Senate Bill 0810

CODING: Words stricken are deletions; words underlined are additions.



    Florida Senate - 2000                                   SB 810

    By Senator Carlton





    24-389A-00

  1                      A bill to be entitled

  2         An act relating to the Motor Fuel Marketing

  3         Practices Act; amending s. 526.303, F.S.;

  4         redefining the terms "nonrefiner cost" and

  5         "retail outlet"; amending s. 526.304, F.S.;

  6         providing for the deduction of discounts when

  7         determining whether gasoline is being sold

  8         below cost; providing legislative intent;

  9         providing an effective date.

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11  Be It Enacted by the Legislature of the State of Florida:

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13         Section 1.  Subsections (7) and (14) of section

14  526.303, Florida Statutes, are amended to read:

15         526.303  Definitions.--As used in this act:

16         (7)  "Nonrefiner cost" means:  the nonrefiner's invoice

17  cost by grade of the motor fuel, by grade, less credit card

18  allowances, trade discounts, and rebates actually received,

19  which may not be less than the posted terminal price of the

20  nonrefiner's supplier as determined in accordance with

21  subsection (8), to which shall be added federal, state, and

22  local taxes and inspection fees applicable to motor fuel;

23  freight charges to the retail outlet; and direct labor costs

24  and the reasonable rental value of the retail outlet

25  attributable to the sale of motor fuel by the nonrefiner.  If

26  motor fuel is sold with another item at a combined price,

27  nonrefiner motor fuel cost shall also include the cost of the

28  other item and the direct labor costs and the reasonable

29  rental value of the retail outlet attributable to the retail

30  sale of the item by the nonrefiner.

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CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 2000                                   SB 810
    24-389A-00




  1         (14)  "Retail outlet" means a facility, including land

  2  and improvements, where motor fuel is offered for sale, at

  3  retail, to the motoring public, including a facility selling

  4  only to members.

  5         Section 2.  Subsections (1) and (2) of section 526.304,

  6  Florida Statutes, are amended to read:

  7         526.304  Predatory practices unlawful; exceptions.--

  8         (1)(a)  It is unlawful for any refiner engaged in

  9  commerce in this state to sell any grade or quality of motor

10  fuel at a retail outlet at a price which, after deducting any

11  discounts received at the time of purchase, is below refiner

12  cost, where the effect is to injure competition.

13         (b)  It is unlawful for any nonrefiner engaged in

14  commerce in this state to sell any grade or quality of motor

15  fuel at a retail outlet at a price which, after deducting any

16  discounts received at the time of purchase, is below

17  nonrefiner cost, where the effect is to injure competition.

18         (2)(a)  An isolated, inadvertent incident involving

19  activity prohibited pursuant to subsection (1) or subsection

20  (3) shall not be a violation of this act.

21         (b)  A refiner's sale below refiner cost or a

22  nonrefiner's sale below nonrefiner cost made in good faith to

23  meet an equally low retail price, net of any discounts

24  received at the time of sale, of a competitor selling motor

25  fuel of like grade in the same relevant geographic market

26  which can be used in the same motor vehicle, or of the same or

27  similar items in combination with motor fuel of like grade

28  which can be used in the same motor vehicle, is not a

29  violation of this act.

30         Section 3.  It is the intent of the Legislature that

31  this act clarifies and confirms existing law.

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CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 2000                                   SB 810
    24-389A-00




  1         Section 4.  This act shall take effect upon becoming a

  2  law.

  3

  4            *****************************************

  5                          SENATE SUMMARY

  6    In the Motor Fuel Marketing Practices Act, redefines the
      terms "nonrefiner cost" and "retail outlet" and provides
  7    for the deduction of discounts when pricing gasoline for
      unlawful below-cost sales.
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