U.S. Senator Richard Blumenthal (D-Conn) is sponsoring the Gift Card Consumer Protection Act of 2012. His bill, if passed, would amend current federal law, notably the CARD Act of 2009, to prohibit gift card expiration dates, as well as most dormancy fees. Further, the Act would extend these rules to loyalty, award, and promotional gift cards.
The Act would also ban the sale of gift cards by companies that have filed for bankruptcy protections. It would also ban the resale of gift cards by third-parties if the issuing company has filed for bankruptcy. Further, the Act amends the bankruptcy code to prohibit the automatic stay from applying to the redemption of gift cards at full value.
The Gift Card Consumer Protection Act is available on Sen. Blumenthal's website.
If your company has a gift card program, now is the time to review it. The laws surrounding gift cards, both on the national and state level, have undergone a lot of change in the past few years. These changes, both through legislatures and courts, could have drastic impacts on the operation of your gift cards.