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| To enact sections 1319.21, 1319.22, 1319.23, and | 1 |
| 3741.15 of the Revised Code to require disclosure | 2 |
| to a merchant of the operating rules referenced | 3 |
| in, or otherwise applicable as terms and | 4 |
| conditions of, an electronic payment system | 5 |
| contract, to permit the merchant to disclose | 6 |
| operating rule information, to permit a retail | 7 |
| dealer of gasoline to offer discount prices for | 8 |
| gasoline purchases made by cash, debit card, | 9 |
| check, or any similar means rather than by credit | 10 |
| card, and to prohibit a franchise contract from | 11 |
| limiting a franchisee from offering such a | 12 |
| discount. | 13 |
| Section 1. That sections 1319.21, 1319.22, 1319.23, and | 14 |
| 3741.15 of the Revised Code be enacted to read as follows: | 15 |
| Sec. 1319.21. As used in sections 1319.21 to 1319.23 of the | 16 |
| Revised Code: | 17 |
| (A) "Access" means disclosure through electronic means that | 18 |
| enables a merchant to download and print information or, if a | 19 |
| merchant does not have electronic capability, disclosure in | 20 |
| writing timely postmarked to comply with division (A) or (B) of | 21 |
| section 1319.22 of the Revised Code. | 22 |
| (B) "Chargeback" means a transaction and any associated fees | 23 |
| that are billed back to a merchant under an electronic payment | 24 |
| system contract or deducted from a merchant account in connection | 25 |
| with a credit card or debit transaction. | 26 |
| (C)(1) "Credit card" means an instrument or device that is | 27 |
| issued by a person for or not for a fee and that authorizes the | 28 |
| cardholder to obtain money, a good, a service, or anything of | 29 |
| value that, when obtained, are obtained both: | 30 |
| (a) On credit or in possession or in consideration of an | 31 |
| undertaking or guaranty by the card issuer of a payment drawn by | 32 |
| the cardholder on a promise to pay the associated amount in part | 33 |
| or in full, whether or not all or any part of the indebtedness | 34 |
| represented by the promise to make a deferred payment is secured | 35 |
| or unsecured; | 36 |
| (b) Under a number assigned to the instrument or device, even | 37 |
| if the physical instrument or device is not used or presented. | 38 |
| (2) An instrument or device described in division (C)(1) of | 39 |
| this section is a credit card whether known by that or any other | 40 |
| name, such as a charge card, credit plate, courtesy card, or | 41 |
| identification card. | 42 |
| (D) "Credit card or debit card transaction" means a | 43 |
| transaction under which a cardholder uses a credit card or debit | 44 |
| card as payment to obtain money, a good, a service, or any other | 45 |
| thing of value. | 46 |
| (E)(1) "Debit card" means an instrument or device, excluding | 47 |
| a check, that enables a person to obtain money, a good, a service, | 48 |
| or anything of value by authorizing the withdrawal of money from | 49 |
| the person's deposit account or by using the value stored on the | 50 |
| instrument or device and means the number assigned to the | 51 |
| instrument or device even if the physical instrument or device is | 52 |
| not used or presented. | 53 |
| (2) An instrument or device described in division (E)(1) of | 54 |
| this section is a debit card whether known by that name or any | 55 |
| other name, such as an electronic benefit transfer card, stored | 56 |
| value card, smart card, access card, or benefit card. | 57 |
| (F) "Deposit account" means a demand, time, savings, | 58 |
| passbook, or similar account maintained with a financial | 59 |
| institution. | 60 |
| (G) "Electronic payment system" means a payment system | 61 |
| consisting of one or more financial institutions and of a network | 62 |
| organization that electronically provides authorization, clearing, | 63 |
| and settlement services for credit card and debit card | 64 |
| transactions accepted by merchants. | 65 |
| (H) "Electronic payment system contract" means a contract | 66 |
| that subjects merchant acceptance of credit cards or debit cards | 67 |
| to the operating rules of an electronic payment system. | 68 |
| (I) "Fee" means any rate or specific amount of money, | 69 |
| including an interchange fee, chargeback, or transaction | 70 |
| pass-through fee and including any penalty. | 71 |
| (J) "Financial institution" means any bank, trust, company, | 72 |
| savings bank, savings and loan association, or credit union that | 73 |
| is incorporated or organized under the laws of the United States | 74 |
| or any of its states, or of Canada or any of its provinces, and is | 75 |
| subject to regulation or supervision by such country, state, or | 76 |
| province. | 77 |
| (K) "Interchange fee" means an amount deducted from a deposit | 78 |
| to a merchant's deposit account as compensation or reimbursement | 79 |
| for the processing by an electronic payment system of a credit | 80 |
| card or debit card transaction accepted by the merchant. | 81 |
| (L) "Merchant" means a person that is engaged in business in | 82 |
| this state and sells or leases in this state any good, service, or | 83 |
| anything of value to an end user and not for resale or sublease. | 84 |
| (M) "Operating rule" means any law, rule, policy, regulation, | 85 |
| or procedure governing the processing of a credit card or debit | 86 |
| card transaction by an electronic payment system. | 87 |
| (N) "Penalty" means any transaction downgrade that occurs, or | 88 |
| any amount that is charged to a merchant, due to the merchant's | 89 |
| not meeting the operating rules referenced in, or otherwise | 90 |
| applicable as terms and conditions of, an electronic payment | 91 |
| system contract. | 92 |
| (O) "Transaction pass-through fee" means a settlement fee, | 93 |
| risk fee, access fee, due, assessment, or other fee, excluding an | 94 |
| interchange fee, that is not set solely by two or more persons | 95 |
| jointly and is associated with a credit card or debit card | 96 |
| transaction and paid by the merchant under an electronic payment | 97 |
| system contract. | 98 |
| Sec. 1319.22. (A) No person shall enter into or operate | 99 |
| under an electronic payment system contract with a merchant | 100 |
| without providing or ensuring the provision of complete access to | 101 |
| all operating rules referenced in, or otherwise applicable as | 102 |
| terms and conditions of, that contract, including clear and | 103 |
| complete disclosure of any fee charged under the contract and the | 104 |
| situation under which the fee may apply. That access shall be | 105 |
| provided either directly to the merchant party to the contract or | 106 |
| to the merchant through the person with whom the merchant has a | 107 |
| merchant account. | 108 |
| (B) No person shall fail to provide to a merchant that is | 109 |
| party to an electronic payment system contract notice of and | 110 |
| subsequent access to any applicable operating rule change or new | 111 |
| operating rule under the contract. That notice and access shall be | 112 |
| provided at least five business days in advance of the effective | 113 |
| date of the rule change or new rule. | 114 |
| (C) No person shall prohibit a merchant, as a condition to | 115 |
| access under division (A) or (B) of this section, from disclosing | 116 |
| any information obtained pursuant to that access. | 117 |
| Sec. 1319.23. A merchant aggrieved by a violation of | 118 |
| division (A), (B), or (C) of section 1319.22 of the Revised Code | 119 |
| may bring a civil action in a court of competent jurisdiction in | 120 |
| this state against the person committing the violation to recover | 121 |
| any resultant damages for injury, death, or loss to persons or | 122 |
| property and to obtain equitable relief, including reimbursement | 123 |
| to the merchant for any fee charged to the merchant under the | 124 |
| electronic payment system contract during the period of violation. | 125 |
| In addition, the court may award a prevailing merchant an amount | 126 |
| equal to ten thousand dollars per each type of fee charged to the | 127 |
| merchant under the electronic payment system contract during that | 128 |
| period, and the prevailing merchant shall be awarded attorney's | 129 |
| fees and court costs. | 130 |
| Sec. 3741.15. (A) A retail dealer of gasoline may offer a | 131 |
| discount on gasoline purchases made by cash, debit card, check, or | 132 |
| any similar means of payment other than by credit card. | 133 |
| (B) No contract or agreement between a gasoline franchisor | 134 |
| and a retail dealer of gasoline shall prohibit the retail dealer | 135 |
| from offering a discount as this section allows. Any provision of | 136 |
| a franchise contract or agreement that prohibits a retail dealer | 137 |
| from offering a discount as described in division (A) of this | 138 |
| section is void and unenforceable as against public policy. | 139 |
| (C) As used in this section, "retail dealer" means a person | 140 |
| who owns, operates, controls, or supervises an establishment at | 141 |
| which gasoline is sold or offered for sale to the public. | 142 |