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Can I offer discounts or promotions without violating pricing laws in Virginia? What are the requirements?

To offer discounts or promotions without violating pricing laws in Virginia, there are certain requirements that must be met.

Requirements for Offering Discounts or Promotions

According to VACV 59.1-207.46, suppliers must present the terms of any automatic renewal or continuous service offer in a clear and conspicuous manner before the consumer becomes obligated on the offer. This means that any discounts or promotions must be clearly presented to the consumer before they agree to purchase the product or service.

Additionally, suppliers must obtain the consumer’s affirmative consent to the agreement containing the offer terms before charging their credit or debit card or account with a third party. This means that the consumer must agree to the terms of the discount or promotion before any charges are made.

Suppliers must also provide an acknowledgment that includes the offer terms, cancellation policy, and information regarding how to cancel in a manner that is capable of being retained by the consumer. If the offer includes a free trial, the supplier must also disclose in the acknowledgment how to cancel the free trial before the consumer pays or becomes obligated to pay for the goods or services.

Exemptions

It is important to note that these requirements do not apply to certain services provided by suppliers or their affiliates, such as those doing business pursuant to a franchise issued by a political subdivision of the Commonwealth or a license, franchise, certificate, or other authorization issued by the State Corporation Commission to a public service company or public utility pursuant to Title 56 [1.3].

Additionally, VACV 54.1-601 provides exemptions to the provisions of this chapter and the terms “Virginia licensed auctioneer,” “auctioneer” or “auction firm,” as defined in § 54.1-600, which shall not apply to any person who auctions his own property, whether owned or leased, provided his regular business is not as an auctioneer [2.3].

Conclusion

To offer discounts or promotions without violating pricing laws in Virginia, suppliers must present the terms of the offer clearly and obtain the consumer’s affirmative consent before charging their credit or debit card or account with a third party. Additionally, suppliers must provide an acknowledgment that includes the offer terms, cancellation policy, and information regarding how to cancel in a manner that is capable of being retained by the consumer. Certain services provided by suppliers or their affiliates may be exempt from these requirements [1.3][2.3].

Source(s):
Jurisdiction

Virginia