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