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Can I offer a referral program for my customers in Vermont? What are the requirements?

Referral Program Requirements in Vermont

Based on the provided context documents, there are no specific regulations or requirements that prohibit offering a referral program for customers in Vermont. However, it is important to ensure that the referral program does not violate any laws or regulations related to securities offerings or marketing practices.

If the referral program involves the offer or sale of securities, it may be subject to the requirements of 9 V.S.A. §§ 5301 and 5504, which regulate securities offerings in Vermont. In particular, if the referral program involves the offer or sale of securities to Vermont residents, it may be exempt from certain requirements if it meets the conditions of the Vermont Small Business Offerings exemption under VTCR 21-030-007 § b(1)(A)-(C). The maximum aggregate amount in cash and other consideration from all sales of the security sold under this exemption within any twelve (12) month period must not exceed $1,000,000 or $2,000,000, depending on certain conditions [1.1].

If the referral program involves marketing or advertising, it may be subject to the regulations of the Vermont travel and tourism industry, which encourage effective marketing of travel and tourism destinations on a regional level [4.1].

It is also important to note that Vermont has regulations related to the shipping and distribution of alcoholic beverages [3.1][3.2]. If the referral program involves the shipping or distribution of alcoholic beverages, it must comply with these regulations.

In summary, there are no specific regulations or requirements that prohibit offering a referral program for customers in Vermont. However, it is important to ensure that the referral program complies with any applicable laws or regulations related to securities offerings, marketing practices, and the shipping and distribution of alcoholic beverages.

[1.1]: 9 V.S.A. §§ 5301 and 5504 [3.1]: 7 VTST 279 [4.1]: Vermont travel and tourism industry regulations [3.2]: 7 VTST 274

Source(s):
Jurisdiction

Vermont