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The 193rd General Court of the Commonwealth of Massachusetts

AN ACT FURTHER REGULATING THE EXPIRATION DATES OF GIFT CERTIFICATES AND CERTAIN OTHER MEDIUMS OF EXCHANGE.

Whereas , The deferred operation of this act would tend to defeat its purpose, which is to regulate forthwith the expiration dates of gift certificates and certain other mediums of exchange, therefore it is hereby declared to be an emergency law, necessary for the immediate preservation of the public convenience.


Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:


SECTION 1. Chapter 510 of the acts of 2002 is hereby amended by striking out section 4 and inserting in place thereof the following section:-

Section 4. Said chapter 200A is hereby further amended by striking out section 5D and inserting in place thereof the following section:-

Section 5D. A gift certificate, as defined in section 1 of chapter 255D, sold or offered to be sold shall be valid for not less than 7 years after its date of issuance. The date of issuance and the expiration date shall be clearly identified on its face, subject to section 75C of chapter 266, or, if an electronic card with a banked dollar value, clearly printed upon a sales receipt transferred to the purchaser of the electronic card upon the completed transaction, or otherwise made available to the purchaser or holder of the electronic card through means of an Internet site or a toll free information telephone line. A gift certificate not clearly marked with an expiration date or for which the expiration date is not otherwise made available as provided in this section shall be redeemable in perpetuity. Once an expiration date has been reached, the issuer of the gift certificate shall not be subject to section 7. Notwithstanding any general or special law to the contrary, upon a gift certificate being redeemed for at least 90 per cent of its face value, a consumer shall make an election to receive the balance in cash or to continue with the gift certificate.

SECTION 2. Section 6 of said chapter 510 is hereby amended by adding the following sentence:- A gift certificate shall not include pre-paid calling arrangements, as defined in section 1 of chapter 64H of the General Laws.

SECTION 3. Said chapter 510 is hereby further amended by striking out section 8 and inserting in place thereof the following section:-

Section 8. Notwithstanding any general or special law to the contrary, a gift certificate, as defined in section 1 of chapter 255D of the General Laws, that has been issued but not redeemed as of the effective date of this act shall expire 7 years after its date of issuance. If the date of issuance is not clearly identified on its face, subject to section 75C of chapter 266 of the General Laws, a gift certificate shall be redeemable in perpetuity; provided, however, that in the case of an electronic card with a banked dollar value, if the date of issuance is not clearly printed upon the sales receipt or otherwise made available to the purchaser or holder of the electronic card through means of an Internet site or a toll free information telephone line, it shall be redeemable in perpetuity.

Approved May 30, 2003.