Released on March 13, 2008
The Government of Saskatchewan is introducing new legislation to protect consumers who purchase and use gift cards and gift certificates.
Amendments to The Consumer Protection Act will prohibit expiry dates on most retail gift cards and will also prohibit suppliers from charging inactivity fees that reduce the value of a gift card if it is not used within a certain period of time. Other fees will also be prohibited unless specifically authorized in the regulations.
"Gift cards are a multi-billion dollar industry and one of the fastest growing products in the marketplace today," Justice Minister Don Morgan said. "This explosive growth has raised a number of consumer protection concerns that will now be addressed in this new legislation."
The proposed legislation requires disclosure so that consumers are aware of any limitations, conditions or restrictions related to gift cards. It also addresses the investigation and enforcement of the provisions of the Act and sets out penalties for those who commit an offence under the Act.
Currently, Ontario, Manitoba and Nova Scotia have legislation dealing with gift cards and gift certificates.
-30-
For more information, contact:
Candace Cook
Justice and Attorney General
Regina
Phone: 306-787-0775
Email: ccook@justice.gov.sk.ca