HB447: HB447 Crimes and offenses; crimes of gift card theft, gift card forgery, and gift card fraud; provide

26 LC 48 1574S/AP House Bill 447 (AS PASSED HOUSE AND SENATE) By: Representatives Gullett of the 19th, Jones of the 25th, Evans of the 57th, Chastain of the 7th, and Barrett of the 24th A BILL TO BE ENTITLED AN ACT To amend Article 4 of Chapter 9 of Title 16 of the Official Cod e of Georgia Annotated,1 relating to fraud and related offenses, so as to provide for the crimes of gift card theft, gift2 card forgery, and gift card fraud; to provide for definitions; to provide for penalties for3 violations; to provide for related matters; to repeal conflicting laws; and for other purposes.4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:5 SECTION 1.6 Article 4 of Chapter 9 of Title 16 of the Official Code of Georgia Annotated, relating to fraud7 and related offenses, is amended by adding a new Code section to read as follows:8 "16-9-64.9 (a) As used in this Code section, the term:10 (1) 'Cardholder' means any person to whom a physical or virtual gift card is sold, gifted,11 or issued following the authorized sale of such gift card.12 (2) 'Card issuer' means any person that issues a gift card.13 (3) 'Closed-loop gift card' means a card, code, or device issu ed to a consumer on a14 prepaid basis primarily for personal, familial, or household pu rposes in a specified15 amount, regardless of whether such amount may be increased or reloaded in exchange for16 H. B. 447 - 1 - 26 LC 48 1574S/AP payment, and is redeemable upon presentation by a consumer at a single merchant or17 group of affiliated merchants.18 (4) 'Gift card' means a physical or digital closed-loop gift c ard or open-loop gift card19 whether activated or inactivated.20 (5) 'Gift card redemption information' means information unique to each gift card which21 allows the cardholder to access, transfer, or spend the funds on such gift card.22 (6) 'Gift card seller' means a merchant engaged in the business of selling open-loop gift23 cards or closed-loop gift cards to consumers.24 (7) 'Open-loop gift card' means a card, code, or device issued to a consumer on a prepaid25 basis primarily for personal, familial, or household purposes i n a specified amount,26 regardless of whether such amount may be increased or reloaded in exchange for27 payment, and is redeemable upon presentation at multiple unaffi liated merchants for28 goods or services within the payment card network.29 (8) 'Value' means the greatest amount of economic loss the card issuer, gift card seller,30 or cardholder might reasonably suffer, including the full or maximum monetary face or31 load value of the gift card, regardless of whether or not such gift card has been activated.32 (b) Any person who, with intent to defraud, acquires or retain s possession of a gift card33 or gift card redemption information without the consent of the cardholder, card issuer, or34 gift card seller shall be guilty of gift card theft.35 (c) Any person who, with intent to defraud, alters or tampers with a gift card or its36 packaging shall be guilty of gift card forgery.37 (d) Any person who, with intent to defraud, devises a scheme to obtain a gift card or gift38 card redemption information from a cardholder, card issuer, or gift card seller by means of39 false or fraudulent pretenses, representations, or promises, shall be guilty of gift card fraud.40 (e) Any person who, with intent to defraud, uses, for the purp ose of obtaining money,41 goods, services, or anything else of value, a gift card or gift card redemption information42 H. B. 447 - 2 - 26 LC 48 1574S/AP that has been obtained in violation of subsections (b), (c), or (d) of this Code section shall43 be guilty of gift card theft.44 (f) Any person who is convicted of violating subsection (b), ( c), (d), or (e) of this Code45 section shall be punished by imprisonment for not less than one nor more than ten years46 and a fine not to exceed $5,000.00."47 SECTION 2.48 All laws and parts of laws in conflict with this Act are repealed.49 H. B. 447 - 3 -