102 | 2024 Membership Directory “Demonstrator” vehicles: It is deceptive to advertise or represent a vehicle as a “demo” or “demonstrator” unless it has been used exclusively for demonstration purposes by dealership personnel. Used cars, previously leased cars, driver education cars, former rental cars, loaner cars, or cars which have been delivered to a retail customer and then returned for credit reasons, are not considered to be “demonstrators.” C. Availability Advertised vehicles must be sold at or below the advertised price regardless of whether or not the advertised price has actually been communicated to the purchaser prior to the sale. Exception: When the advertisement clearly and conspicuously discloses a requirement to bring in the advertisement, or a coupon in the advertisement, in order to receive the sale price, and the sale price is not given to anyone who does not follow those instructions. There must be a sufficient supply of advertised vehicles to meet reasonably expectable public demand; otherwise the advertisement should disclose a limitation of quantity. Dealerships shall not misrepresent the number, makes, or models of vehicles that will be available at sales events. Use of a stock number is sufficient to indicate that only one vehicle is available. Other acceptable disclosures include “only 2 in stock,” “limited supply,” or “quantities limited.” Use of the terminology “select models” or “choose from a selection of vehicles” cannot be used to indicate a limitation of quantity. If an advertised vehicle is not in stock, but is available only by order, the advertisement should clearly and conspicuously disclose this fact. Such advertisements should not be used when the manufacturer’s model year production run has ceased or when orders may not be placed with the factory. D. Promotions: Contests, Giveaways, Sweepstakes, Gifts, Awards, Prizes and Prize Certificates20 1. Definitions, Exceptions to Georgia Criminal Statute a. A “promotion” is defined in the FBPA as any procedure for promoting consumer transactions in which one or more prizes are distributed among persons who are required to be present at the place of business or are required to participate in a sales presentation in order to receive their prize or determine which prize they will receive; b. Promotions that fail to fully comply with the requirements of the FBPA and require consumers to purchase an item, pay any money, or participate in a sales presentation in order to win a prize, violate the FBPA and may be treated as illegal lotteries.21 Persons found to be conducting illegal lotteries are subject to potential criminal prosecution for commercial gambling, which is a felony under Georgia law.22 2. Fair Business Practices Act Provisions a. Written Notice Requirements: Written notice must be given to all participants prior to their traveling to the place of business, and/or prior to any seminar or sales presentation of any kind. Written notice may be given by hand, mail, newspaper or periodical. Any notice or offer to participate made through any other medium (e.g., in person/verbal, telephone, fax, Internet, or email) must contain all the same required disclosures, and a written notice containing the required disclosures must still be given to participants prior to any seminars or sales presentations. These written notice requirements apply to all promotion offers made by a Georgia business or sent to a Georgia resident. The written notice must contain the following required disclosures: i. The name and address sponsor, which is the business whose goods or services are being advertised; ii. The name and address of the promoter, such as the marketing company, advertising agency, or sweepstakes organization; 20 GA. CODE ANN. § 10-1-393(b)(16), (22), (23), (27) (2007). 21 GA. CODE ANN. §§ 10-1-393(b)(16), 16-12-36 (2007). 22 GA. CODE ANN. § 16-12-22 (2007).
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