Session of 2000
HOUSE BILL No. 2741
By Committee on Business, Commerce and Labor
1-27
10 AN ACT relating
to the Kansas consumer protection act; concerning the
11 definition of consumer
and remedies available thereunder; amending
12 K.S.A. 50-624 and
50-632 and repealing the existing sections.
13
14 Be it enacted by the Legislature of the
State of Kansas:
15 Section
1. K.S.A. 50-624 is hereby amended to read as follows: 50-
16 624. As used in this act:
17 (a) "Agricultural
purpose" means a purpose related to the production,
18 harvest, exhibition, marketing,
transportation, processing or manufacture
19 of agricultural products by a consumer who
cultivates, plants, propagates
20 or nurtures the agricultural products.
"Agricultural products" includes
21 agricultural, horticultural, viticultural,
and dairy products, livestock, wild-
22 life, poultry, bees, forest products, fish
and shellfish, and any products
23 thereof, including processed and
manufactured products, and any and all
24 products raised or produced on farms and
any processed or manufactured
25 products thereof.
26 (b) "Consumer"
means an individual or, sole proprietor,
or husband
27 and wife, who seeks or acquires
property or services for personal, family,
28 household, business or agricultural
purposes.
29 (c) "Consumer
transaction" means a sale, lease, assignment or other
30 disposition for value of property or
services within this state (except in-
31 surance contracts regulated under state
law) to a consumer; or a solici-
32 tation by a supplier with respect to any of
these dispositions.
33 (d) "Final
judgment" means a judgment, including any supporting
34 opinion, that determines the rights of the
parties and concerning which
35 appellate remedies have been exhausted or
the time for appeal has
36 expired.
37
(e) "Merchantable" means, in addition to the qualities
prescribed in
38 K.S.A. 84-2-314 and amendments thereto, in
conformity in all material
39 respects with applicable state and federal
statutes and regulations estab-
40 lishing standards of quality and
safety.
41 (f) "Person"
means any individual, corporation, government, govern-
42 mental subdivision or agency, business
trust, estate, trust, partnership,
43 association, cooperative or other legal
entity.
2
1
(g) "Property" includes real estate, goods and intangible
personal
2 property.
3
(h) "Services" includes:
4 (1) Work,
labor and other personal services;
5
(2) privileges with respect to transportation, hotel and
restaurant ac-
6 commodations, education,
entertainment, recreation, physical culture,
7 hospital accommodations, funerals and
cemetery accommodations; and
8 (3) any
other act performed for a consumer by a supplier.
9
(i) "Supplier" means a manufacturer, distributor, dealer,
seller, les-
10 sor, assignor, or other person who, in the
ordinary course of business,
11 solicits, engages in or enforces consumer
transactions, whether or not
12 dealing directly with the consumer.
13 Sec.
2. K.S.A. 50-632 is hereby amended to read as follows:
50-632.
14 (a) The attorney general or any county or
district attorney may bring an
15 action:
16 (1) To obtain a
declaratory judgment that an act or practice violates
17 this act;
18 (2) to enjoin, or
to obtain a restraining order against a supplier who
19 has violated, is violating, or is otherwise
likely to violate this act; or
20 (3) to recover
damages on behalf of consumers by reason of violations
21 of this act; and
22 (4) to recover
reasonable expenses and investigation fees.
23 (b) In lieu of
instigating or continuing an action or proceeding, the
24 attorney general may accept a consent
judgment with respect to any act
25 or practice declared to be a violation of
this act. Such a consent judgment
26 shall provide for the discontinuance by the
supplier entering the same of
27 any act or practice declared to be a
violation of this act, and it may include
28 a stipulation for the payment by such
supplier of reasonable expenses and
29 investigation fees incurred by the attorney
general. The consent judgment
30 also may include a stipulation for
restitution to be made by such supplier
31 to consumers of money, property or other
things received from such
32 consumers in connection with a violation of
this act and also may include
33 a stipulation for specific performance. Any
consent judgment entered into
34 pursuant to this section shall not be
deemed to admit the violation, unless
35 it does so by its terms. Before any consent
judgment entered into pur-
36 suant to this section shall be effective,
it must be approved by the district
37 court and an entry made thereof in the
manner required for making an
38 entry of judgment. Once such approval is
received, any breach of the
39 conditions of such consent judgment shall
be treated as a violation of a
40 court order, and shall be subject to all
the penalties provided by law
41 therefor.
42 (c) In any action
brought by the attorney general or the county or
43 district attorney, the court may, without
requiring bond of the attorney
3
1 general or the county or district
attorney:
2 (1) Make
such orders or judgments as may be necessary to prevent
3 the use or employment by a supplier
of any practices declared to be a
4 violation of this act;
5 (2) make
such orders or judgments as may be necessary to compen-
6 sate any consumer for damages
sustained;
7 (3) make
such orders or judgments as may be necessary to carry out
8 a transaction in accordance with
consumers' reasonable expectations;
9 (4) appoint
a master or receiver or order sequestration of assets
10 whenever it shall appear from a motion,
verified by affidavit, that the
11 supplier threatens or is about to remove,
conceal or dispose of property
12 to the damage of consumers to whom
restoration would be made under
13 this subsection or whenever it shall appear
that the property was derived
14 or is commingled with other property
derived from transactions involving
15 violations of the act, the court shall
assess the expenses of a master or
16 receiver against the supplier. An order
of sequestration issued pursuant
17 to this paragraph shall operate as a
lien on the sequestered assets and
18 may contain other provisions as the
court deems appropriate. Any sup-
19 plier whose assets are sequestered in an
ex parte preceeding pursuant to
20 this paragraph shall be promptly
notified of the sequestration, and notice
21 required by this paragraph may be served
in any manner permitted by
22 the code of civil procedure or by
ordinary first-class mail to the last known
23 address of the supplier. Any supplier
whose assets are sequestered may
24 file a motion to dissolve the
sequestration, verified by affidavit, putting in
25 issue the sufficiency of the
proceedings, the supplier's claim of exemption
26 as to any property which has been
sequestered, or the truth of the facts
27 alleged in the affidavit on which the
sequestration was ordered. The court
28 shall hold a hearing on the motion
within five days after the receipt
29 thereof;
30 (5) revoke any
license or certificate authorizing that supplier to en-
31 gage in business in this state;
32 (6) issue a
temporary restraining order or enjoin any supplier from
33 engaging in business in this state;
34 (7) award
reasonable expenses and investigation fees, civil penalties
35 and costs; and
36 (8) grant other
appropriate relief.
37 Sec. 3. K.S.A. 50-624 and 50-632
are hereby repealed.
38 Sec. 4. This act shall
take effect and be in force from and after its
39 publication in the statute book.