Senate Commerce Committee Statement to Senate, No. 3573 — State of New Jersey (May 15, 2023)

Summary

The Senate Commerce Committee of the State of New Jersey, in a statement dated May 15, 2023, reports favorably and with committee amendments Senate Bill No. 3573. As amended, a person selling goods or services at retail that offers a digital coupon must also make available an in-store alternative letting a consumer obtain the same product, service or benefit at the same price, discount or terms. The bill defines "digital coupon" and "in-store alternative," which may include paper coupons, electronic kiosks or application of the discount at the point-of-sale. A violation results in a civil penalty of $250 for a first offense and up to $500 for any subsequent offense, enforced by the Director of the Division of Consumer Affairs. The amendments reduced the penalties from $2,500 and up to $5,000.

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SENATE COMMERCE COMMITTEE

STATEMENT TO

SENATE, No.
3573

with
committee amendments

STATE
OF NEW JERSEY

DATED: MAY 15,
2023

The
Senate Commerce Committee reports favorably and with committee amendments
Senate Bill No. 3573.

As
amended, this bill provides that a person selling or offering for sale goods or
services at retail that offers a digital coupon is required to also make
available to a consumer an in-store alternative that would allow the consumer
to obtain the same product, service, or benefit at the same price, discount, or
on the same terms as that provided by the digital coupon.

The
bill defines “digital coupon” as a store coupon, rebate, or similar
instrument offered to a consumer through the Internet and only obtainable
through a consumer’s personal computing device, such as a personal computer,
smartphone, or tablet, and that provides to a consumer a discounted price or
benefit, redeemable at the physical location where the goods or services are
being offered for sale. In addition, the bill defines “in-store alternative” as
providing a consumer with the ability to obtain the same discounted price or
other benefit offered by the digital coupon through an alternative method at
the store location, including, but not limited to, paper coupons, electronic
kiosks, or application of the discounted price or benefit at the point-of-sale
upon the request of the consumer.

A
violation of the bill’s provisions results in a civil penalty of $250 for a
first offense and up to $500 for any subsequent offense, which may be collected
and enforced by the Director of the Division of Consumer Affairs.

COMMITTEE
AMENDMENTS

The
committee amended the bill to:

· provide that a person selling or offering for sale goods or
services at retail who offers a digital coupon is to also provide a consumer
with an in-store alternative to allow the consumer to obtain the same product,
service, or benefit at the same price, discount, or on the same terms as that
provided by the digital coupon;

· revise the definition of “digital coupon” to mean a coupon only
obtainable through a consumer’s personal computing device;

· define “in-store alternative” to mean providing a consumer with
the same discounted price or other benefit offered by the digital coupon
through an alternative method at the store location; and

· reduce the civil penalties for a violation of the provisions of
the bill from $2,500 for a first offense and up to $5,000 for a second or
subsequent offense to $250 and $500, respectively.

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