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§ 5-59 Restaurant Surcharges.
   (a)   A seller serving food or beverages for consumption on the premises may not add surcharges to listed prices. For example, a restaurant may not state at the bottom of its menu that a 10 percent charge or a $1.00 charge will be added to all menu prices.
   (b)   A seller may impose a bona fide service charge (such as an added charge for two persons splitting one meal, or a per person minimum charge), if the charge is conspicuously disclosed to the consumer before the food is ordered.
   (c)   In this section, the term "surcharge" does not include tax.
§ 5-60 Franchises.
   (a)   Definitions.
      Franchise. "Franchise" means a right to use the franchisor's trademark, tradename, brand name, or other mark of identity to suggest a substantial association with the franchisor.
      Franchisee. "Franchisee" means a person receiving a franchise.
      Franchisor. "Franchisor" means a person giving a franchise.
      Subfranchisee. "Subfranchisee" means a person to whom a franchisee gives the right to use a franchise.
   (b)   Required disclosures.
      (1)   A franchisee or subfranchisee must conspicuously disclose on a sign and on each sales slip, receipt and contract for more than $50:
         (i)   that the franchisor, franchisee or subfranchisee are separate business entities; and
         (ii)   the legal name and address of the party given the franchise, and the legal name of the franchisee and subfranchisee, if any, disclosed in accordance with 6 RCNY § 5-01 "Legal Name." These disclosures need not be made on credit card receipts if there is a sign conspicuously disclosing them at all cash registers or at the place where credit card transactions occur.
      (2)   A franchisor, franchisee or subfranchisee must conspicuously disclose:
         (i)   that advertised sales, discounts, or other special offers are available only at participating franchise outlets, if such is the case;
         (ii)   wherever a warranty or guarantee appears, that the terms of the guarantee or warranty apply only to certain franchise outlets, if such is the case;
         (iii)   that there has been a change in ownership of the franchise outlet, if such is the case, unless upon the change of ownership the name of the franchise was substantially altered. The disclosure required by 6 RCNY § 5-60(b)(2)(iii) need only be made during the first ninety days after the transfer of ownership.
   (c)   Partial exemption. A franchisee or subfranchisee need not make the disclosures otherwise required by 6 RCNY §§ 5-60(b)(1) and 5-60(b)(2)(iii) if the franchisor is liable to customers of the franchisee or subfranchisee for items sold by the franchisee or subfranchisee.
§ 5-61 Public Performance Seats.
   (a)   Sellers of seats to performances at any place of public amusement or sport must conspicuously display a diagram of reserved seat locations by row and seat number, or must conspicuously display a sign stating that such a diagram is available upon request. The diagram must also show every area designated on any ticket.
   (b)   The ticket for any seat which does not allow complete view of all action must state that the view is obstructed or impaired.
   (c)   The following requirements apply to places of public amusement or sport with seating capacities of between 900 and 2,000 ("Theatres"):
      (1)   The seating level located immediately above the orchestra level may be designated "mezzanine." However, if no crossover or structural division exists in such level, then no part of it may be designated as "front mezzanine" or "rear mezzanine"
      (2)   If a crossover or structural division exists in such level, then either:
         (i)   the area in front of the crossover or structural division shall be designated "front mezzanine" and the area behind the crossover or structural division shall be designated "rear mezzanine"
         (ii)   the entire level shall be designated "mezzanine."
      (3)   The lettering of rows in each seating area designated as "mezzanine," "front mezzanine" or "rear mezzanine" shall be alphabetically consecutive, beginning with row "A."
      (4)   A Theatre shall cause the seating diagram referred to in subdivision (a) of this section to be conspicuously posted at all locations where tickets to a performance at such theatre are offered for sale, including but not limited to the Times Square Theatre Centre and The Lower Manhattan Theatre Centre.
      (5)   Before a sale of tickets over the telephone is completed, a Theatre shall cause the following information to be orally communicated to the consumer;
         (i)   the number of seating levels in the theatre; and
         (ii)   the seating level on which the ticket(s) offered are located.
§ 5-62 Home Heating Oil Credit. [Repealed]
(Repealed City Record 6/7/2018, eff. 7/7/2018)
§ 5-63 Catering Contracts.
   (a)   Definition.
      Caterer. "Caterer" means any person or business engaged in serving food or beverages for private functions in New York City.
   (b)   Cancellation.
      (1)   If a consumer cancels a catering contract and the caterer can re-book the date, the caterer's cancellation fee may not exceed 5 percent of the total contract price or $100, whichever is less, plus actual expenses reasonably incurred.
      (2)   If a consumer cancels a catering contract and the caterer cannot re-book the date, the caterer's cancellation fee may not exceed the difference between the total contract price and the cost of performance, plus actual expenses reasonably incurred. The caterer must be able to show diligent efforts to re-book and must fairly calculate the cost of performance.
      (3)   It will be presumed that a caterer who receives notice of cancellation six months or more before the scheduled date of the function will be able to re-book.
      (4)   Cancellation occurs:
         (i)   when the consumer mails the caterer a notice of intent to cancel; or
         (ii)   when the caterer has actual notice of the consumer's intent to cancel.
   (c)   Refunds. As soon as reasonably practicable after cancellation (and never later than 30 days after re-booking) the caterer must return to the consumer any sum received which exceeds the permissible cancellation fee.
   (d)   Contract forms. Contract forms must conspicuously disclose the caterer's cancellation fee.
   (e)   Delegation of performance. A caterer may not delegate performance of any contract to another caterer without the consumer's consent. This consent may be obtained only after the caterer advises the consumer of its inability to perform under the contract.
§ 5-64 Vocational Training.
   (a)   If a vocational school or a paid provider of vocational instruction advertises or states that people in particular jobs have certain incomes, or that people who are instructed will earn a stated salary or income "up to" a stated amount:
      (1)   either the salary or income must be equal to or less than the average salary or income of persons employed less than five years in the indicated position in the New York metropolitan area, and the representation must state the basis for calculation of the average salary or income; or the representation must state the basis for calculation of the salary stated and disclose the average salary or income of persons employed less than five years in the indicated position in New York metropolitan area; and
      (2)   the representation must state any conditions or other requirements such as union membership or service of an apprenticeship, which must be met to earn the stated salary or income; and
      (3)   the representation must state that no guarantee is made that a person will earn the stated salary or income, unless the seller makes such a guarantee.
   (b)   In a written or printed advertisement, the information required by 6 RCNY §§ 5-64(a)(1), (2) and (3) must be disclosed in lettering as large as the numerals of the stated salary or income.
   (c)   The words "EARN $ .... " or "EARN UP TO $ ...." or words of similar meaning represent that a person who attends the training course will earn the stated salary or income within the meaning of 6 RCNY § 5-64(a).
   (d)   If a vocational school or a paid provider of vocational instruction advertises or states that a training course includes job placement service:
      (1)   the job placement service must be available to all persons who pay a fee, regardless of whether they complete the course, unless the advertisement or representation states that it is available only to those who successfully complete the course and discloses any other conditions or limitations on the placement service; and
      (2)   the advertisement or representation must state whether job placement is guaranteed and, where no guarantee is given, the advertiser must make bona fide attempts to seek potential employers for its students.
   (e)   In a written or printed advertisement, the information required by 6 RCNY § 5-64(d)(1) and (2) must be disclosed in lettering as large as the lettering indicating the existence of the placement service.
   (f)   Any advertisement or representation that a school or course has been approved by any government agency must indicate the terms of that approval, particularly as the approval applies to the quality of instruction and the truth of the statements contained in the advertisement or representation. For example, an advertisement or representation shall not state "V.A. Approved," but must state, if such is the case: "V.A. education loans may be used for tuition. V.A. does not review nor guarantee the quality of instruction, nor does it guarantee the truth of the statements in this advertisement."
   (g)   For purposes of this section, "vocational training school" includes any business entity offering vocational instruction through a home study or correspondence plan.
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