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This entry was published on 2014-09-22
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SECTION 391-Q
Rebates
General Business (GBS) CHAPTER 20, ARTICLE 26
§ 391-q. Rebates. 1. For the purposes of this section, the term
"rebate" shall mean an offer to provide cash, credit, or credit towards
future purchases, that is offered to consumers who acquire or purchase a
specified product or service and that is conditioned upon the customer
submitting a request for redemption after satisfying the terms and
conditions of the offer. The term shall not include any discount from
the purchase price that is taken at the time of purchase, any discount,
cash, credit, or credit towards a future purchase that is automatically
provided to a consumer without the need to submit a request for
redemption, or any refund that may be given to a consumer in accordance
with a company's return, guarantee, adjustment, or warranty policies, or
any company's frequent shopper customer reward program.

2. (a) Any individual, firm, company, partnership, limited liability
company, corporation or entity offering a consumer rebate shall provide
the rebate redemption form directly with the product or at the same
location and at the same time that the consumer purchases the product,
or at the time a contractual agreement for service is signed by the
consumer.

(b) Any individual, firm, company, partnership, limited liability
company, corporation or entity that does not provide rebate redemption
forms directly with its product may comply with this section by
supplying the retailer with either of the following: (1) a sufficient
quantity of rebate redemption forms based on reasonably anticipated
sales; or (2) the means to create a rebate redemption form prior to or
at the time and place of sale.

(c) For purposes of internet sales, a generally accessible individual,
firm, company, partnership, limited liability company, corporation or
entity internet site that clearly and conspicuously displays the rebate
redemption form as a printable document on the internet page on which
the product is purchased or on an internet page accessible by a
hyperlink from the page on which the product is purchased shall comply
with this section. For purposes of telephone sales, directing consumers
to a generally accessible individual, firm, company, partnership,
limited liability company, corporation or entity internet site that
clearly and conspicuously displays the rebate redemption form as a
printable document on the internet page on which the product is
purchased or on an internet page accessible by a hyperlink from the page
on which the product is purchased and, upon request, sending the rebate
redemption form via the consumer's choice of regular or electronic mail
or telefacsimile shall comply with this section.

3. (a) Any individual, firm, company, partnership, limited liability
company, corporation or entity that offers a consumer rebate shall
conspicuously disclose to the consumer (i) if the rebate will be issued
to the consumer in any form other than cash or check, including but not
limited to credit, credit towards a future purchase, gift certificate,
gift card, general use prepaid card or any other form of compensation,
and (ii) whether any additional fees related to the exercise or
non-exercise of the rebate may apply.

(b) Any retailer advertising a rebate shall clearly disclose whether
the rebate will be issued to the consumer in any form other than cash or
check, including but not limited to credit, credit towards a future
purchase, gift certificate, gift card, general use prepaid card or any
other form of compensation.

(c) Any individual, firm, company, partnership, limited liability
company, corporation or entity that offers a consumer rebate shall allow
a minimum of fourteen days from the date the consumer purchases the
product, or becomes eligible for the rebate upon satisfying the terms
and conditions of the offer for the submission of a request for
redemption by the consumer.

4. Upon receipt of a request for redemption meeting the terms and
conditions of the rebate offer, an individual, firm, company,
partnership, limited liability company, corporation or entity shall mail
the rebate or transmit the rebate funds to the consumer within sixty
days.

5. Any person, firm, corporation or association offering a rebate who
violates this section shall be subject to a civil penalty of not less
than one hundred dollars nor more than one thousand dollars for each
such violation.