HB 5571 — AN ACT ESTABLISHING A MAXIMUM RESTOCKING FEE FOR RETURNED CONSUMER GOODS.

House of Representatives General Assembly CommitteeFile Bill No.

5571301 January Session, 2025 LCOSubstitute House Bill No.

46075571 ReferredHouse toof Representatives, March 27, 2025 The Committee onGeneralLawreportedthrough REP.LEMAR of the 96th Dist., Chairperson of the Committee on GENERALthe LAWpart Introducedof by:the House, that the substitute bill ought to pass.

(GL) AN ACT ESTABLISHING A MAXIMUM RESTOCKING FEE FOR RETURNED CONSUMER GOODS.

(NEW) (Effective OctoberJanuary 1, 2025)2026) (a) As used in this section:

(b) No business shall require a consumer to pay any fee or charge in exchange for accepting any consumer good for return to such business's general inventory or regular stock if the amount of such fee or charge exceeds the lesser of (1) the actual cost incurred by the business in returning such consumer good to such business's general inventory or regular stock, or (2) five per cent of the purchase price charged for such LCOconsumer sHB5571 / File No.

4607301 1 ofsHB5571 2File Committee Bill No.

5571301 consumer good.

(d) Any violation of the provisions of subsection (b) of this section shall be deemed an unfairordeceptivetradepracticeundersubsection(a)ofsectionunfair or deceptive trade practice under subsection (a) of section 42-110b of the general statutes.

Section 1 OctoberJanuary 1, 20252026 New section Statement of Purpose:Legislative Commissioners:

ToIn establishSubsec. a maximum restocking fee for returned consumer goods.

[Proposed(d), deletions"this aresection" enclosedwas inchanged brackets.to "subsection (b) of this section" for accuracy.

ProposedGL additionsJoint areFavorable indicatedSubst. by underline, except that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not underlined.] Co-Sponsors:

REP.sHB5571 / File No.

ZULLO,301 99th2 Dist.sHB5571 File No.

H.B.301 The following Fiscal Impact Statement and Bill Analysis are prepared for the benefit of the members of the General Assembly, solely for purposes of information, summarization and explanation and do not represent the intent of the General Assembly or either chamber thereof for any purpose.

5571In LCOgeneral, No.fiscal impacts are based upon a variety of informational sources, including the analyst’s professional knowledge.

4607Whenever 2applicable, agency data is consulted as part of 2the analysis, however final products do not necessarily reflect an assessment from any specific department.

OFA Fiscal Note State Impact:

None Municipal Impact:

None Explanation The bill establishes a maximum restocking fee for returned consumer goodsandmakesviolationsanunfairtradepracticeresultinginnofiscal impact to the state.

The Department of Consumer Protection investigates unfair trade practice violations and has the resources and expertise to meet the requirements of the bill.

The Out Years State Impact:

None Municipal Impact:

None sHB5571 / File No.

301 3 sHB5571 File No.

301 OLR Bill Analysis sHB 5571 AN ACT ESTABLISHING A MAXIMUM RESTOCKING FEE FOR RETURNED CONSUMER GOODS.

SUMMARY This bill prohibits businesses from making a consumer pay a fee or charge that is more than 5% of the consumer’s purchase price of a consumergoodinordertoacceptthereturnofthegoodtothebusiness’s general inventory or regular stock.

It applies to businesses, which include any person or entity conducting commerce for profit or not for profit, and consumers, who are any people in the state who purchase or may purchase a consumer good.

Under the bill, a consumer good is an article purchased, leased, exchanged, or received primarily for personal,family, or household use.

The bill permits the consumer protection commissioner to adopt implementing regulations and makes any violation of the bill’s provisions a Connecticut Unfair Trade Practices Act (CUTPA) violation.

EFFECTIVE DATE:

January 1, 2026 BACKGROUND CUTPA By law, CUTPA prohibits businesses from engaging in unfair and deceptive acts or practices.

It allows the Department of Consumer Protection commissioner, under specified procedures, to issue regulations defining an unfair trade practice, investigate complaints, issue cease and desist orders, order restitution in cases involving less than $10,000, impose civil penalties of up to $5,000, enter into consent agreements, ask the attorney generalto seek injunctive relief, and accept voluntary statements of compliance.

It also allows individuals to sue.

sHB5571 / File No.

301 4 sHB5571 File No.

301 Courts may issue restraining orders;

award actual and punitive damages, costs, and reasonable attorney’s fees;

and impose civil penalties of up to $5,000 for willful violations and up to $25,000 for a restraining order violation.