Oklahoma 2025 Regular Session

Oklahoma House Bill HB1024 Compare Versions

Version 1 (Old)

Version 2 (New)

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3		-	ENGR. H. B. NO. 1024 Page 1 1
	3	+	HB1024 HFLR Page 1
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28		-	ENGROSSED HOUSE
29		-	BILL NO. 1024 By: Bashore, Lepak, Hays,
30		-	Osburn, Burns, Menz, and
31		-	Munson of the House
	29	+	HOUSE OF REPRESENTATIVES - FLOOR VERSION
	30	+
	31	+	STATE OF OKLAHOMA
	32	+
	33	+	1st Session of the 60th Legislature (2025)
	34	+
	35	+	COMMITTEE SUBSTITUTE
	36	+	FOR
	37	+	HOUSE BILL NO. 1024 By: Bashore, Lepak, Hays, and
	38	+	Osburn of the House
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33	40		and
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35	42		Daniels of the Senate
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	47	+	COMMITTEE SUBSTITUTE
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42	49		An Act relating to the Unfair Sales Act; amending 15
43	50		O.S. 2021, Sections 598.2 and 598.3, which relate to
44		-	the Unfair Sales Act; modifying definitions; ~~defining~~
45		-	~~terms;~~ modifying provisions related to unreasonably
46		-	~~low~~ profit margins; and providing an effective date.
	51	+	the Unfair Sales Act; modifying definitions;
	52	+	modifying provisions related to unreasonably low
	53	+	profit margins; and providing an effective date.
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52	59		BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
53	60		SECTION 1. AMENDATORY 15 O.S. 2021, Section 598.2, is
54	61		amended to read as follows:
55	62		Section 598.2. For the purposes of the Unfair Sales Act:
56	63		(a) The
57	64		1. a. Except as provided for in subparagraph b of this
58	65		paragraph, the term "cost to the retailer" means the
59	66		invoice cost of the merchandise to the retailer or the
60	67		replacement cost of the merchandise to the retailer,
61		-	whichever is the lower; less all trade discounts
62		-	except customary discounts for cash; to which shall be
63		-	added (1) freight charges not otherwise included in
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65		-	ENGR. H. B. NO. 1024 Page 2 1
	69	+	HB1024 HFLR Page 2
	70	+	BOLD FACE denotes Committee Amendments. 1
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	95	+	whichever is the lower; less all trade discounts
	96	+	except customary discounts for cash; to which shall be
	97	+	added (1) freight charges not otherwise included in
90	98		the invoice cost or the replacement cost of the
91	99		merchandise as herein set forth, and (2) cartage to
92	100		the retail outlet if done or paid for the retaile r,
93	101		which cartage cost, in the absence of proof of a
94	102		lesser cost, shall be deemed to be three -fourths of
95	103		one percent (3/4 of 1%) of the cost to the retailer as
96	104		herein defined after adding thereto freight charges
97	105		but before adding thereto cartage, and taxes, and (3)
98	106		all state and federal taxes not heretofore added to
99	107		the cost as such, and (4) a markup to cover a
100	108		proportionate part of the cost of doing business,
101	109		which markup, in the absence of proof of a lesser
102	110		cost, shall be six percent (6%) of the cost of th e
103	111		retailer as herein set forth after adding thereto
104	112		freight charges and cartage but before adding thereto
105		-	a markup.
	113	+	a markup,;
106	114		b. For gasoline and diesel fuel retailers, the term "cost
107	115		to the retailer" means the invoice cost of the
108	116		merchandise to the retailer or the replacement cost of
109	117		the merchandise to the retailer, whichever is the
110	118		lower; less all trade discounts except customary
111		-	discounts for cash; to which shall be added (1)
112		-	freight charges not otherwise included in the invoice
113		-	cost or the replacement cost of the merchandise as
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115		-	ENGR. H. B. NO. 1024 Page 3 1
	120	+	HB1024 HFLR Page 3
	121	+	BOLD FACE denotes Committee Amendments. 1
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	146	+	discounts for cash; to which shall be added (1)
	147	+	freight charges not otherwise included in the invoice
	148	+	cost or the replacement cost of th e merchandise as
140	149		herein set forth, and (2) cartage to the retail outlet
141	150		if done or paid for the retailer, which cartage cost,
142	151		in the absence of proof of a lesser cost, shall be
143	152		deemed to be three-fourths of one percent (3/4 of 1%)
144	153		of the cost to the retail er as herein defined after
145	154		adding thereto freight charges but before adding
146	155		thereto cartage, and taxes, and (3) all state and
147	156		federal taxes not heretofore added to the cost as
148	157		such, and (4) a markup to cover a proportionate part
149	158		of the cost of doing busine ss, which markup, in the
150	159		absence of proof of a lesser cost, shall be six
151	160		percent (6%) of the cost of the retailer as herein set
152	161		forth after adding thereto freight charges and cartage
153	162		but before adding thereto a markup ;
154	163		(b) 2. The term "cost to the wholesa ler" means the invoice cost
155	164		of the merchandise to the wholesaler, or the replacement cost of the
156	165		merchandise to the wholesaler, whichever is the lower; less all
157	166		trade discounts except customary discounts for cash; to which shall
158	167		be added, (1) freight charg es, not otherwise included in the invoice
159	168		cost or the replacement cost of the merchandise as herein set forth,
160	169		and (2) cartage to the retail outlet if done or paid for by the
161		-	wholesaler, which cartage cost, in the absence of proof of a lesser
162		-	cost, shall be deemed to b e three-fourths of one percent (3/4 of 1%)
163		-	of the cost to the wholesaler as herein set forth after adding
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165		-	ENGR. H. B. NO. 1024 Page 4 1
	171	+	HB1024 HFLR Page 4
	172	+	BOLD FACE denotes Committee Amendments. 1
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	197	+	wholesaler, which cartage cost, in the absence of proof of a lesser
	198	+	cost, shall be deemed to be three -fourths of one percent (3/4 of 1%)
	199	+	of the cost to the wholesaler as herein set forth after adding
190	200		thereto freight charges but before adding thereto cartage, and
191	201		taxes, and (3) all state and federal taxes not heretofore added to
192	202		the cost as such;
193	203		(c) 3. The term "replacement costs" means the cost per unit at
194	204		which the merchandise sold or offered for sale could have been
195	205		bought by the seller at any time within thirty (30) days prior to
196	206		the date of sale or the date upon which it is offere d for sale by
197	207		the seller if bought in the same quantity or quantities as the
198	208		seller's last purchase of said merchandise;
199	209		(d) 4. When one or more items advertised, offered for sale, or
200	210		sold with one or more other items at a combined price, or
201	211		advertised, offered as a gift, or given with the sale of one or more
202	212		other items, each and all of the items shall be deemed to be
203	213		advertised, offered for sale, or sold, and the price of each item
204		-	named shall be governed by the provisions of paragraphs (a)
205		-	~~paragraph 1 or (b) 2~~ of this section, respectively;
	214	+	named shall be governed by the provisions of paragraphs (a) or (b)
	215	+	of this section, respectively;
206	216		(e) 5. The terms "sell at retail", "sales at retail", and
207	217		"retail sale" mean and include any transfer for valuable
208	218		consideration made in the ordinary course of trade or in the usual
209	219		prosecution of the seller's business of title to tangible personal
210	220		property to the purchaser for consumption or use other than resale
211		-	or further processin g or manufacturing. The above terms shall
212		-	include any transfer of such property where title is retained by the
213		-	seller as security for the payment of the purchase price;
214	221
215		-	ENGR. H. B. NO. 1024 Page 5 1
	222	+	HB1024 HFLR Page 5
	223	+	BOLD FACE denotes Committee Amendments. 1
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	248	+	or further processing or manufacturing. The above terms shall
	249	+	include any transfer of such property where title is retained by the
	250	+	seller as security for the payment of the purchase price;
240	251		(f) 6. The terms "sell at wholesale", "sales at wholesale", and
241	252		"wholesale sales" mean and include any transfer for a valuable
242	253		consideration made in the ordinary course of trade or the usual
243	254		conduct of the seller's business, of title t o tangible personal
244	255		property to the purchaser for purposes of resale or further
245	256		processing or manufacturing. The above terms shall include any
246	257		transfer of such property where title is retained by the seller as
247	258		security for the payment of the purchase pric e;
248	259		(g) 7. The term "retailer" means and includes every person,
249	260		partnership, corporation or association engaged in the business of
250	261		making sales at retail within this state; provided that, in the case
251	262		of a person, partnership, corporation or association eng aged in the
252	263		business of making both sales at retail and sales at wholesale, such
253	264		term shall be applied only to the retail portion of such business;
254	265		(h) 8. The term "wholesaler" means and includes every person,
255	266		partnership, corporation, or association enga ged in the business of
256	267		making sales at wholesale within this state; provided that, in the
257	268		case of a person, partnership, corporation or association engaged in
258	269		the business of making both sales at wholesale and sales at retail,
259	270		such term shall be applied on ly to the wholesale portion of such
260	271		business; and
261		-	9. The term "unreasonably low profit margin" means a se ller of
262		-	goods has established a price for an item of tangible personal
263		-	property which is offered for sale at the cost to the seller as
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265		-	ENGR. H. B. NO. 1024 Page 6 1
	273	+	HB1024 HFLR Page 6
	274	+	BOLD FACE denotes Committee Amendments. 1
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290		-	otherwise defined by this act, but with an increment in price above
291		-	such cost that is intended to have the effect of elim inating market
292		-	competition for the sale of such item of tangible personal property
293		-	by any other seller within a reasonable geographic area where the
294		-	item is offered for sale by such seller or which has the actual
295		-	effect of eliminating market competition fo r the sale of such item
296		-	of tangible personal property by any other seller within a
	299	+	9. The term "unreasonably low profit margin" means that a
	300	+	seller of goods has established a price for an item of tangible
	301	+	personal property which is offered for sale at the cost to the
	302	+	seller as otherwise defined by this act, but with an increment in
	303	+	price above such cost that is intended to have the effect of
	304	+	eliminating market competition for the sale of such item of tangible
	305	+	personal property by any other seller within a reasonable geographic
	306	+	area where the item is offered for sale by such seller or which has
	307	+	the actual effect of eliminating market competition for the sale of
	308	+	such item of tangible personal property by any other seller within a
297	309		reasonable geographic area where the item is offered for sale .
298	310		SECTION 2. AMENDATORY 15 O.S. 2021, Section 598.3, is
299	311		amended to read as follows:
300	312		Section 598.3. It is hereby declared that any advertising,
301	313		offer to sell, or sale of any merchandise, either by retailers or
302	314		wholesalers, at less than cost or at an unreasonably low profit
303	315		margin as defined in the Unfair Sales Act with the intent and
304	316		purpose of inducing the purchase of other merchandise or of unfairly
305	317		diverting trade from a competitor or otherwise injuring a
306	318		competitor, impair and p revent fair competition, injure public
307	319		welfare, are unfair competition and contrary to public policy and
308	320		the policy of the Unfair Sales Act, where the result of such
309	321		advertising, offer or sale is to tend to deceive any purchaser or
310	322		prospective purchaser, o r to substantially lessen competition, or to
311		-	unreasonably restrain trade, or to tend to create a monopoly in an y
312		-	line of commerce.
313		-	SECTION 3. This act shall become effective November 1, 2025.
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315		-	ENGR. H. B. NO. 1024 Page 7 1
	324	+	HB1024 HFLR Page 7
	325	+	BOLD FACE denotes Committee Amendments. 1
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340		-	Passed the House of Representatives the 10th day of March, 2025.
	350	+	unreasonably restrain trade, or to tend to create a monopoly in any
	351	+	line of commerce.
	352	+	SECTION 3. This act shall become effective November 1, 2025.
341	353
342		-
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344		-
345		-	Presiding Officer of the House
346		-	of Representatives
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349		-
350		-	Passed the Senate the _____ day of __________, 2025.
351		-
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355		-	Presiding Officer of the Senate
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357		-
	354	+	COMMITTEE REPORT BY: COMMITTEE ON COMMERCE AND ECONOMIC DEVELOPMENT
	355	+	OVERSIGHT, dated 03/04/2025 - DO PASS, As Amended.
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