Legal Question in Business Law in Maryland

Invoice and billing disclosure requirements for rebates and discounts

I am trying to find out whether or not a company must report rebates or discounts given to a customer on its invoices, or to what extent (for example,can it simply reference a separate rebate agreement by saying, ''subject to Rebate Agreement A''). If it must report the rebates on the invoices, or not, I would like to know why, what are the legal issues the company would be avoiding in doing so, and what is the support for the requirement or lack thereof. If you do not have an answer, I would appreciate it if you could point me to the appropriate source of law, business guidelines, etc. where I could look for an answer.


Asked on 6/11/03, 10:53 am

1 Answer from Attorneys
G. Joseph Holthaus III Law Offices of G. Joseph Holthaus

Re: Invoice and billing disclosure requirements for rebates and discounts

The rebate notice need not be shown on the receipt to be effective. Many rebate offers are printed on the offer and reference to a requirement to have a register receipt.

The company benefits by placing the rebate offer on the register receipt in that it reduces its taxable income to the extent that it reduces revenue and the tax bracket. Other issues are that a rebate offer usually expires and offering it on a receipt then dates the coupon.

You should frame your question in more of a factual nature. If you want to research this there are several pay-for legal sites available.

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Answered on 6/13/03, 6:00 pm


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