Leawood, Kan. – February 6, 2026: The several members of the Wisconsin Assembly introduced Assembly Bill 894 (“AB 894”) during the 2025–2026 legislative session. It would create a new statute under Wisconsin’s Marketing; Trade Practices Act that would govern gift certificates, gift cards, and other gift obligations. The legislation would align Wisconsin state law with the existing federal CARD Act that regulates gift card standards. 15 USCA § 1693l-1. AB 894 would add a definition of “gift obligation,” would establish limits regarding expiration dates, limit fees, mandate enhanced disclosures, and authorize public and private enforcement rights. The statute applies prospectively to gift obligations sold on or after the law’s effective date.
AB 894 would create new section Wis. Stat. § 100.56, which broadly defines “gift obligation” as “an obligation, evidenced by a gift certificate, gift card, or other object or document marketed as a gift, to accept the gift certificate, gift card, or other object or document from the holder as payment, up to a specified amount, for a person’s goods or services.” Wis. A.B. 894, § 1(1), 2025–26 Reg. Sess. This definition appears to capture both physical and digital gift cards, as well as similar stored-value instruments that are marketed as gift. The definition seems to be limited to a card that is redeemable at a single merchant and does not include an exemption from loyalty and promotional cards. Id.
Under the proposed new statute and like the CARD Act, gift obligations may not carry an expiration date earlier than five years from the date of sale. Id. at §1(2). For reloadable gift cards, the five-year period resets with each reload, running from the date funds were last added. Id. As a result and like the CARD Act, reloadable card programs must be capable of tracking reload activity and recalculating the potential expiration date accordingly to avoid statutory violations.
Like the CARD Act, AB 894 permits dormancy, inactivity, or service fees, only if (1) there has been no activity on the gift obligation for at least one year; (2) the amount of the fee, that the fee is being charged for inactivity and how often the fee will be charged is stated “clearly and conspicuously” on the gift card; and (3) only one fee may be charged per month. Id. at § 1(3)(a) &(b). Id. § 1(3)(c). The necessity of clear and conspicuous requirements concerning fees would be very similar to the gift card disclosure obligations that are required under the CARD Act.
The bill provides for enforcement by the Wisconsin Department of Agriculture, Trade and Consumer Protection and by district attorneys. State enforcement actions may seek civil forfeitures of not less than $100 and not more than $10,000 per violation. Id. at §1(4)(c). In addition, the proposed statute would create a private right of action allowing affected consumers to recover the greater of twice their pecuniary loss or $200 per violation, together with reasonable attorney fees and costs. Id. at §1(4)(a).
If enacted, the statute will apply only to gift obligations sold on or after the effective date of the act, as specified upon enactment. Id. at §3.
The bill does not apply retroactively to previously issued gift cards. Id.
AB 894 has been assigned to the Assembly’s Committee on State Affairs. To view the proposed bill, click here: Assembly Bill 894.
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