Today's Law As Amended


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AB-2258 Retail fuel sales: price discounts.(2011-2012)



As Amends the Law Today


SECTION 1.

 Section 17044.1 is added to the Business and Professions Code, to read:

17044.1.
 (a) For purposes of Sections 17030, 17043, and 17044, a person or related person does not sell below cost if all of the following apply:
(1) The person or related person sells fuel.
(2) The person or related person gives, extends, or offers a fuel price discount, price concession, or price reduction.
(3) The basis of the fuel price discount, price concession, or price reduction is the purchase or purchases of another article or product, or other articles or products, in the same transaction or in separate transactions, from the person or related person.
(4) The total price of the fuel and the other article or product, or the other articles or products, equals or exceeds the total cost.
(b) For purposes of this section, the following terms have the following meanings:
(1) “Fuel” means all grades of automotive fuel, including diesel, plant-based, or other alternative fuels, sold to consumers at the retail level.
(2) “Related person” means a person, as defined in Section 17021, that directly or indirectly through one or more intermediaries, controls, or is controlled by, or is under common control with, the person specified.
(3) “Total cost” means the aggregate cost of the fuel and the other article or product or other articles or products. The separate costs of fuel and the other article or product or other articles or products shall be determined as set forth in Sections 17026, 17027, and 17029. Cost shall be measured over a commercially reasonable period of time. Cost shall not include the fuel price discount, price concession, or price reduction.
(4) “Total price” means the price of the fuel, taking into account the fuel price discount, price concession, or price reduction, plus the price of the other article or product or prices of the other articles or products. Price shall be measured over a commercially reasonable period of time.