The proposed bill aims to establish the criminal offense of gift card fraud in Arkansas, introducing a new section to the Arkansas Code that defines key terms related to gift cards and outlines the parameters of the offense. The bill defines a "gift card" as a physical or electronic payment device that can be used at a specific merchant or group of merchants, and it includes definitions for "card holder," "card issuer," and "gift card redemption information." The legislation specifies that a person commits gift card fraud if they acquire or retain possession of a gift card or its redemption information with the intent to defraud, obtain it through deception, or knowingly use it in violation of the law.

The bill categorizes gift card fraud into various degrees of felonies and misdemeanors based on the value of the gift card or redemption information involved. It establishes penalties ranging from a Class A misdemeanor for amounts less than $1,000 to a Class B felony for amounts of $25,000 or more. Additionally, the bill includes an emergency clause, stating that the prevalence of gift card fraud necessitates immediate action to protect consumers and businesses in the state, allowing the act to take effect as soon as it is approved by the Governor or under certain conditions if not vetoed.