5054-S.E

AN ACT Relating to sports collectibles; adding a new chapter to Title 19 RCW; prescribing penalties; and providing an effective date.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION. Sec. 1. The business of sports memorabilia is a commercial enterprise of significance. Many people, and in particular many children, are entering the sports collectible market for the first time. Autographed items and other items believed to be authentic often command a premium price far in excess of the original cost of the item. Without a method to protect the public from the sale of counterfeit sports collectibles, the opportunity for fraud in such sales is great.

Therefore, the legislature finds that sales of sports collectibles by unscrupulous sports collectible dealers who make false claims of authenticity threatens the legitimate business and hobby of sports memorabilia collecting, and that a requirement that sellers certify the authenticity of more expensive items is necessary to protect the public.

NEW SECTION. Sec. 2. Unless the context clearly requires otherwise, the definitions in this section apply throughout this chapter.

(1) "Authentic" means that an item is the actual item that it is represented to be.

(2) "Autographed" means bearing the actual signature of a sports personality, signed by such individual's own hand.

(3) "Collectible" means a sports item including, but not limited to, a photograph, book, ticket, plaque, sports program, item of sports equipment or clothing, or other sports memorabilia sold or offered for sale in or from this state by a dealer to a consumer for one hundred dollars or more.

(4) "Consumer" means a natural person who purchases a collectible from a dealer for a noncommercial purpose.

(5) "Dealer" means a person, including an auctioneer, who is in the business of selling or offering for sale in or from this state any collectible to consumers. "Dealer" does not include a person making a casual or isolated sale as defined in RCW 82.04.040.

(6) "Description" means a written or verbal representation, including but not limited to a representation contained in an advertisement, invoice, catalog, flyer, sign, brochure, or other commercial or promotional material. The term shall also include a representation contained in a prepared script and made for the purpose of selling a collectible in a radio or television broadcast to the public in or from this state.

(7) "Person" means a natural person, partnership, corporation, company, trust, association, or other entity, however organized.

NEW SECTION. Sec. 3. Whenever a dealer, in selling or offering to sell in or from this state a collectible to a consumer, provides a description of the collectible as being autographed or authentic, or both, the dealer shall furnish to the consumer at the time of sale a certificate of authenticity. The certificate of authenticity shall be in writing, dated, and signed by the dealer or authorized agent. The certificate shall be in at least ten-point boldface type and shall contain the dealer's true legal name and street address. Each certificate of authenticity shall:

(1) Describe the collectible and the name of the sports personality who autographed it and specify the purchase price;

(2) Contain an express warranty, which shall be presumed to be part of the basis of the bargain, of the authenticity of the collectible. The warranty shall not be negated or limited because the dealer in the certificate does not use formal words such as "warranty," or "guarantee," or because the dealer does not have a specific intention or authorization to make a warranty or because a statement relevant to the collectible is, or purports to be, or is capable of being, merely the dealer's opinion. The warranty shall state that the dealer will make a full cash refund upon request within thirty days of the sale. A full cash refund is contingent on whether the returned item is in the same condition as when sold, and if the returned item is accompanied by the certificate of authenticity that was supplied during the original transaction;

(3) Should the description include a claim that the collectible is autographed, state the place, and date, when the sports personality autographed the collectible, if known; however, if either the place or date, or both, is not known, the certificate shall contain an explicit statement to the effect; and

(4) Specify whether the collectible is offered as one of a limited edition and, if so:

(a) How the collectible and the edition is numbered; and

(b) The size of the edition and the size of a prior or anticipated future edition.

NEW SECTION. Sec. 4. (1) No dealer shall represent that a collectible is autographed if it was signed other than by the sports personality in his or her own hand.

(2) No dealer shall sell or offer for sale in or from this state a collectible to a consumer unless, at the location where the sale occurs, in close proximity to the merchandise, the dealer places a conspicuous sign that reads:

SALE OF SPORTS MEMORABILIA

WASHINGTON STATE LAW REQUIRES THAT A DEALER WHO SELLS TO A CONSUMER ANY SPORTS MEMORABILIA DESCRIBED AS BEING AUTHENTIC OR PERSONALLY AUTOGRAPHED, FOR ONE HUNDRED DOLLARS OR MORE, MUST PROVIDE A WRITTEN CERTIFICATE OF AUTHENTICITY AT THE TIME OF SALE.

(3) A dealer engaged in a mailorder or telephone order business who sells or offers for sale in or from this state a collectible to a consumer shall include in an advertisement relating to an item the disclosure required by subsection (2) of this section. With respect to a written advertisement, the disclosure shall be made in type of conspicuous size.

NEW SECTION. Sec. 5. A person violating this chapter is guilty of a gross misdemeanor and shall incur the penalties set forth in RCW 9.92.020.

NEW SECTION. Sec. 6. The legislature finds that the practices covered by this chapter are matters vitally affecting the public interest for the purpose of applying the consumer protection act, chapter 19.86 RCW. Violations of this chapter are not reasonable in relation to the development and preservation of business. A violation of this chapter is an unfair or deceptive act in trade or commerce and an unfair method of competition for the purpose of applying the consumer protection act, chapter 19.86 RCW.

NEW SECTION. Sec. 7. Sections 1 through 6 of this act shall constitute a new chapter in Title 19 RCW.

NEW SECTION. Sec. 8. This act shall take effect July 1, 1995.