The bill amends existing laws regarding gift certificates as unclaimed property in Washington State, with a focus on consumer rights and protections. It establishes that consumers can collect balances on abandoned gift certificates either directly from retailers or through the state's unclaimed property program. The legislation aims to reduce predatory practices by large companies concerning gift certificates by requiring them to escheat unspent balances. Additionally, it exempts small businesses from reporting requirements related to unclaimed gift certificates and prohibits practices that diminish the value of gift certificates, such as expiration dates and service fees.

New provisions in the bill specify that a gift certificate is presumed abandoned if unclaimed for more than three years, and the amount presumed abandoned is the net value at that time. Holders of such certificates must report them to the administrator and accept them as payment if they have been reported as abandoned. The bill also exempts certain gift certificates linked to paid membership programs and those issued by holders with total revenue under $100 million from these requirements. The new regulations will apply to gift certificates issued or reloaded with funds on or after July 1, 2024.

Statutes affected:
Original Bill: 19.240.005, 63.30.010, 63.30.280