Subchapter 2 - TRUTH-IN-PRICING LAW

Section 20-707

Section 20-707

  § 20-707 Definitions. (a) "Consumer commodity" shall be defined as any
article,  good,  merchandise,  product or commodity of any kind or class
produced, distributed or offered for  retail  sale  for  consumption  by
individuals,  or  for  personal,  household  or family purposes. For the
purposes of this subchapter, drugs, medicines and cosmetics shall not be
considered consumer commodities.
  (b) "Price per measure" shall be defined as  the  retail  price  of  a
consumer  commodity  expressed  in  terms  of  the  retail price of such
commodity per such unit of weight, standard measure or  standard  number
of units as the commissioner shall designate by regulation.

Section 20-708

Section 20-708

  §  20-708  Display of total selling price by tag or sign. All consumer
commodities, sold, exposed for sale or offered for sale at retail except
those items subject  to  section  20-708.1  of  this  code,  shall  have
conspicuously  displayed, at the point of exposure or offering for sale,
the total selling price exclusive of tax by means of (a) a stamp, tag or
label attached to the item or (b) by a sign  at  the  point  of  display
which  indicates  the item to which the price refers, provided that this
information is plainly visible at the point of display for sale  of  the
items so indicated. This section shall not apply to consumer commodities
displayed in the window of the seller.

Section 20-708.1

Section 20-708.1

  §  20-708.1  Item  pricing.  a. Definitions. The following terms shall
have the following meanings for the purpose of this section:
  1. "Stock keeping unit", known in the industry as  "SKU",  shall  mean
each group of items offered for sale of the same brand name, quantity of
contents, retail price, and variety within the following categories:
  (a)  Food,  including  all  material,  solid, liquid or mixed, whether
simple or compound, used or intended for consumption by human beings  or
domestic  animals  normally kept as household pets and all substances or
ingredients to be added thereto for any purpose;
  (b) Napkins, facial tissues, toilet tissues, paper towelling  and  any
disposable  wrapping or container for the storage, handling, serving, or
disposal of food;
  (c) Detergents, soaps and other cleansing agents; and
  (d) Non-prescription drugs, feminine hygiene products and  health  and
beauty aids.
  2.  "Stock  keeping  item"  shall mean each individual item of a stock
keeping unit offered for sale. This shall include  two  or  more  pieces
packaged for sale together.
  3.  "Retail store" shall mean a store engaged in selling stock keeping
units at retail. A store which is not open to the general public but  is
reserved for use by its members shall come within the provisions of this
definition  unless  the  members  must  pay a direct fee to the store to
qualify for membership and the store is not required  to  collect  sales
tax  on  transactions with members. A retail store shall not include any
store which:
  (a) Has as its only full-time  employee  the  owner  thereof,  or  the
parent,  spouse, domestic partner or child of the owner, and in addition
thereto not more than two full-time employees; or
  (b) Had annual gross sales of stock  keeping  items  in  the  previous
calendar  year of less than two million dollars, unless the retail store
is part of a network of subsidiaries, affiliates or other member stores,
under direct or indirect common control, which, as a group,  had  annual
gross  sales of stock keeping items in the previous calendar year of two
million dollars or more; or
  (c) Engages primarily in the sale  of  food  for  consumption  on  the
premises  or  in a specialty trade which the commissioner determines, by
rule, would be inappropriate for item pricing.
  4. "Item price" shall mean the tag, stamp or mark affixed to  a  stock
keeping  item  which  sets  forth,  in arabic numerals, the retail price
thereof.
  5. "Advertised price" shall mean the price of  a  stock  keeping  unit
which  a  retail  store  has  caused  to  be  disseminated  by  means of
promotional methods such as an in-store sign,  or  newspaper,  circular,
television or radio advertising.
  6.  "Shelf  price"  shall mean the tag or sign placed at each point of
display of a stock keeping unit, which clearly  sets  forth  the  retail
price of the stock keeping items within that stock keeping unit.
  7.  "Computer-assisted  checkout  system"  shall  mean  any electronic
device, computer system or machine which indicates the selling price  of
a  stock  keeping item by interpreting its universal product code, or an
in-house product code, or by use of its price look-up function.
  8. "Price look-up function" shall mean the capability of any  checkout
system  to  determine the retail price of a stock keeping item by way of
the manual entry into the system of  a  code  number  assigned  to  that
particular  stock  keeping  unit  by  the  retail store or by way of the
checkout operator's consultation of a file maintained at  the  point  of
sale.
  9. "Inspector" shall mean the the commissioner or his or her designee.

  b.  Item pricing required. Except as provided in subdivision c of this
section, every person, firm,  partnership,  corporation  or  association
which  sells,  offers  for sale or exposes for sale in a retail store, a
stock keeping unit, shall disclose to the consumer  the  item  price  of
each  stock keeping item, by causing the item price to be conspicuously,
clearly and plainly marked, stamped, tagged or affixed thereto.
  c. Certain items exempted. The following stock keeping items need  not
be  item  priced  as  provided in subdivision b of this section provided
that a shelf price and a price look-up function are maintained for  such
stock keeping items:
  1. Milk.
  2. Stock keeping items which are under three cubic inches in size, and
weigh less than three ounces, and are priced under one dollar.
  3. Eggs.
  4. Fresh produce not packaged for final retail sale.
  5. Products sold through a vending machine.
  6. Food sold for consumption on the premises.
  7. Snack foods such as cakes, gum, candies, chips and nuts offered for
sale in single packages and weighing five ounces or less.
  8. Cigarettes, cigars, tobacco and tobacco products.
  9. Food offered for sale in bulk.
  10. Frozen juice.
  11. Ice cream.
  12. Frozen foods packaged for final retail sale in plastic bags.
  13. Stock keeping items on sale for one week or less, where such stock
keeping items are not otherwise item priced, are located in a segregated
display  at  the  end  of an aisle, and the sale period, the name of the
product and the advertised price are clearly and conspicuously posted on
a sign at the point of display.  Failure  to  display  this  information
shall be deemed a deceptive practice under section 20-701 of this code.
  14. Baby food packaged in jars.
  d.  Scanner accuracy. In a retail store with a laser scanning or other
computer-assisted checkout system, an inspector shall  be  permitted  to
compare  the disclosed retail price of any one stock keeping item within
any stock keeping unit sold in the retail store, whether or  not  exempt
under  subdivision  c  of this section, not to exceed five hundred stock
keeping items at any one inspection, with the programmed computer price.
The retail store shall  provide  such  access  to  the  computer  as  is
necessary  for  the  inspector  to make the determination. The inspector
shall also make note of undercharges on the inspection  report.  In  the
event  that  the  programmed  computer  price exceeds the lowest price a
retail store is permitted to charge  for  a  stock  keeping  item  under
subdivision e of this section, this shall be deemed a deceptive practice
under section 20-701 of this code.
  e. Price accuracy. No retail store shall charge a retail price for any
stock  keeping  item,  whether or not exempt under subdivision c of this
section, which exceeds the lower of any item, shelf, sale or  advertised
price of such stock keeping item.
  f.  Enforcement,  penalties.  1. Upon the request of an inspector, the
retail store representative shall afford the  inspector  access  to  the
test  mode  of  the  checkout system in use at that retail store or to a
comparable function of such system and to the retail  price  information
contained in a price look-up function. No more than one inspection shall
be conducted in any twenty-four hour period.
  2. In addition to the enforcement powers prescribed in sections 20-703
and  20-704  of  this  code, the commissioner may, upon due notice, hold
hearings to determine whether  violations  of  the  provisions  of  this
section  have occurred. Such notice shall contain a concise statement of

the facts constituting the alleged violation and  shall  set  forth  the
date,  time  and  place of the hearing. Upon a finding of a violation of
the provisions of this section, the commissioner shall be authorized  to
impose a civil penalty as follows:
  (a)  upon  a first inspection, up to twenty-five dollars for the first
twenty violations and up to  fifty  dollars  for  the  twenty-first  and
successive  violations,  total  violations  not  to  exceed two thousand
dollars.
  (b) upon a second or subsequent inspection within a two  week  period,
up to fifty dollars for the first twenty continued violations, and up to
one  hundred  dollars  for  the  twenty-first  and  successive continued
violations,  total  violations  issued  not  to  exceed  eight  thousand
dollars.
  3.  Each  failure  to  comply  with subdivision b of this section with
respect to any one  stock  keeping  unit  shall  constitute  a  separate
violation,  provided,  however,  that  no violation shall be found where
less than five stock keeping items of a particular  stock  keeping  unit
lack clearly readable item prices. Following an initial inspection, each
inspection   that  finds  a  continuing  violation  with  respect  to  a
particular stock keeping unit cited within the  previous  fourteen  days
shall constitute a separate continued violation.
  g.  Rules. The commissioner may promulgate such rules as he or she may
deem necessary  or  appropriate  to  effectuate  the  purposes  of  this
section.

Section 20-709

Section 20-709

  §  20-709  Display  of  price  per  measure.  All consumer commodities
designated by the commissioner in accordance  with  subdivision  (a)  of
section  20-710  hereof  exposed  for  sale or offered for sale shall be
plainly marked by a stamp, tag, label or sign at the  point  of  display
with  the  appropriate  price  per  measure;  provided however, that the
provisions of this section shall not apply to any food store having  had
annual  gross  sales  in  the previous tax year of less than two hundred
fifty thousand dollars, ($250,000) unless it is a part of a  network  of
subsidiaries,  affiliates,  or  other  member  stores,  under  direct or
indirect common control, which, as a group, had annual  gross  sales  in
the  previous  tax year of two hundred fifty thousand dollars ($250,000)
or more.

Section 20-710

Section 20-710

  § 20-710 Regulations. (a) The commissioner after public hearings shall
promulgate  regulations  designating  those  consumer  commodities which
shall come within  the  scope  of  section  20-709  of  this  subchapter
whenever  the commissioner shall find that, because of the nature, form,
mode of packaging or other reason, such price display for that commodity
shall be necessary and appropriate to provide  adequate  information  to
the consumer.
  (b)  The commissioner shall promulgate regulations exempting any class
or classes of retail establishments from  the  requirements  of  section
20-709  hereof or modifying its application with respect to any class or
classes of retail establishments to  the  extent  that  and  under  such
conditions as are consistent with the policy of this subchapter whenever
the commissioner shall find that, because of the nature of such class or
classes  of retail establishments, compliance with section 20-709 hereof
is unreasonably burdensome or unnecessary  for  adequate  protection  of
consumers.
  (c)  The commissioner shall promulgate such other regulations as shall
be necessary in his or her discretion to effectuate the purposes of this
subchapter, including but not limited to, requirements as to the  manner
of display of unit price information.

Section 20-711

Section 20-711

  §  20-711  Penalties.  Any  person who shall violate the provisions of
section 20-708 or section 20-709 hereof or rules promulgated pursuant to
this subchapter, other than the provisions of section 20-708.1 or  rules
promulgated  under  such  section, shall pay a civil penalty of not less
than twenty-five dollars nor more than two  hundred  fifty  dollars  for
each violation and shall, upon conviction thereof, be punished by a fine
of  not  less  than  twenty-five dollars nor more than two hundred fifty
dollars for each violation. For the purposes of this section, each group
of identical consumer commodities for which on any single day the  total
selling  price  or price per measure is not displayed in accordance with
section 20-708 or section 20-709 or rules promulgated pursuant  to  this
subchapter,  other  than  the  provisions  of  section 20-708.1 or rules
promulgated under such section, shall be considered a single violation.