[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 85 Introduced in House (IH)]






109th CONGRESS
  1st Session
                                 H. R. 85

 To direct the Federal Trade Commission to issue rules which prohibit 
            expiration dates and fees on gift certificates.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            January 4, 2005

Mr. Frelinghuysen introduced the following bill; which was referred to 
                  the Committee on Energy and Commerce

_______________________________________________________________________

                                 A BILL


 
 To direct the Federal Trade Commission to issue rules which prohibit 
            expiration dates and fees on gift certificates.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Gift Card Protection Act''.

SEC. 2. PROHIBITION ON EXPIRATION DATES AND FEES FOR GIFT CERTIFICATES.

    (a) Prohibition.--Not later than 180 days after the date of 
enactment of this Act, the Federal Trade Commission shall promulgate a 
rule under section 18(a) of the Federal Trade Commission Act (15 U.S.C. 
57a(a)) providing that it shall be an unfair or deceptive act or 
practice under section 5 of such Act (15 U.S.C. 45) for any gift 
certificate issued by any person after the effective date of such rule 
to include or bear an expiration date, or for any person to deduct any 
service charges or dormancy fees from a gift certificate issued after 
the effective date of such rule.
    (b) Effective Date of Rule.--The rule required by subsection (a) 
shall take effect 90 days after such rule is promulgated pursuant to 
such subsection.
    (c) Limitation.--Nothing in this Act or in the rule to be 
promulgated pursuant to this section shall be construed to prohibit an 
authorized State official from proceeding in State court on the basis 
of an alleged violation of any civil or criminal statute of such State.

SEC. 3. DEFINITION OF GIFT CERTIFICATE.

    The term ``gift certificate'' shall mean a writing identified as a 
gift certificate purchased by a buyer for use by a person other than 
the buyer, or at a later date, not redeemable for cash and usable in 
its face amount for goods or services provided by the seller. Such term 
shall include an electronic card with a stored dollar value, a 
merchandise credit, or any other medium that evidences that the issuer 
has received payment for the full face value for the future purchase or 
delivery of goods or services.
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