H.B. 459

1

UNFAIR PRACTICES ACT AMENDMENTS
2 2007 GENERAL SESSION
3 STATE OF UTAH
4 Chief Sponsor: Stephen D. Clark
5 Senate Sponsor: ____________
6
7 LONG TITLE
8 General Description:
9 This bill imposes requirements on a retailer or wholesaler offering a no-interest credit
10 plan for purchases of a minimum amount.
11 Highlighted Provisions:
12 This bill:
13 . requires disclosure of a minimum purchase price requirement before a retailer sells
14 merchandise under a no-interest credit plan; and
15 . requires disclosure of any minimum purchase price requirement in any
16 advertisement of a no-interest credit plan with a minimum purchase price
17 requirement.
18 Monies Appropriated in this Bill:
19 None
20 Other Special Clauses:
21 None
22 Utah Code Sections Affected:
23 ENACTS:
24 13-5-7.5, Utah Code Annotated 1953
25
26 Be it enacted by the Legislature of the state of Utah:
27 Section 1. Section 13-5-7.5 is enacted to read:

28 13-5-7.5. Restriction on no-interest credit plans.
29 (1) A retailer or wholesaler may not advertise, offer to sell, or sell any merchandise
30 under a credit plan that does not provide for the payment of interest if a minimum purchase
31 price is required to qualify for the plan, unless the retailer or wholesaler discloses:
32 (a) the minimum purchase price requirement before the sale of the merchandise; and
33 (b) any interest rate to apply at the conclusion of a period where no interest is required
34 to be paid.
35 (2) A retailer or wholesaler who advertises the sale of merchandise under a credit plan
36 described in Subsection (1) shall disclose in the advertisement:
37 (a) any minimum purchase price requirement in the advertisement; and
38 (b) any interest rate to apply at the conclusion of a period where no interest is required
39 to be paid.
40 (3) (a) If an advertisement under Subsection (2) is in printed form, the disclosure shall
41 be:
42 (i) in plain language;
43 (ii) in large type of at least 14 font; and
44 (iii) located adjacent to any statement indicating the availability of a credit plan that
45 does not provide for the payment of interest.
46 (b) If an advertisement under Subsection (2) is in any electronic format, the disclosure
47 shall be:
48 (i) in plain language; and
49 (ii) included as part of the advertising copy.




Legislative Review Note
as of 2-2-07 11:27 AM

Office of Legislative Research and General Counsel