Senate File 2231

                                       SENATE FILE       
                                       BY  COMMITTEE ON COMMERCE

                                       (SUCCESSOR TO SSB 3069)


    Passed Senate,  Date               Passed House, Date             
    Vote:  Ayes        Nays           Vote:  Ayes        Nays         
                 Approved                            

                                      A BILL FOR

  1 An Act relating to fees charged for delayed redemption of
  2    electronic gift cards.
  3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  4 TLSB 6051SV 80
  5 kk/pj/5

PAG LIN

  1  1    Section 1.  Section 556.9, subsection 2, Code Supplement
  1  2 2003, is amended to read as follows:
  1  3    2.  An issuer of a gift certificate shall not deduct from
  1  4 the face value of the gift certificate any charge imposed due
  1  5 to the failure of the owner of the gift certificate to present
  1  6 the gift certificate in a timely manner, unless a valid and
  1  7 enforceable written contract exists between the issuer and the
  1  8 owner of the gift certificate pursuant to which the issuer
  1  9 regularly imposes such charges and does not regularly reverse
  1 10 or otherwise cancel them.  For purposes of this subsection,
  1 11 "gift certificate" means a merchandise certificate or
  1 12 electronic gift card conspicuously designated as a gift
  1 13 certificate or electronic gift card, and generally purchased
  1 14 by a buyer for use by a person other than the buyer.
  1 15                           EXPLANATION
  1 16    This bill amends the definition of "gift certificate" to
  1 17 include electronic gift cards with regard to disposition of
  1 18 unclaimed property.  The bill would prohibit an issuer of a
  1 19 gift card from deducting a fee from a gift card that is not
  1 20 presented for redemption in a timely manner where no valid
  1 21 contract exists to deduct the fee.
  1 22 LSB 6051SV 80
  1 23 kk/pj/5
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