§1723.  Representation of having won anything of value or of having been specially selected; simulation of checks and invoices

A.(1)  No person shall, in connection with the sale or lease or the solicitation for the sale or lease of goods, property, or service, represent that another person has won anything of value or is the winner of a contest, unless each of the following conditions is met:

(a)  The recipient of the prize, gift, or item of value shall be given the prize, gift, or item of value without obligation.

(b)  The prize, gift, or item of value shall be delivered to the recipient, at no expense to him, within ten days of representation.

(c)  The prize, gift, or item of value shall be delivered to the recipient within ten days of representation without assessing the recipient any shipping and handling charges.

(2)  The use of language that may lead a reasonable person to believe he has won a contest or anything of value, including but not limited to "Congratulations", or "You have won", or "You are the winner of", shall be considered a representation of the type governed by this Section.  The use of such language on an envelope, envelope window, flier, or insert card shall be prohibited on any solicitations or notifications in which the consumer is not previously established as the winner or recipient of the prize, gift, or item of value referred to unless any conditions are clearly and conspicuously disclosed.  If the marketing material or direct mail package contains a notification of conditional status in a promotion or contest, no text in any of the enclosed material or on the envelope shall contain the words "Congratulations", "You have won", "You are the winner of", or any substantially similar words or phrases unless any conditions are clearly and conspicuously disclosed.

B.(1)  No person shall represent that another person has been specially selected in connection with the sale or lease or solicitation for sale or lease of goods, property, or service, unless the selection process is designed to reach a particular type or types of persons.

(2)  The use of any language that may lead a reasonable person to believe he has been specially selected, including but not limited to "carefully selected", or "You have been selected to receive", or "You have been chosen", shall be considered a representation of the type governed by this Section.

C.  In connection with the sale or lease or solicitation for the sale or lease of goods, property, or service, no person shall issue any writing which simulates or resembles:

(1)  A check unless the writing clearly and conspicuously discloses its true value and purpose, and the writing would not mislead a reasonable person; or

(2)  An invoice unless the intended recipient of the invoice has actually contracted for goods, property, or services for which the issuer seeks proper payment.

Acts 1990, No. 760, §1; Acts 1995, No. 280, §1; Acts 1999, No. 511, §1.