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51-06 Trading Stamps and Devices

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CHAPTER 51-06TRADING STAMPS AND DEVICES51-06-01. Cash value of trading stamps - Redemption. All stamps, coupons, tickets,certificates, cards, or similar devices, hereinafter called trading stamps, which are furnished to<br>any person in the course of the sale of goods or merchandise which may entitle the person<br>holding such trading stamps to receive or procure from any person goods or merchandise free of<br>charge or for less than the retail market price thereof, the value of such trading stamps excluded,<br>shall have the cash value of each trading stamp stated on the face thereof. All such trading<br>stamps must, at the option of the holder, be redeemable in cash at any office or agency of the<br>trading stamp company redeeming the trading stamps in merchandise or at any business<br>establishment furnishing such trading stamps with the sale of merchandise. Provided, further,<br>that the provisions of this chapter do not apply to any coupon, ticket, certificate, card, or other<br>similar device issued or distributed by a manufacturer or packer, which is redeemable for any<br>goods, wares, or merchandise, either by the manufacturer or packer, or their agents, or an<br>independent contractor acting for redemption.51-06-02.Retention of redemption funds.Any person, firm, corporation, limitedliability company, or association furnishing trading stamps to retailers and agreeing to redeem<br>trading stamps as provided in this chapter may not discontinue the redemption of trading stamps<br>without first notifying the secretary of state of such intention to discontinue redemption. Upon<br>such notice, the secretary of state shall direct that all funds set aside by the person, firm,<br>corporation, limited liability company, or association for the redemption of trading stamps and<br>such additional funds as in the judgment of the secretary of state may be necessary, be retained<br>by such person, firm, corporation, limited liability company, or association responsible for the<br>redemption of trading stamps for a period of six months for the purpose of redeeming<br>outstanding stamps in merchandise or reimbursing the holders thereof in cash. The secretary of<br>state may require the filing of an acceptable surety bond conditioned upon the redemption of<br>outstanding trading stamps or the reimbursement of the holders thereof.51-06-03. Penalty. Any person violating any of the provisions of this chapter is guilty ofa class B misdemeanor.Page No. 1Document Outlinechapter 51-06 trading stamps and devices