Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1909-07-15
NEW LAW IN EFFECT REGARDING
GIVING OF PREMIUM
CHECKS.
so.cALLED TRADE PROMOTERS
PUT IN LOTTERY CLASS
Stamps to Be Legal Must Define Value
and Designate Article to Be Given
Many Merchants Affected by New
Statute-Other News of the Hawk
eye State.

Among the far-reaching laws passed
by the state legislature was the recent
enactment by the Iowa assembly, of a
statute making it unlawful to give
away premium checks. This measure
will greatly affect Iowa merchants who
have made liberal use of premium
tickets in creating good feeling be-
tween themselves and their customers
in fostering trade.
There has been more or less COM
paint from business men turnout the
state regarding this custom, but it has
teen generally recognized as a medium
OF creating a feeling of friendliness
between the customer and the business
houses, but the new law puts new
phase upon the proposition. If the use
Of the coupon is to be prohibited the
merchants as we'll as other business
concerns within the state will feel the
effects.
The law covering the coupon ques-
ton Went into effect July and reads
as follows:
IS. f. No. $50. An act to define
gift enterprises and to provide pen
atty for carrying on same.
Be it enacted by the general as
sembly Of the state of Iowa.
Section !. All gift enterprises as
hereinafter defined and all trade prac-
tees carried on in connection there
with are hereby prohibited and de-
clared to be unlawful
Sec. 2. Whenever two or more per-
I'M. ocy
ment or scheme whereby for the pur-
pose of inducing the public to pur-
chase merchandise or other property
and one of the parties to said scheme
or any other party thereto for vail
liable consideration and as a part of
such scheme advertises and induces or
attempts to induce the public to be-
lieve that he will give gifts, premiums
or prizes to persons purchasing such
merchandise or other property Of such
party to said. scheme, and that stamps
or tickets will be given by the seller in
connection with such sales emitting the
purchaser Of such property to receive
such prizes or gifts from any other
party to such sch eme-the party SO un-
dertaking and carrying on such a
scheme shall be deemed to be engaged
in gift enterprise unless the articles
or things promised to be given as gifts
or premiums with or on account oil
such purchases shall be definitely de-
scribed on such, stamps or tickets. and
the character and value Of such prom.
ised prizes or gtft be fully made know,
| to the purchaser at the time of the salt
thereof, and unless the right of thu
holder of such stamps or tickets to the
gift or premium so promised become:
absolute upon the completion and upor
delivery thereof without the holder be.
ing required to collect any specified
number of other similar stamps o.
tickets to present them for redemption
! together, and the right of the holder o
such stamps or tickets to the prize o
| gift SO offered is absolute and does no
depend on any chance uncertainty O
contingency whatever.
| Sec. 3. Any person who engages il
a gift enterprise such as is defined IL
this act or who advertises the same il
any manner or who in furtherance O
such scheme as an inducement to pur
chasers, issues in connection with tn
sale of any merchadise OF other prop
erty any such ticket or stamp purport
ing to be redeamable in some indefinit
article not described thereon only whel
presented with a collection Of othe
stamps or tickets of like kind by som
other party to such scheme and whicl
unless presented in the manner afore
said is not redeemable at all. shall