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Can I offer discounts or promotions without violating pricing laws in Arkansas? What are the requirements?
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Discounts and Promotions in Arkansas
In Arkansas, it is generally legal to offer discounts and promotions on goods and services. However, there are certain pricing laws that businesses must comply with to avoid violating the law.
Under ARCO 4-88-303, it is unlawful for any person, contractor, business, or other entity to sell or offer to sell any consumer food items or goods, goods or services used for emergency cleanup, emergency supplies, medical supplies, home heating oil, building materials, housing, transportation, freight, and storage services, or gasoline or other motor fuels for a price of more than ten percent (10%) above the price charged by that person for those goods or services immediately prior to the proclamation of emergency. However, a greater price increase shall not be unlawful if that person can prove that the increase in price was directly attributable to additional costs imposed on it by the supplier of the goods or directly attributable to additional costs for labor or materials used to provide the services.
Under ARCO 4-75-708, it is unlawful for any wholesaler, retailer, or salesperson with intent to injure competitors or destroy or substantially lessen competition to advertise, offer to sell, or sell, at retail or wholesale, cigarettes at less than cost to the wholesaler or retailer, as the case may be. It is also unlawful for any wholesaler, retailer, or salesperson to offer a rebate in price, to give a rebate in price, to offer a concession of any kind, or to give a concession of any kind or nature whatsoever in connection with the sale of cigarettes with intent to injure competitors or destroy or substantially lessen competition.
Under ARCO 4-75-501, it is unlawful for any person, company, corporation, or association engaged in the sale of any manufactured product, coal oil, or dressed beef, to sell any such manufactured product, coal oil, or dressed beef at a greater cash price at any place in this state than the person, company, corporation, or association sells the manufactured product, coal oil, or dressed beef at other points in this state, after making due allowance for difference in cost of carriage or other necessary cost. However, this section does not apply to a discount or rebate that is offered without charge to all purchasers on an equal basis, regardless of whether the purchaser chooses to accept or fulfill any of the nonmonetary conditions for receiving the discount or rebate.
Under ARCO 4-106-201, it is unlawful for any person to sell, market, promote, advertise, or otherwise distribute any card or other purchasing mechanism or device which is not insurance that purports to offer discounts or access to discounts from health care providers in health-related purchases if certain conditions are not met.
In conclusion, businesses in Arkansas can offer discounts and promotions as long as they comply with the pricing laws mentioned above. It is important to note that violating these laws can result in fines and penalties.
Jurisdiction
Arkansas