§ 5-86 Definitions.
RCNY § 5-86
Advertiser. Where the "advertiser" is a chain store, the requirements of this part shall apply to each branch as if it were a separate store. Advertiser's bona fide selling price. "Advertiser's bona fide selling price" shall mean the immediately preceding price at which the same item or service was actually offered for sale to the public by the advertiser for a reasonably substantial period of time in the recent regular course of the advertiser's business, unless an earlier time period is clearly specified, and not a price charged for the purpose of establishing a fictitious higher price on which a deceptive comparison might be based.
(1)"Recent regular course of business" shall mean the current selling season on seasonal goods; or, on services or non-seasonal goods, the period of the current model or twelve months, whichever is shorter.
(2)It is prima facie evidence that a selling price for a service or an item is bona fide if: (i) the item was offered for a reasonably substantial period of time and a substantial quantity of sales were made at that price, or (ii) if a substantial number of sales was not made at such price, that the item was openly offered for sale to the public for a reasonably substantial period of time and that such offering price was reasonable based upon the manner in which such items were displayed or offered for sale, and such other factors as the mark-up reflected in such price and the price of comparable items. Genuine. "Genuine," when used in this part with such phrases as "open stock price," "list price," "suggested retail price," and "catalog price" shall mean that the price is one at which substantial quantities of the identical merchandise have actually been sold to the public within the recent regular course of business, by the advertiser or principal retail outlets within the New York City trading area, or, if identical merchandise is not available in the New York City trading area, in principal retail outlets in other similar trading areas provided that the fact is disclosed. During the first two weeks after a new model or item has been introduced, a "list price," "suggested retail price" or "catalog price" may be considered "genuine" only if: (1) the list price, suggested retail price or catalog price for the last previous model was genuine, or, (2) where no previous model existed, the list price, suggested retail price or catalog price for other similar goods, produced by the same manufacturer and sold in the preceding selling season or twelve month period, was genuine. Where no previous model or similar goods existed or where the manufacturer has not previously made use of list price or suggested retail price, the list price, suggested retail price or catalog price may be used for up to thirty days after introduction of the new model or item after which time, the advertiser must be able to demonstrate that the price is genuine. In-store. "In-store" representation shall mean any written statement, visual description, advertisement, or other written representation of any kind, or any oral statement by a demonstrator which is made inside the interior premises of the merchant. Models and types. "Models" and "types" refer to models and types exclusive of differentiations attributable only to sizes or colors except where sizes or colors are material, e.g. mattresses, paint. Out-of-store. "Out-of-store" representations shall mean any oral or written statement, visual description, advertisement or other representation of any kind made outside the interior premises of the advertiser, including representations made in newspapers, magazines, handbills, billboards, direct mailings, on radio and television and in store windows, storefronts, and other similar places where the representations can be perceived by the public not yet inside the premises of the merchant. Retail market price. "Retail market price" shall mean: (1) the price at which substantial sales of the same article or service are presently being made in principal retail outlets in the New York City trading area, or (2) where no substantial sales have been made, the bona fide, usual and customary selling price of the item or service as offered in principal retail outlets in the New York City trading area.
