Sec. 42-210. Gray market imports. Notice. Penalties. Affirmative defense.
Sec. 42-210. Gray market imports. Notice. Penalties. Affirmative defense. (a)
As used in this section, "gray markets merchandise" means any brand-name consumer
product normally accompanied by a warranty valid in the United States which is imported into the United States through channels other than the manufacturer's authorized
United States distributor, for sale to the public in this state, and which, by reason of such
manner of distribution, may not be accompanied by a manufacturer's express written
warranty valid in the United States. Gray markets merchandise shall be limited to products purchased by a consumer for use primarily for personal, family or household purposes.
(b) Every retail dealer who knowingly sells or offers for sale any gray markets
merchandise shall post conspicuously, on a sign attached to the item itself, on a sign
affixed to each cash register or point of sale at which such goods are offered for sale,
or on a sign so situated as to be clearly visible to the buyer from the register, that either
some of the products or a specific product are not: (1) Accompanied by the manufacturer's warranty valid in the United States; (2) accompanied by instructions in English; or
(3) eligible for a rebate offered by the manufacturer.
(c) Every retail dealer or dealer engaged in a mail-order business who offers for
sale gray markets merchandise shall include the disclosure required by subsection (b)
of this section in any written advertisement relating to such product. Such disclosure
shall be made in type of a conspicuous size.
(d) Any retail dealer who violates any provision of this section shall be liable to the
buyer, for a period of up to twenty days from the date of purchase, for a refund or credit
on credit card purchases provided the product purchased has not been used or damaged
by the buyer.
(e) A violation of any of the provisions of this section shall be deemed an unfair or
deceptive trade practice under chapter 735a.
(f) It shall be an affirmative defense to any action brought pursuant to this section
that the consumer is provided with a written warranty which offers equal or greater
protection than the manufacturer's warranty through a warrantor demonstrated to be a
financially responsible retailer, distributor, importer or other person capable of fulfilling
warranty obligations.
(P.A. 86-302, S. 1.)