2012 New York Consolidated Laws
TAX - Tax
Article 20-A - (483 - 489) CIGARETTE MARKETING STANDARDS
486 - Exceptions.

 
    §  486. Exceptions. (a) The provisions of this article shall not apply
  to sales made:
    1. As an isolated transaction and not the usual course of business; or
    2. Where cigarettes are advertised, offered for sale, or sold  by  any
  fiduciary  or  other  officer acting under the order or direction of any
  court.
    (b) 1. Any retail  dealer  may  advertise,  offer  to  sell,  or  sell
  cigarettes  at  a  price  made  in  good  faith  to  meet the price of a
  competitor who is selling the same article at cost to him  as  a  retail
  dealer.  Any  agent  or wholesale dealer may advertise, offer to sell or
  sell cigarettes at a price made in good faith to meet  the  price  of  a
  competitor who is rendering the same type of services and is selling the
  same article at cost to him as an agent or as a wholesale dealer, as the
  case  may be.   The price of cigarettes advertised, offered for sale, or
  sold under the exceptions specified in subdivision (a) of  this  section
  shall  not be considered the price of a competitor and shall not be used
  as a basis for establishing prices  below  cost,  nor  shall  the  price
  established at a bankruptcy sale be considered the price of a competitor
  within the purview of this section.
    2.  In  the absence of proof of the price of a competitor, the cost of
  the retail dealer or the cost of the agent or wholesale dealer,  as  the
  case  may  be,  which  is  established  pursuant to section four hundred
  eighty-three of this article, may be deemed the price  of  a  competitor
  within the meaning of this section.
    (c) In establishing the cost of cigarettes of the retail dealer, agent
  or  wholesale  dealer, the invoice cost of said cigarettes purchase at a
  forced bankruptcy, or closeout  sale,  or  other  sale  outside  of  the
  ordinary  channels of trade, may not be used as a basis for justifying a
  price lower than one based upon the replacement cost of  the  cigarettes
  to  the  retail  dealer,  agent or wholesale dealer in the quantity last
  purchased through the ordinary channels of trade.