093_HB0070

 
                                     LRB093 02399 WGH 02700 b

 1        AN ACT regarding gift certificates.

 2        Be  it  enacted  by  the People of the State of Illinois,
 3    represented in the General Assembly:

 4        Section 5.  The Consumer  Fraud  and  Deceptive  Business
 5    Practices Act is amended by adding Section 2MM as follows:

 6        (815 ILCS 505/2MM new)
 7        Sec. 2MM.  Gift certificates.
 8        (a)  This  Section  applies to gift certificates and gift
 9    cards sold on or after July 1, 2004.
10        (b)  It is an unlawful practice  within  the  meaning  of
11    this  Act  for  a  person  to  sell  to  a  consumer  a  gift
12    certificate  or  a  gift  card containing an expiration date,
13    except as otherwise specified in  subsection  (d).  Any  gift
14    certificate  or gift card sold on or after July 1, 2004 shall
15    be redeemable in cash for  its  cash  value,  or  subject  to
16    replacement  with  a  new gift certificate or gift card at no
17    cost to the consumer or holder.
18        (c)  A gift certificate or a gift card  sold  without  an
19    expiration date is valid until redeemed.
20        (d)  This Section shall not apply to any of the following
21    gift  certificates  or  gift cards issued on or after July 1,
22    2004, provided the expiration date appears in capital letters
23    in  at  least  10-point  font  on  the  front  of  the   gift
24    certificate or gift card:
25             (1)  Gift   certificates  or  gift  cards  that  are
26        distributed by the issuer to a consumer  pursuant  to  an
27        awards, loyalty, or promotional program without any money
28        or  other  thing of value being given in exchange for the
29        gift certificate or gift card by the consumer.
30             (2)  Gift certificates or gift cards that  are  sold
31        below  face value at a volume discount to employers or to
 
                            -2-      LRB093 02399 WGH 02700 b
 1        nonprofit and charitable  organizations  for  fundraising
 2        purposes   if   the   expiration   date   on  those  gift
 3        certificates or gift cards is not more than 30 days after
 4        the date of sale.
 5             (3)  Gift certificates or gift cards that are issued
 6        for a food product.