Gift card laws in California - clarification

[jrichrds]

I've heard numerous times that non-promotional gift cards are California is considered "same as cash," and the seller must redeem it for cash when requested by the holder of the gift card. But, according to this page, that isn't the case. Have people just been hearing and repeating outdated information?

Q.4. Can the holder of a gift certificate or gift card redeem it for cash?

A. This depends on the policy of the seller. The gift certificate law states that a seller must redeem a gift certificate or gift card sold after January 1, 1997 for its cash value, or replace it with a new certificate or card at no cost. However, California?s Legislative Counsel has concluded that a seller is not required to redeem a gift certificate in cash when requested by a consumer. Thus, some gift certificate sellers redeem the gift certificate for cash or a combination of merchandise and cash, while some issue a new certificate for any balance remaining after the original certificate is redeemed. A gift certificate or gift card without an expiration date is valid until it is redeemed or replaced.

 

[imported_KirbsAw]

I know california is different in that gift cards can never expire, so i guess they have to accept them (like cash) but that doesnt mean they have to give you cash for them.

 

[ThisIsMatt]

I really don't think they're obligated to redeem for cash.

 

[imported_Mike]

I work in retail, and according to my managers, under CA law, we MUST cash out GCs if requested by the customer. Also, according to them, all stores must do so in CA, unless it says otherwise directly on the GC itself. I use "according" alot here b/c although I have tried numerious times to try to find evidence to back this up, I havn't been able to yet.

 

[MillionaireNextDoor]

Originally posted by: ThisIsMatt
I really don't think they're obligated to redeem for cash.

Agreed. The letter of the law is clear on this.

 

[imported_Mike]

I read an article here which covers the changes to the GC laws. From what ive been reading so far, nothing has changed about the ability to cash out the card.

Another interesting read.

 

[allisolm]

One interesting thing in there seems to say that if you are given a GC as a gift, the store which sold it can put a time limit on redeeming it. If you haven't used it by that time, the person who bought it for you can get their money back.

"A gift certificate or gift card that is sold to the purchaser as a gift for another person (the ?recipient?) may state a date by which the recipient must redeem the certificate or card. Since this is an exception to the ?no expiration date? rule, a seller that chooses to state a redemption date on a gift card or gift certificate must give the purchaser a full refund of the amount paid for the certificate or card if the recipient does not redeem it by the redemption date. "