Trading Stamps Act 1964
Trading Stamps Act 1964
1964 CHAPTER 71
An Act to make provision with respect to trading stamps, including provision for regulating the issue, use and redemption of trading stamps; to provide for regulating the business of issuing and redeeming trading stamps; and for purposes connected with the matters aforesaid.
[31st July 1964]
Be it enacted by the Queen's most Excellent Majesty, by and with the advice and consent of the Lords Spiritual and Temporal, and Commons, in this present Parliament assembled, and by the authority of the same, as follows:—
1 Restrictions on persons who may carry on business as promoters of trading stamp schemes.
(1) No person other than a company or an industrial and provident society shall carry on business as the promoter of a trading stamp scheme.
(2) If and so long as a private company carries on business as the promoter of a trading stamp scheme, the company shall be deemed not to be a private company for the purposes of the following provisions of the Companies Act 1948, that is to say—
(a ) section 129 (exemption from requirements of section 127 as to documents to be annexed to annual return);
(b ) section 143(1) (duty to forward to registrar copies of certain resolutions and agreements);
(c ) section 161(1) and (2) (qualification of auditors);
(d ) section 190(1) (prohibition of loans to directors).
(3) If a person carries on business in contravention of subsection (1) of this section he shall be liable—
(a ) on conviction on indictment to a fine of any amount, and
(b ) on summary conviction to a fine not exceeding one hundred pounds.
(4) In this and the next following section—
‘company’ means a company formed and registered under the Companies Act 1948 or an existing company within the meaning of that Act, and ‘private company’ has the same meaning as in that Act;
‘industrial and provident society’ means a society registered under the Industrial and Provident Societies Act 1893.
2 Statements required on face of trading stamps.
(1) No person shall after the coming into force of this section issue any trading stamp, or cause any trading stamp to be issued, or deliver any trading stamp to any person in connection with the sale of any goods or the performance of any services, unless such trading stamp bears on its face in clear and legible characters a value expressed in or by reference to current coin of the realm.
(2) As from the coming into force of this section it shall be the duty of a company or industrial and provident society carrying on business as the promoter of a trading stamp scheme to secure that all trading stamps issued under the scheme bear on their face in clear and legible characters—
(a ) in the case of a company, either the name of the company or a business name registered in respect of the company under the Registration of Business Names Act 1916;
(b ) in the case of an industrial and provident society, the name of the society.
(3) A person guilty of a contravention of subsection (1) of this section or of a failure to comply with subsection (2) of this section shall on summary conviction be liable to a fine not exceeding—
(a ) in the case of an offence by a promoter of a trading stamp scheme, one hundred pounds, and
(b ) in the case of an offence by some other person, twenty pounds.
3 Redemption of trading stamps for cash.
(1) If the holder of any number of redeemable trading stamps which have an aggregate cash value of not less than five shillings so requests, the promoter of the trading stamp scheme shall redeem them by paying over their aggregate cash value.
(2) The holder may exercise his right under the foregoing subsection—
(a ) by presenting the stamps at any reasonable time at the promoter's registered office, or
(b ) by sending the stamps by post to that office with sufficient instructions as to the manner in which the cash value is to be paid over,
or in any other manner afforded by the promoter.
(3) The obligation under this section in the case of an aggregate cash value which includes a fraction of a penny shall be arrived at by taking the sum to the nearest penny below the aggregate cash value.
(4) In this section ‘redeemable trading stamps’ means trading stamps delivered after the coming into force of this section in accordance with a trading stamp scheme upon or in connection with the purchase of any goods or the obtaining of any services for money, and ‘the holder’, in relation to such a trading stamp, means the person to whom it was so delivered or any person who holds it without notice of any defect in title.
(5) Subject to the following subsection this section shall also apply to trading stamps so delivered before the date of the coming into force of this section if a cash value is stated on their face.
(6) This section shall not apply—
(a ) to trading stamps which have been so delivered before the date of the coming into force of this section and which show on their face that they were so delivered before that date, or
(b ) to trading stamps which have been so delivered not later than six months after the passing of this Act and which show on their face, instead of any reference to any kind of value to the holder, a value indicating the sum paid on the purchase or other transaction in connection with which they were delivered or some other value which, having regard to the terms of the trading stamp scheme, it would be unreasonable to take as their value for the purposes of redemption under this section.
(7) Any agreement under which the rights conferred by this section on holders of redeemable trading stamps are surrendered or modified shall be void.
4 Warranties to be be implied on redemption of trading stamps for goods.
(1) Subject to subsection (2) of this section, in every redemption of trading stamps for goods there shall be—
(a ) an implied warranty on the part of the promoter of the trading stamp scheme that he has a right to give the goods in exchange,
(b ) an implied warranty that the person obtaining the goods shall have and enjoy quiet possession of the goods,
(c ) an implied warranty that the goods shall be free from any charge or encumbrance in favour of any third party, not declared or known to the person obtaining the goods before or at the time of redemption,
(d ) an implied warranty that the goods shall be of merchantable...
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