§ 5-91 Reductions Based on Advertiser's Own Price; "Formerly," "Regularly," "Reduced," "Percent Off," "Save," and Similar Terms.
RCNY § 5-91
(a)Immediately preceding price. If an advertiser uses the words: "percent off" "formerly ..., now ..." "reduced" "reduced to" "regularly..., now ..." "now only" "save $ ..." "was ..., now ..., "item now $ ..." or any similar term implying a reduction from a prior price charged by the advertiser, the price to which the reduced offering price is being compared must be the advertiser's bona fide selling price for that item or service unless the advertiser clearly discloses another basis of comparison or qualification.
(b)Intermediate reductions. If the term "originally," or any similar term, is used in any advertisement, the price stated as the "original" price must be the advertiser's bona fide selling price for the same article or service prior to intermediate reductions, and the price immediately prior to the current reduction must be disclosed, unless intermediate reductions are clearly indicated by the language used. Example: "Originally $75; then $68; now $65" "Earlier this year $75; now $65" "Further reduced to $50." (c) Comparison not recent. If a claim is based on a past bona fide selling price of the advertiser prior to the recent, regular course of business, the advertiser must clearly disclose that fact. Example: "Last year $40, now $20."
