Representations to the PublicTrading Stamp Company Act
Section § 17750
This law defines a "trading stamp" as any stamp or similar item given when you buy products or services at retail. These stamps can be redeemed for more products, services, or cash as a form of discount or as part of a marketing campaign.
Section § 17751
This law defines 'trading stamps' as stamps or similar items given as gifts or as part of transactions that aren't related to retail sales. It includes stamps from companies that also provide these in retail settings, as cash discounts, or for any marketing purpose. These stamps can be redeemed just like those that are given during retail sales.
Section § 17752
This section clarifies that 'trading stamp' does not include coupons or redeemable items from manufacturers or publications like newspapers and magazines when they are used for promotions or sales.
Section § 17753
This law clarifies that a 'trading stamp' is not the same as coupons or other devices given out by a merchant if these are only redeemable for specific items that the merchant already sells. Essentially, it's saying that when a merchant gives customers a coupon or certificate that can only be used in their store for items they stock, it's not a 'trading stamp'.
Section § 17754
This law states that the specific items mentioned in Sections 17752, 17753, and 17760 are not used by dishonest trading stamp companies for improper activities.
Section § 17755
Section § 17756
This section defines the term 'person' to include not just individual people but also various types of business entities like partnerships, corporations, limited liability companies, and associations.
Section § 17757
This section defines what is meant by the term 'organization.' It includes any partnership, corporation, limited liability company, or association.
Section § 17758
In this context, the word "Issue" encompasses a variety of actions related to products or services, such as using them, handing them out, selling them, giving them away, or granting licenses for any of these activities.
Section § 17759
This section defines a 'merchant' as not just someone who sells goods, but also anyone involved in providing services or operating in a similar way.
Section § 17760
This section states that nonprofit merchant organizations are exempt from certain rules if they handle trading stamps. The exemption applies only when these stamps are solely issued and redeemed by the organization or its members. All members must agree in a written document to cover each other's liabilities for the stamps, and the redemption can be in goods or cash from any member's stock.
Section § 17761
This law makes it illegal to give out trading stamps unless each stamp clearly shows two things: the name of the company that will redeem the stamp and how much the stamp is worth in money, whether that's in pennies, smaller fractions of currency, or parts of pennies.
Section § 17762
This law says that if you have trading stamps from a company, the company must let you exchange them for merchandise, services, or cash. However, if the company only allows cash exchanges, you can't choose merchandise or services. Also, you need to have stamps worth at least $1 to exchange them for cash.
Section § 17763
This law makes it illegal for anyone to intentionally use or accept trading stamps without permission from the company that originally issued them.
Section § 17764
This law allows people to redeem trading stamps that were issued on or before December 31, 1997, as long as they have a contract for it.
Section § 17765
If you are offering trading stamps with your goods or services, you must provide them for all items if the buyer asks, unless you clearly indicate which items won't come with stamps either in ads or on a visible list at your business.
Section § 17766
This law clarifies that if there's a law or rule that bans giving trading stamps or rewards with certain products or services, this chapter doesn't change that ban. In other words, it doesn't force businesses to offer trading stamps if it's illegal for them to do so.
Section § 17767
If a company that issues trading stamps does not exchange them for their promised value, the person holding the stamps can sue the company for damages. They need to do this within three years of the company not honoring the stamps.
Section § 17768
If a merchant wants to stop giving out trading stamps to customers, they must post a clear notice in their store. This notice should include the date they will stop issuing stamps, the name and address of the company responsible for redeeming the stamps, and the options for redeeming the stamps, which can be for merchandise, service, or cash. The notice must be up at least seven days before stopping the stamps and stay posted for 30 days after they stop.
Section § 17769
This law states that if a company that provides trading stamps decides to stop issuing them, the company must notify any merchants who have issued those stamps in the last year. The notice should be given in writing at least 90 days before they stop.
Section § 17770
If someone breaks a rule in this chapter, they can be fined up to $1,000 for each time they break the rule. Additionally, anyone who is concerned about these violations can ask a superior court to legally stop the person from continuing to break these rules.
Section § 17771
Section § 17772
This law states that trading stamps given out by trading stamp companies do not have to follow the rules set out in the Corporate Securities Law of 1968, which is a set of regulations for securities in California.
Section § 17773
This law says that businesses don't have to display the cash value or merchandise value of trading stamps on signs or ads, like those for gasoline or motor fuel prices, even if these are at gas stations or similar places.