PUNISHABLE BY A CIVIL  PENALTY
 NOT TO EXCEED TWO HUNDRED FIFTY DOLLARS.
   9. THIS SECTION SHALL NOT APPLY TO A PURCHASE FOR RESALE.
   10.  NOTHING  IN THIS SECTION SHALL BE CONSTRUED TO RELIEVE THE SELLER
 FROM ANY OTHER PROVISION OF LAW PROHIBITING THE ADVERTISING OF GOODS  OR
 SERVICES WITH THE INTENT NOT TO MEET REASONABLY EXPECTED DEMAND.
   11. NO PURCHASER SHALL BE REQUIRED TO PREPAY THE PURCHASE PRICE OR ANY
 PART THEREOF IN ORDER TO OBTAIN A RAINCHECK.
   12.  NOTHING  IN THIS SECTION SHALL BE CONSTRUED TO RESTRICT THE POWER
 OF ANY COUNTY, CITY, TOWN OR VILLAGE TO  ADOPT  AND  ENFORCE  ADDITIONAL
 LOCAL LAWS, ORDINANCES, OR REGULATIONS WHICH EXCEED THE MINIMUM APPLICA-
 BLE STANDARDS IN THIS SECTION.
   § 2. This act shall take effect on the one hundred eightieth day after
 it shall have become a law.