CS/CS/HB 1259

1
A bill to be entitled
2An act relating to gift certificates and similar credit
3items; creating s. 501.95, F.S.; defining the terms
4"credit memo" and "gift certificate"; prohibiting a gift
5certificate or credit memo sold or issued for
6consideration in this state from having an expiration
7date, expiration period, or any type of postsale charge or
8fee imposed on the gift certificate or credit memo;
9providing certain exceptions; creating s. 717.1045, F.S.;
10providing that the holder of an unredeemed gift
11certificate or credit memo is not required to report the
12unredeemed gift certificate or credit memo as unclaimed
13property to the Department of Financial Services;
14providing that the consideration paid for an unredeemed
15gift certificate or credit memo is the property of the
16issuer, subject only to any rights of a purchaser or
17owner, and is not subject to a claim made by any state
18acting on behalf of a purchaser or owner; requiring that a
19gift certificate or credit memo be reported as unclaimed
20property; providing legislative intent; providing the
21consideration paid for the gift certificate or credit memo
22is the property of the owner of the gift certificate or
23credit memo; providing an effective date.
24
25Be It Enacted by the Legislature of the State of Florida:
26
27     Section 1.  Section 501.95, Florida Statutes, is created to
28read:
29     501.95  Gift certificates and credit memos.--
30     (1)  As used in this section, the term:
31     (a)  "Credit memo" means a certificate, card, stored value
32card, or similar instrument issued in exchange for returned
33merchandise when the certificate, card, or similar instrument is
34redeemable for merchandise, food, or services regardless of
35whether any cash may be paid to the owner of the certificate,
36card, or instrument as part of the redemption transaction.
37     (b)  "Gift certificate" means a certificate, gift card,
38stored value card, or similar instrument issued in exchange for
39monetary consideration when the certificate, card, or similar
40instrument is redeemable for merchandise, food, or services
41regardless of whether any cash may be paid to the owner of the
42certificate, card, or instrument as part of the redemption
43transaction, but this term shall not include tickets as
44specified in s. 717.1355.
45     (2)(a)  A gift certificate or credit memo sold or issued
46for consideration in this state may not have an expiration date,
47expiration period, or any type of postsale charge or fee imposed
48on the gift certificate or credit memo, including, but not
49limited to, service charges, dormancy fees, account maintenance
50fees, or cash-out fees. However, a gift certificate may have an
51expiration date of not less than 3 years if it is provided as a
52charitable contribution when no consideration is given to the
53issuer by the consumer, or not less than 1 year if it is
54provided as a benefit pursuant to an employee-incentive program,
55consumer-loyalty program, or promotional program when no
56consideration is given to the issuer by the consumer, and the
57expiration date is prominently disclosed in writing to the
58consumer at the time it is provided. In addition, a gift
59certificate may have an expiration date if it is provided as
60part of a larger package related to a convention, conference,
61vacation, or sporting or fine arts event having a limited
62duration so long as the majority of the value paid by the
63recipient is attributable to the convention, conference,
64vacation, or event. An issuer may honor a gift certificate that
65has expired on or before the effective date of this act.
66     (b)  Paragraph (a) does not apply to a gift certificate or
67credit memo sold or issued by a financial institution, as
68defined in s. 655.005, or by a money transmitter, as defined in
69s. 560.103, if the gift certificate or credit memo is redeemable
70by multiple unaffiliated merchants.
71     Section 2.  Section 717.1045, Florida Statutes, is created
72to read:
73     717.1045  Gift certificates and similar credit
74items.--Notwithstanding s. 717.117, an unredeemed gift
75certificate or credit memo as defined in s. 501.95 is not
76required to be reported as unclaimed property.
77     (1)  The consideration paid for an unredeemed gift
78certificate or credit memo is the property of the issuer of the
79unredeemed gift certificate or credit memo.
80     (2)  An unredeemed gift certificate or credit memo is
81subject only to any rights of a purchaser or owner thereof and
82is not subject to a claim made by any state acting on behalf of
83a purchaser or owner.
84     (3)  It is the intent of the Legislature that this section
85apply to the custodial holding of unredeemed gift certificates
86and credit memos.
87     (4)  However, a gift certificate or credit memo described
88in s. 501.95(2)(b) shall be reported as unclaimed property. The
89consideration paid for such a gift certificate or credit memo is
90the property of the owner of the gift certificate or credit
91memo.
92     Section 3.  This act shall take effect upon becoming a law.


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