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.
STATE OF NEW YORK
________________________________________________________________________
S. 1711 A. 1498
2019-2020 Regular Sessions
SENATE - ASSEMBLY
January 15, 2019
___________
IN SENATE -- Introduced by Sen. CARLUCCI -- read twice and ordered
printed, and when printed to be committed to the Committee on Consumer
Protection
IN ASSEMBLY -- Introduced by M. of A. GALEF, L. ROSENTHAL, ENGLEBRIGHT,
WEPRIN, SEAWRIGHT -- read once and referred to the Committee on
Consumer Affairs and 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 § 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.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD00229-01-9
S. 1711 2 A. 1498
1 (e) Products defined in subdivision three of section two of the agri-
2 culture and markets law shall be excluded from the provisions of this
3 section, provided, however, that any retailer offering for sale or sell-
4 ing such products may issue rainchecks pursuant to this section.
5 2. A raincheck issued pursuant to subdivision one of this section
6 shall entitle the holder to purchase, at the store issuing such rain-
7 check, the advertised article at the advertised price within sixty days
8 from the date of issuance or for a period of ten business days from the
9 first date of availability of the article, whichever shall be later.
10 The issuance of such raincheck shall constitute an agreement on the
11 part of the seller to supply such article at such price. Nothing
12 contained herein shall prohibit a seller from offering a similar article
13 of equal or greater value either during the period covered by such
14 advertisement of the article or within sixty days from the date of issu-
15 ance of the raincheck, or the seller and purchaser from agreeing to
16 lengthen the redemption period of such raincheck. If the purchaser
17 accepts substitution, such substitution shall constitute compliance with
18 the provisions of subdivision one of this section.
19 3. The raincheck shall include at least the following information:
20 (a) Name, address and telephone number of the issuer.
21 (b) Date of issuance.
22 (c) Last date that the raincheck can be redeemed.
23 (d) Name, description and quantity desired of the article.
24 (e) The advertised price.
25 4. The raincheck shall contain the following notice:
26 You may redeem this raincheck for the advertised item described on the
27 other side within sixty days of issuance or for a period of ten business
28 days from the first date of availability of the item, whichever shall be
29 later.
30 You will pay only the advertised price for the item.
31 You are under no obligation to buy the item.
32 5. It shall be an affirmative defense to an alleged violation of this
33 section that the seller was unable to honor a raincheck within the
34 redemption period because such seller did not receive a reorder of the
35 advertised article from a supplier through no fault of the seller
36 provided, however, that the seller must maintain records sufficient to
37 show that the advertised sale items were reordered in adequate time for
38 delivery and in sufficient quantity to fulfill raincheck obligations.
39 6. This section shall not apply to a purchase for resale.
40 7. Nothing in this section shall be construed to relieve the seller
41 from any other provision of law prohibiting the advertising of goods or
42 services with the intent not to meet reasonably expected demand.
43 8. No purchaser shall be required to prepay the purchase price or any
44 part thereof in order to obtain a raincheck.
45 9. Nothing in this section shall be construed to restrict the power of
46 any county, city, town or village to adopt and enforce additional local
47 laws, ordinances, or regulations which exceed the minimum applicable
48 standards in this section.
49 § 2. This act shall take effect on the one hundred eightieth day after
50 it shall have become a law.