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S 2643Rights & Warranties

Commercial Law - General Regulatory Provisions - Unfair Sales Practices

Retailers offering digital food coupons must provide an offline alternative for shoppers to access the same discounts.

Held for study
Population
Affected
35
Email Legislator
Introduced Feb 27, 2026Committee Senate Commerce

Plain-English Summary

This legislation amends the state's "Unfair Sales Practices" laws to regulate the use of digital coupons for food and related items. It mandates that any retailer offering a discount via a digital coupon—which typically requires a smartphone or personal computer to access—must also provide an alternative method for consumers to obtain that same discount without needing such a device. Acceptable alternatives include paper coupons, in-store electronic kiosks, or applying the discount at the point-of-sale upon request. Violations of this requirement are punishable by a fine of up to $500.

For younger readers

Sometimes grocery stores have special sales where you can only get a lower price if you use a smartphone or computer to "clip" a digital coupon. This bill changes the rules to make things fair for everyone. It says that stores must give customers a way to get those same low prices without needing a phone or computer. The store could use paper coupons, a machine in the store, or just give the discount at the cash register if the customer asks. This ensures everyone can afford the food on sale.

Who & Where It Applies

Impacted groups
Grocery shoppersElderly residentsLow-income residentsGrocery retailersSupermarket chains
Impacted communities
All

Constitutional & Fiscal Check

None Likely

Estimated cost
None
Estimated revenue
Amount unknown

Bill Analysis

Both viewpoints
For Progressives
  • Promotes economic equity by ensuring that low-income individuals, who may not own smartphones or have reliable internet access, can access the same food discounts as wealthier shoppers.
  • Protects the elderly population, who may lack digital literacy, from being financially penalized for not using apps or digital technology to buy groceries.
  • Reduces the "digital divide" in essential commerce, preventing corporations from creating a two-tiered pricing system that disadvantages the most vulnerable members of the community.
  • The maximum fine of $500 may be considered a "cost of doing business" for large corporate grocery chains rather than a genuine deterrent against non-compliance.
  • Does not strictly mandate an automatic discount, meaning the burden remains on the consumer to know about the sale and request the discount or find a kiosk.
  • The legislation focuses solely on food and related items, leaving other essential goods unprotected from discriminatory digital-only pricing schemes.
For Conservatives
  • Protects consumer privacy by allowing shoppers to access market prices without being forced to surrender personal data to corporate tracking apps.
  • Supports senior citizens and traditionalists who prefer not to use modern technology, ensuring they are not excluded from the marketplace.
  • Ensures pricing transparency and fairness in the market, preventing businesses from obscuring true costs behind technological barriers.
  • Represents government overreach into the free market by dictating how private businesses must structure their marketing and promotional strategies.
  • Imposes additional regulatory burdens and potential costs on businesses, such as installing kiosks or printing coupons, which could ultimately drive up prices.
  • Interferes with the right of private property owners to set the terms of their own sales and voluntary exchanges with customers.

Votes

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Full Bill Text

Changes to existing Rhode Island law · 21 additions

It is enacted by the General Assembly as follows:

SECTION 1. Sections 6-13-1 and 6-13-11 of the General Laws in Chapter 6-13 entitled "Unfair Sales Practices" are hereby amended to read as follows: 6-13-1. Definitions.

(a) “Cost to the retailer” means the invoice cost of the merchandise to the retailer within thirty (30) days prior to the date of the sale, or the replacement cost of the merchandise to the retailer within thirty (30) days prior to the date of the sale, in the quantity last purchased, whichever is lower; less all trade discounts except customary discounts for cash; to which shall be added:

(1) Freight charges not otherwise included in the cost of the merchandise;

(2) Cartage to the retail outlet if performed or paid for by the retailer, which cartage cost shall be deemed to be three-fourths of one percent (0.75%) of the cost of the merchandise to the retailer, unless the retailer claims and proves a lower cartage cost; and

(3) A markup to cover in part the cost of doing business, which markup, in the absence of proof of a lesser cost, shall be six percent (6%) of the total cost at the retail outlet.

(b) “Cost to the wholesaler” means the invoice cost of the merchandise to the wholesaler within thirty (30) days prior to the date of the sale, or the replacement cost of the merchandise to the wholesaler within thirty (30) days prior to the date of the sale, in the quantity last purchased, whichever is lower; less all trade discounts except customary discounts for cash; to which shall be added:

(1) Freight charges not otherwise included in the cost of the merchandise;

(2) Cartage to the retail outlet if performed or paid for by the wholesaler, which cartage cost shall be deemed to be three-fourths of one percent (0.75%) of the cost of the merchandise to the wholesaler, unless the wholesaler claims and proves a lower cartage cost; and

(3) A markup to cover in part the cost of doing business, which markup, in the absence of proof of a lesser cost, shall be two percent (2%) of the total cost at the wholesale establishment.

(c) Where two (2) or more items are advertised; offered for sale; or sold at a combined price; the price of each item shall be determined in the manner stated in subsections (a) and (b).

(d) “Sell at retail”, “sales at retail”, and “retail sale” mean and include any transfer of title to tangible personal property for a valuable consideration made in the ordinary course of trade or in the usual prosecution of the seller’s business to the purchaser for consumption or use other than resale or further processing or manufacturing. In this and in the preceding subsection the previous terms shall include any transfer of property where title is retained by the seller as security for the payment of the purchase price.

(e) “Retailer” means and includes every person, co-partnership, corporation, or association engaged in the business of making sales at retail within this state; provided, that, in the case of a retailer engaged in the business of making sales both at retail and at wholesale, the term shall be applied only to the retail portion of the business.

(f) “Wholesaler” means and includes every person, partnership, corporation, or association engaged in the business of making sales at wholesale within this state; provided, that, in the case of a wholesaler engaged in the business of making sales both at wholesale and at retail, the term shall be applied only to the wholesale portion of the business.

(g) Whenever any person, partnership, corporation, or association in the course of doing business performs the functions of both wholesaler and retailer without actually being engaged in the business of making sales at wholesale, the term “wholesaler” means and includes that function of the business of preparation for sale at the retail outlet, and the term “retailer” shall be applied only to the retail portion of the business.

(h) “Household” means and includes those who dwell under the same roof, house, or apartment.

(i) “Rebate” means a refund of a portion of the purchase price made to consumer to induce purchase of product.

(j) "Digital coupon" means any store coupon, rebate, or similar instrument presented solely through the Internet, and only obtainable through a consumer's personal computing device, and that provides to a consumer a discounted price or benefit, redeemable at the physical location where the goods or services are being offered for sale. 6-13-11. Discount price advertisement.

(a) It shall be unlawful to use, communicate, or publish any advertisement that states that an item or product is being sold or offered for sale at below the regular price or at a percentage off the regular price without posting the regular price at the point of purchase.

(b) Whenever an item or product is advertised for sale at below the regular price or at a percentage off the regular price, the advertisement shall clearly state whether there is an additional charge for equipment or services that are reasonably necessary for the proper use of the product.

(c) Whenever food and related items, as defined in § 44-18-7.1, are advertised by a retailer for sale at or below the regular price or at a percentage off the regular price through the redemption of a digital coupon, the retailers shall provide a purchaser with the ability to obtain the same discounted price or other benefit offered by the digital coupon through an alternative method not requiring the use of a personal computing device. Such alternative methods may include, but are not limited to, paper coupons, electronic kiosks, or application of the discounted price or benefit at the point-of-sale upon the request of the consumer. Such in-store alternatives shall be readily available and easily accessible to the consumer, and in the case of electronic kiosks, be prominently displayed in the store.

(d) Any person, firm, or corporation who or that shall violate the provisions of this section shall be punished by a fine of not more than five hundred dollars ($500).

(e) Severability. If any portion of this section is found by a court of competent jurisdiction to be the unlawful, such finding shall not affect any other portion of this section not specifically so found.

SECTION 2. This act shall take effect on January 1, 2027.