HF3039

Purpose of the Bill

This bill aims to update Minnesota laws regarding advertising practices for food and beverage service establishments. The goal is to exempt such establishments from the current requirement to include mandatory fees in advertised prices, to enhance transparency and accommodate industry-specific pricing structures.

Main Provisions

• Exemption for Food and Beverage Establishments: The bill proposes an amendment to exempt restaurants, hotels, bars, food concessions, grocery stores, and grocery delivery services from the requirement to include mandatory fees or charges in advertised prices for individual food and beverage items.
• Clear Disclosure Requirement: Establishments that offer banquet or catering services must disclose any mandatory fees or charges clearly and conspicuously. These must be displayed on menus or contracts and should comply with the U.S. FDA typesize requirements, ensuring consumers receive clear information.
• Advertising Price Transparency: The bill addresses how businesses should present pricing in their advertisements, distinguishing between mandatory fees and taxes. It mandates that any automatic gratuities be disclosed clearly.

Significant Changes to Existing Law

• The amendment modifies the current deceptive trade practice statutes by specifically exempting certain food and beverage establishments from including all mandatory fees in their advertised prices. Previously, businesses generally had to disclose all fees in their pricing to prevent deceptive practices.

Relevant Terms

• Deceptive trade practice
• Mandatory fees
• Food and beverage service establishments
• Automatic gratuities
• U.S. FDA typesize requirements
• Advertising exemptions