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Do you have business contracts with customers or potential customers you don't know? Before you say no, think about whether your business offers discount coupons as promotions.
If you do, then the answer is yes. Coupons are binding contracts between the issuer and the consumer. If someone such as a retailer or grocer redeems the coupon for the issuer, then the coupon is also a contract between you and that person or entity.
There are many types of coupons; some of the more popular are manufacturer coupons, advertising coupons and store coupons.
Manufacturer coupons are prepared, distributed and paid for by the manufacturer of products and include FSI, magazine, newspaper, direct mail, in-pack and on-pack coupons.
Advertising coupons usually are prepared and placed by a retailer and are good only in a particular store or chain of stores. Advertising coupons are sometimes a more limited form of a manufacturer's coupon.
Store coupons typically are redeemed by the store or sponsor, unlike advertising and manufacturer's coupons, which usually are redeemed through clearing houses.
Dozens of state and federal laws and regulations apply to coupons, including the Federal Trade Commission Act; the FTC guide regarding the use of the word "free" in advertising or promotions; FDA laws regarding on-pack and in-pack coupons, the Fair Labeling and Packaging Act; trading stamp laws and industry-specific laws.
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