Report Title:

Gift Certificates

Description:

Prohibits gift certificate issuers from charging service fees, including but not limited to dormancy fees.

HOUSE OF REPRESENTATIVES

H.B. NO.

1736

TWENTY-SECOND LEGISLATURE, 2004

 

STATE OF HAWAII

 


 

A BILL FOR AN ACT

 

RELATING TO GIFT CERTIFICATES.

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. Section 481B-13, Hawaii Revised Statutes, is amended to read as follows:

"§481B-13 Gift certificates. (a) Any restaurant or person engaged in the business of offering services or goods for sale at retail may allow customers to purchase gift certificates; provided that the certificate issuer shall honor the certificate for a period of at least two years from the date of issuance.

(b) A certificate issuer shall include the expiration date on the face of any gift certificate that has an expiration date.

(c) A certificate issuer shall not charge a service fee, including but not limited to a service fee for dormancy.

[(c)](d) Any violation of subsection (a) [or], (b), or (c) shall constitute an unfair and deceptive act or practice in the conduct of trade or commerce within the meaning of section

480-2.

[(d)](e) As used in this section, unless the context requires otherwise:

"Certificate issuer" or "issuer" means a restaurant or a person engaged in the business of offering services or goods for sale at retail who sells gift certificates to customers.

"Gift certificate" or "certificate" includes any writing for which the certificate issuer has received payment for the full face value of the certificate for future purchases or delivery of goods or services."

SECTION 2. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 3. This Act shall take effect on July 1, 2004.

INTRODUCED BY:

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