The bill introduces penalties for crimes related to gift cards, specifically targeting fraudulent activities such as acquiring, using, or tampering with gift cards or their redemption information without consent. Individuals found guilty of such actions with the intention to defraud can be charged with larceny or forgery. If the value of the fraud exceeds $1,200 within a six-month period, the act is classified as felony larceny, thereby increasing the severity of the consequences.
Summary
House Bill 1611, presented by Representative Tackey Chan, seeks to address the increasing problem of gift card fraud in Massachusetts. The proposed legislation outlines specific definitions for various terms related to gift cards, such as 'cardholder', 'card issuer', and the different types of gift cards (closed-loop and open-loop). This clarity in language is aimed at ensuring that all parties involved understand their rights and responsibilities, particularly in the context of preventing fraud.
Contention
While the bill has received support from those advocating for consumer protection, concerns may arise regarding its enforcement and implications for both consumers and businesses selling gift cards. The laws proposed aim to strike a balance between safeguarding consumers and not overly burdening legitimate businesses that operate within this space. Discussions around appropriate penalties and enforcement measures may offer points of contention as the bill moves through legislative channels.