Consumer rebate bill is back

By CMTA Staff

Capitol Update, March 10, 2006 Share this on FacebookTweet thisEmail this to a friend

Senator Liz Figueroa (D-Sunol) has introduced SB 1737 to regulate manufacturers' and retailers' rebates to consumers. The provisions are exactly the same as those embodied in SB 1154, (also by Figueroa, 2004) which were opposed by CMTA and vetoed by the Governor. The most objectionable parts of the proposed regulation continue to be weak proof of purchase standards, mandated timelines for consumers to submit their rebate requests and short timelines for manufacturers to fulfill those requests. It also requires rebate forms on-site at the point of sale if they were not already included with the product and would result in restrictions that would likely cause conflicts for nationwide company rebate offers.

In his veto message, Governor Schwarzenegger indicated that existing contract law and federal and state consumer protection laws are sufficient for protecting consumers and recognized that the bill could cause conflicts for California companies that offer nationwide rebates and increase the chances that companies would exclude California from their nationwide consumer rebate offers.

Please contact Matt Sutton if you are interested in this legislation.

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