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House passes legislation to regulate 'liquidation' sales after consumer-protection debate

Utah House of Representatives · February 19, 1996
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Summary

Substitute HB6, aimed at curbing deceptive 'going out of business' sales by requiring notification, inventory disclosures and permits for extended sales, passed the House after sponsors said it protects local merchants; critics warned of heavy penalties for unaware small businesses.

The Utah House passed Substitute HB6 on Feb. 16, a bill intended to curb deceptive liquidation and false 'going out of business' sales and to protect legitimate local merchants.

Representative Jones, sponsor of the measure, described a pattern where some out-of-state operators mark up goods, advertise going-out-of-business sales repeatedly, and then move on — leaving unfair competition and consumer harm. The substitute…

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