HLS 14RS-2426 ORIGINAL
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions.
Regular Session, 2014
HOUSE BILL NO. 1246
BY REPRESENTATIVE SCHEXNAYDER
COMMERCE: Prohibits tire distributors from engaging in certain practices regarding the
return or exchange of tires
AN ACT1
To enact R.S. 51:1422, relative to tire distributors; to provide for the exchange of tires; to2
provide for the return of tires; to provide for refunds; to provide for unfair trade3
practices; to provide for penalties; to provide for an effective date; and to provide for4
related matters.5
Be it enacted by the Legislature of Louisiana:6
Section 1. R.S. 51:1422 is hereby enacted to read as follows: 7
ยง1422. Unfair or deceptive acts or practices; tire distributors; returns8
A. The legislature finds that refuse tires represent an environmental health9
problem that must be managed in order to prevent fires and control disease vectors10
including mosquitoes, rats, and snakes. Accordingly, it is appropriate for the11
legislature to enact policies regarding the return of tires to sellers and the exchange12
of tires between distributors and retailers.13
B.(1) A tire distributor who provides a tire retailer with a product other than14
the one ordered by the tire retailer shall not charge the tire retailer for the cost of the15
correct product to be sent to the tire retailer in exchange if all of the following apply:16
(a) The tire retailer notified the tire distributor of the error within forty-eight17
hours of delivery of the wrong product.18
(b) The tire distributor will pick up the original product at the same time the19
correct product is delivered.20 HLS 14RS-2426 ORIGINAL
HB NO. 1246
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions.
(2) If the tire retailer requests to return the incorrect product for a refund1
instead of an exchange, the tire distributor shall issue a refund in the same method2
of payment as the original payment no later than forty-eight hours after the incorrect3
product has been picked up by the tire distributor.4
B.(1) If a tire retailer orders an incorrect product, the tire distributor shall5
only charge the tire retailer for the cost of the new product to be provided that6
exceeds the cost paid by the tire retailer for the product originally ordered if all of7
the following apply:8
(a) The tire retailer notified the tire distributor of the error within forty-eight9
hours of delivery of the product.10
(b) The tire distributor will pick up the original product at the same time the11
new product is delivered.12
(2) If the cost of the new product to be delivered is less than the cost of the13
product originally ordered, the tire distributor shall issue a refund for the difference14
in price in the same method of payment as the original payment no later than forty-15
eight hours after the original product has been picked up by the tire distributor.16
C. A violation of this Section shall be a deceptive and unfair trade practice17
and shall subject the violator to any and all actions and penalties provided for in this18
Chapter.19
Section 2. This Act shall become effective upon signature by the governor or, if not20
signed by the governor, upon expiration of the time for bills to become law without signature21
by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If22
vetoed by the governor and subsequently approved by the legislature, this Act shall become23
effective on the day following such approval.24 HLS 14RS-2426 ORIGINAL
HB NO. 1246
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions.
DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part
of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute
part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
Schexnayder HB No. 1246
Abstract: Prohibits tire distributors from engaging in certain practices regarding the return
or exchange of tires.
Proposed law prohibits a tire distributor who provides a tire retailer with a product other than
the one ordered by the tire retailer from charging the tire retailer for the cost of the correct
product to be sent to the tire retailer in exchange if all of the following apply:
(1)The tire retailer notified the tire distributor of the error within 48 hours of delivery
of the wrong product.
(2)The tire distributor will pick up the original product at the same time the correct
product is delivered.
Proposed law requires the tire distributor, if the tire retailer requests to return the incorrect
product for a refund instead of an exchange, to issue a refund in the same method of payment
as the original payment no later than 48 hours after the incorrect product has been picked up
by the tire distributor.
Proposed law requires a tire distributor, if a tire retailer orders an incorrect product, to only
charge the tire retailer for the cost of the new product to be provided that exceeds the cost
paid by the tire retailer for the product originally ordered if all of the following apply:
(1)The tire retailer notified the tire distributor of the error within 48 hours of delivery
of the product.
(2)The tire distributor will pick up the original product at the same time the new product
is delivered.
Proposed law requires the tire distributor, if the cost of the new product to be delivered is
less than the cost of the product originally ordered, to issue a refund for the difference in
price in the same method of payment as the original payment no later than 48 hours after the
original product has been picked up by the tire distributor.
Proposed law deems a violation of proposed law as a deceptive and unfair trade practice and
the violator subject to any and all actions and penalties provided for present law relative to
unfair trade practices.
Effective upon signature of the governor or lapse of time for gubernatorial action.
(Adds R.S. 51:1422)