2013 New York Consolidated Laws
GBS - General Business
Article 26 - (390 - 399-ZZZ) MISCELLANEOUS
396 - Unlawful selling practices.


NY Gen Bus L § 396 (2012) What's This?
 
    §  396.  Unlawful  selling practices. 1. No person, firm, partnership,
  association or corporation, or agent or employee thereof, shall, in  any
  manner,   or   by   any  means  of  advertisement,  or  other  means  of
  communication, offer for sale any merchandise, commodity, or service, as
  part of a plan or scheme with the intent, design, or purpose not to sell
  the merchandise, commodity, or service so advertised at the price stated
  therein, or  with  the  intent,  design  or  purpose  not  to  sell  the
  merchandise,  commodity,  or  service  so  advertised.  Nothing  in this
  section shall apply  to  any  television  or  sound  radio  broadcasting
  station  or  to  any  publisher  or printer of a newspaper, magazine, or
  other form of printed advertising, who broadcasts, publishes, or  prints
  such advertisement.
    2.  a.  No  person,  firm, partnership, association or corporation, or
  agent or employee thereof, shall, in any manner, or by any means,  offer
  for  sale  goods,  wares  or  merchandise,  where the offer includes the
  voluntary and unsolicited sending of goods,  wares  or  merchandise  not
  actually  ordered  or  requested  by  the recipient, either orally or in
  writing;  any  such  goods,  wares  or  merchandise  so  sent  shall  be
  prominently  marked  upon  the  container  thereof  in  bold  letters as
  follows: "THIS IS A GIFT. PAYMENT  NOT  REQUIRED  FOR  THIS  ITEM".  The
  receipt  of  any  goods,  wares  or  merchandise pursuant to an existing
  membership or club arrangement in  which  the  recipient  receives  such
  goods,  wares  or merchandise at specified intervals or a plan where the
  recipient agrees to receive such goods,  wares  or  merchandise  without
  further  obligation shall not be construed as the receipt of unsolicited
  goods, wares or merchandise for the  purposes  of  this  section.    The
  receipt  of  any  such unsolicited goods, wares or merchandise shall for
  all purposes be deemed an unconditional gift to the  recipient  who  may
  use  or  dispose  of  the  same  in  any  manner he sees fit without any
  obligation on his part to the sender.
    If after any such receipt deemed to be  an  unconditional  gift  under
  this  paragraph  a,  the  sender  continues  to  send bill statements or
  requests for payment with respect thereto, an action may be  brought  by
  the  recipient to enjoin such conduct, in which action there may also be
  awarded reasonable attorneys' fees and costs to the prevailing party.
    b. If a person is a member of an organization which makes retail sales
  of any goods, wares, or merchandise  to  its  members,  and  the  person
  notifies  the organization of his termination of membership by certified
  mail,  return  receipt  requested,  any  unordered  goods,   wares,   or
  merchandise  which  are  sent  to the person after thirty days following
  execution of  the  return  receipt  for  the  certified  letter  by  the
  organization,  shall  for  all purposes be deemed unconditional gifts to
  the person, who may use or dispose of the goods, wares,  or  merchandise
  in  any  manner  he  sees  fit without any obligation on his part to the
  organization.
    If the termination of  a  person's  membership  in  such  organization
  breaches   any   agreement   with  the  organization,  nothing  in  this
  subdivision shall relieve the person from liability for damages to which
  he might be otherwise subjected to pursuant to law.
    The provisions of this paragraph shall not apply to  a  member  of  an
  organization the sole purpose of which is the sale of a specific type of
  goods,  wares  or  merchandise  to  its  members  until  the  member has
  fulfilled his initial purchase obligation.
    3. Whenever there shall be a violation of this section, an application
  may be made by the attorney general in the name of  the  people  of  the
  state  of New York to a court or justice having jurisdiction to issue an
  injunction, and upon notice to the defendant of not less than five days,
  to enjoin and restrain the continuance of  such  violation;  and  if  it

  shall  appear  to  the  satisfaction  of  the  court or justice that the
  defendant is, in fact, violating this  section,  an  injunction  may  be
  issued  by  such court or justice, enjoining and restraining such action
  or violation, without requiring proof that any person has, in fact, been
  misled or deceived or otherwise damaged thereby.

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