Senator Charles J. Fuschillo, Jr., chairman of the Consumer Protection Committee, announced last week that two pieces of legislation that protect the value of gift cards and gift certificates have passed both the Senate and the Assembly. The two bills, which Fuschillo sponsored along with Senator Dean Skelos (9th Senate District) in the Senate, would protect consumers who purchase or receive gift cards from hidden fees, unfair restrictions and decreasing card values.

"When you give a loved one a gift, there should be no doubt that the gift will retain its full value. This legislation will ensure that the value of the gift card will not be diminished by hidden fees," stated Fuschillo. "Full disclosure on the part of the merchant is the only way to protect consumers and allow them to make an informed decision."

The first piece of legislation would require that the terms and conditions of gift certificates and gift cards be readily available at the time of purchase. These details must be prominently posted for the consumer with a sign that states, "Terms and Conditions are Applied to Gift Certificate Cards Sold Here" and printed on the gift certificate. The terms must also be printed on an envelope or packaging containing the gift certificate or an additional printed document, provided that a toll-free telephone number is printed on the gift certificate.

"Hidden costs are not only unfair, they are unethical. This legislation will allow the consumer to know what they are paying for when they are making their purchase," added Fuschillo.

The information that must be disclosed includes expiration dates, any fees charged against the balance of the gift certificate, and whether a replacement will be issued if a gift certificate is lost, stolen or destroyed. The requirements do not apply to a gift certificate that has no terms and conditions.

The companion piece of legislation would prohibit the assessment of retroactive fees against gift certificates or gift cards as well as the assessment of monthly service fees until the 13th month of dormancy. This period would be extended for an additional 12 months if the customer makes a purchase or adds value to the card.

"Industry figures indicate that 18 percent of the money spent on gift cards and gift certificates is not ultimately used," said Skelos. "With the proliferation of e-commerce and the Internet's continued growth as a retail outlet, gift cards are gaining new popularity. I'm very pleased that the Senate and Assembly have reached agreement on this important consumer protection legislation because it will provide purchasers with full disclosure of any "fine print" that makes these cards less desirable and stop sellers from including hidden fees that prevent buyers from receiving their money's worth."

The requirements included in both bills would not apply to gift certificates that are sold below face value at a volume discount to employees, to nonprofit and charitable organizations, or educational institutions for fundraising purposes; or distributed by the issuer to a consumer pursuant to awards, loyalty, or promotional programs.

Senator Fuschillo announced that his legislation that would require health clubs with 500 or more members to have at least one automated external defibrillator (AED) readily available on site has passed both the Senate and the Assembly. These clubs would also be required to have at least one staff member trained to use the AED and perform CPR.

"When a person goes into cardiac arrest, a few seconds can mean the difference in avoiding tragedy," stated Fuschillo. "Having defibrillators on site will enhance the safety of the thousands of health club patrons across the state, and ensure that no one's health will be at risk because the necessary medical equipment was not immediately available."

Defibrillators are electrical devices used to counteract fibrillation of the heart muscle and restore normal heartbeat by applying a brief electric shock. Using defibrillators can significantly increase the survival rate of sudden cardiac arrest.

"The American Heart Association is committed to ensuring that AEDs become standard equipment in health clubs in New York State," said Paul Hartman, director of advocacy for the American Heart Association. "People who may be at the highest risk for suffering sudden cardiac arrest during exercise are increasingly more likely to be working out at the local health club. Over the last 15 years, men and women over the age of 55, and overweight individuals are joining health clubs at increasing rates. With these trends in mind, it is more important than ever to ensure these facilities are equipped to respond and provide resuscitation in the event of a sudden cardiac arrest."

According to the American Heart Association, a victim's change of survival decreases by seven to ten percent for every minute that passes without defibrillation. The American Heart Association estimates that 250,000 Americans die each year from sudden cardiac arrest outside of the hospital, and that a quarter of these deaths could have been prevented if a defibrillator was available for immediate use.

The legislation will be sent to Governor George Pataki for his approval.