Title 37 — TRADE REGULATION

Terms used in this chapter, except where the context clearly requires otherwise, mean: (1) "Basic cost of cigarettes," the invoice cost of cigarettes to the retailer or wholesaler, as the case may be, or the replacement cost of cigarettes to the retailer or wholesaler, as the cas…

In the absence of the filing with the secretary of revenue of satisfactory proof of a lesser or higher cost of doing business by the wholesaler making the sale, the cost of doing business by the wholesaler shall be presumed to be four percent of the basic cost of cigarettes to th…

In establishing the cost of cigarettes to the retailer or wholesaler, the invoice cost of such cigarettes purchased at a forced, bankrupt, or closeout sale, or other sale outside the ordinary channels of trade, may not be used as a basis for justifying a price lower than one base…

Where a cost survey, pursuant to recognized statistical and cost accounting practices, has been made for the trading area in which the offense is committed, to establish the lowest cost to the retailer and the lowest cost to the wholesaler, such cost survey shall be deemed compet…

For the purpose of this chapter, a so - called tie - in sale of cigarettes, whereby in conjunction with the purchase of cigarettes, at a price which would not otherwise be less than cost to the vendor, the purchaser is offered other merchandise or other thing of value, without ch…

In all advertisements, offers for sale or sales involving two or more items, at least one of which items is cigarettes, at a combined price, and in all advertisements, offers for sale or sales involving the giving of any concession of any kind whatsoever, whether it be coupons or…

Merchandise given free or payment made to a retailer or wholesaler by the manufacturer thereof for display, or advertising, or promotion purposes, or otherwise, shall not be considered in determining the cost of cigarettes to the retailer or wholesaler. Source: SL 1966, ch 157 , …

Any retailer may advertise, offer to sell, or sell cigarettes at a price made in good faith to meet the price of a competitor who is selling the same article in this state at cost to him as a retailer as prescribed in this chapter. Any wholesaler may advertise, offer to sell, or …

In the absence of proof of the price of a competitor, under § 37-10-16 , the lowest cost to the retailer, or the lowest cost to the wholesaler, as the case may be, determined by any cost survey, made pursuant to § 37-10-12 , may be deemed the price of a competitor within the mean…

The provisions of this chapter shall not apply to sales at retail or sales at wholesale made as an isolated transaction and not in the usual course of business. Source: SL 1966, ch 157 , § 8 (1).

The provisions of this chapter shall not apply to sales at retail or sales at wholesale made where cigarettes are advertised, offered for sale, or sold as imperfect or damaged, and such advertising, offer to sell or sale shall state the reason therefor and the quantity of such ci…

It shall be unlawful and a violation of this chapter for any retailer, wholesaler or other person with intent to injure competitors or destroy or substantially lessen competition, (1) To advertise, offer to sell, or sell, at retail or wholesale, cigarettes at less than cost as de…

The provisions of this chapter shall not apply to sales at retail or sales at wholesale made where cigarettes are advertised, offered for sale, or sold in bona fide clearance sales for the purpose of discontinuing trade in such cigarettes and such advertising, offer to sell, or s…

The provisions of this chapter shall not apply to sales at retail or sales at wholesale made where cigarettes are sold upon the final liquidation of a business. Source: SL 1966, ch 157 , § 8 (4).

The provisions of this chapter shall not apply to sales at retail or sales at wholesale made where cigarettes are advertised, offered for sale, or sold by any officer acting under the order or direction of any court. Source: SL 1966, ch 157 , § 8 (5).

Evidence of advertisement, offering to sell or sale of cigarettes by any retailer or wholesaler at less than cost to him or evidence of any offer of a rebate in price or the giving of a rebate in price or an offer of a concession or the giving of a concession of any kind or natur…

In determining cost to the retailer and cost to the wholesaler the secretary of revenue or a court shall receive and consider as bearing on the good faith of such cost, evidence tending to show that any person complained against under any of the provisions of this chapter purchas…

Any contract, expressed or implied, made by any person in violation of any of the provisions of this chapter, is declared to be an illegal and void contract and no recovery shall be made thereon. Source: SL 1966, ch 157 , § 10.

The secretary of revenue may promulgate rules pursuant to chapter 1-26 concerning: (1) The minimum price of cigarettes; (2) The extension of credit; and (3) Retail delinquency. The secretary of revenue may undertake a cost survey as provided in §

In order to effectuate the purposes of this chapter it shall be the duty of the secretary of revenue to carry out the enforcement provisions of this chapter. In accordance with the laws of this state the secretary may, within the limits of available appropriations, employ and fix…

All of the powers vested in the secretary of revenue by the provisions of any law heretofore or hereafter to be enacted, shall be available to the secretary in the enforcement of the Unfair Cigarette Sales Act. Source: SL 1966, ch 157 , § 17; SL 2003, ch 272 (Ex. Ord. 03-1), § 82…

In addition to the provisions of §§ 37-10-2 , 37-10-3 , and 37-10-36 to 37-10-38 , inclusive, the secretary of revenue is empowered to suspend or revoke the license or any licenses of any person, licensed under the provisions of chapter 10-50 . Source: SL 1966, ch 157 , § 16 (1);…

It shall be unlawful and a violation of this chapter for any retailer, with intent to injure competitors or destroy or substantially lessen competition, (1) To induce or attempt to induce or to procure or attempt to procure the purchase of cigarettes at a price less than cost to …

No disciplinary proceedings or action shall be barred or abated by the expiration, transfer, surrender, continuance, renewal, or extension of any license issued under the provisions of chapter 10-50 . Source: SL 1966, ch 157 , § 16 (3).

No license or licenses issued under chapter 10-50 shall be suspended or revoked, except in compliance with chapter 1-26 . Source: SL 1966, ch 157 , § 16 (1).

If the secretary of revenue finds that a licensee has failed to comply with any provisions of this chapter or any rule promulgated thereunder, the secretary shall, in the case of the first offender, suspend the license or licenses of the licensee for a period of not less than fiv…

Any person aggrieved by any decision, order or finding of the secretary of revenue may appeal therefrom as provided by chapter 1-26 . Source: SL 1966, ch 157 , § 16 (4); SL 2003, ch 272 (Ex. Ord. 03-1), § 82; SL 2011, ch 1 (Ex. Ord. 11-1 ), § 161, eff. Apr. 12, 2011.

No person whose license has been suspended or revoked shall sell cigarettes or permit cigarettes to be sold during the period of such suspension or revocation on the premises occupied by him or upon other premises controlled by him or others in any other manner or form whatever. …

Any person whose license or licenses have been revoked pursuant to §§ 37-10-29 to 37-10-32 , inclusive, may apply to the secretary of revenue at the expiration of sixty days for a reinstatement of his license or licenses. Such license or licenses may be reinstated by the secretar…

An action may be maintained in any court of equitable jurisdiction to prevent, restrain or enjoin a violation or threatened violation of any of the provisions of this chapter. Such an action may be instituted by any person injured by any violation or threatened violation of this …

In an action pursuant to § 37-10-36 , it shall not be necessary that actual damages to the plaintiff be alleged or proved, but where alleged and proved, the plaintiff in such action, in addition to such injunctive relief and costs of suit, shall be entitled to recover from the de…

If no injunctive relief is sought or required, any person injured by a violation of this chapter may maintain an action for damages and costs of suit in any court of competent jurisdiction. Source: SL 1966, ch 157 , § 15 (2).

If any provision of this chapter or the application thereof to any person or circumstance is held invalid, such invalidity shall not affect other provisions or applications of the chapter which can be given effect without the invalid provision or application, and to this end the …

When one wholesaler sells cigarettes to another wholesaler, the former shall not be required to include in his selling price to the latter, "cost to the wholesaler," as provided by §§ 37-10-9 and 37-10-10 , except that no such sale shall be made at a price less than the basic cos…

This chapter shall be known and may be cited as the Unfair Cigarette Sales Act. Source: SL 1966, ch 157 , § 1.

Cost to the retailer shall mean the basic cost of cigarettes to the retailer plus the cost of doing business by the retailer, as evidenced by the standards and methods of accounting regularly employed by him in his allocation of overhead costs and expenses, paid or incurred, and …

In the absence of the filing with the secretary of revenue of satisfactory proof of a lesser or higher cost of doing business by the retailer making the sale, the cost of doing business by the retailer shall be presumed to be eight percent of the basic cost of cigarettes to the r…

Any retailer who purchases from the manufacturer at or at less than or at about the price normally and usually charged for purchases in wholesale quantities shall, in determining cost to the retailer, pursuant to § 37-10-5 , add the cost of doing business by the wholesaler, as de…

In the absence of the filing with the secretary of revenue of satisfactory proof of a lesser or higher cost of doing business, the cost of doing business by the retailer, who, in connection with the retailer's purchase, received not only the discounts ordinarily allowed upon purc…

Cost to the wholesaler shall mean the basic cost of cigarettes to the wholesaler plus the cost of doing business by the wholesaler, as evidenced by the standards and methods of accounting regularly employed by him in his allocation of overhead costs and expenses, paid or incurred…