Section 460.205  Required Written Disclosures

A buyers club engages in an unfair or deceptive act or practice if it fails to provide prospective buyers, before the signing of the buyers club contract, with the following information in writing:

a)         A list, current as of the time the buyer signs the buyers club contract, of the names of at least 10 manufacturers for each of the 5 major categories of club merchandise listed in the definition of that term in Section 460.10 and sold by or through the buyers club, unless the buyers club can obtain club merchandise for buyers from fewer than 10 manufacturers in a particular category, in which case all the manufacturers in that category shall be listed.  A buyers club shall not be required to deliver this list if the sales presentation takes place in the buyers club showroom.

b)         A list of the names of all manufacturers, other than those listed in subsection (a) above, mentioned orally by the buyers club as ones from which buyers can purchase club merchandise.

c)         A statement of the buyers club's policy regarding the following:

1)         warranties and guarantees on club merchandise;

2)         the return of ordered club merchandise;

3)         the cancellation of club merchandise orders;

4)         deposit refunds for the cancellation of club merchandise orders.

d)         A description of any costs (such as freight costs, handling fees, suppliers' and buyers clubs' markups) that are incidental to the purchase of club merchandise and that are payable by the buyer.

e)         A list stating the categories of club merchandise available to buyers from retail merchants granting a discount to buyers, and stating the percentage of the discount from the regular price.

f)         If applicable, a statement that the retail installment sales contract signed by the buyer will be transferred, sold or assigned to a third party.

(Source:  Amended at 10 Ill. Reg. 10957, effective June 6, 1986)