Senator Laird's gift certificate legislation modifies California's consumer protection requirements by raising the mandatory cash redemption threshold and creating new provisions for donated certificates. The measure updates the definition of gift certificates to explicitly include electronic gift cards while maintaining existing protections regarding expiration dates and service fees.
Under the bill's two-phase implementation, gift certificates valued under $10 will continue to be redeemable in cash until April 2026, when the threshold increases to $15. The legislation also establishes an exemption for certificates donated to nonprofit and charitable organizations, provided they include a disclaimer in 10-point font stating the card cannot be redeemed for cash under state law.
The measure preserves current provisions allowing dormancy fees on reloadable cards with balances of $5 or less after 24 months of inactivity, as well as existing exemptions for promotional certificates, fundraising sales to nonprofits, and certificates for perishable food items. The bill maintains requirements that any expiration dates must appear prominently on certificates in capital letters and 10-point font.
![]() John LairdD Senator | Bill Author | Not Contacted |
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Senator Laird's gift certificate legislation modifies California's consumer protection requirements by raising the mandatory cash redemption threshold and creating new provisions for donated certificates. The measure updates the definition of gift certificates to explicitly include electronic gift cards while maintaining existing protections regarding expiration dates and service fees.
Under the bill's two-phase implementation, gift certificates valued under $10 will continue to be redeemable in cash until April 2026, when the threshold increases to $15. The legislation also establishes an exemption for certificates donated to nonprofit and charitable organizations, provided they include a disclaimer in 10-point font stating the card cannot be redeemed for cash under state law.
The measure preserves current provisions allowing dormancy fees on reloadable cards with balances of $5 or less after 24 months of inactivity, as well as existing exemptions for promotional certificates, fundraising sales to nonprofits, and certificates for perishable food items. The bill maintains requirements that any expiration dates must appear prominently on certificates in capital letters and 10-point font.
Ayes | Noes | NVR | Total | Result |
---|---|---|---|---|
37 | 0 | 3 | 40 | PASS |
![]() John LairdD Senator | Bill Author | Not Contacted |