{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2026\/code-json\/18.2-242.1.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2026\/code-text\/18.2-242.1.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2026\/code-xml\/18.2-242.1.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2026\/code-html\/18.2-242.1.html"}],"law_id":350507,"edition_id":2,"section_id":350507,"structure_id":50154,"section_number":"18.2-242.1","catch_line":"Certain referral transactions in connection with consumer sales or leases prohibited; effect of such transactions","history":"Code 1950, \u00a7 59.1-68.02; 1975, c. 3; 1976, c. 641.","full_text":"a\n\nFor the purpose of this section, the term “consumer sale or lease of goods or services” means the sale or lease of goods or services which are purchased or leased by a natural person primarily for a personal, family or household purpose, and not for resale.\n\nb\n\nWith respect to a consumer sale or lease of goods or services, no seller or lessor shall give or offer to give a rebate or discount or otherwise pay or offer to pay value to the buyer or lessee as an inducement for the sale or lease in return for the buyer’s giving to the seller or lessor the names of prospective buyers or lessees, or otherwise aiding the seller or lessor in entering into a transaction with another buyer or lessee, if the earning of the rebate, discount, or other value is contingent upon the occurrence of any sale, lease, appointment, demonstration, interview, conference, seminar, bailment, testimonial or endorsement subsequent to the time the buyer or lessee enters into the agreement of sale or lease.\n\nc\n\nAgreements made in whole or in part pursuant to a referral transaction as above described shall be void and unenforceable by the seller or lessor. The buyer or lessee shall be entitled to retain the goods, services or money received pursuant to a referral transaction without obligation to make any further or future payments of any sort on the transaction total, or he shall be entitled to avoid the transaction and to recover from the seller or lessor any sums paid to the seller or lessor pursuant to the transaction.\n\n","order_by":null,"text":{"0":{"id":1305778,"text":"For the purpose of this section, the term “consumer sale or lease of goods or services” means the sale or lease of goods or services which are purchased or leased by a natural person primarily for a personal, family or household purpose, and not for resale.","type":"section","prefixes":["a"],"prefix":"a","entire_prefix":"a","prefix_anchor":"a","level":1,"next_prefix":"b"},"1":{"id":1305779,"text":"With respect to a consumer sale or lease of goods or services, no seller or lessor shall give or offer to give a rebate or discount or otherwise pay or offer to pay value to the buyer or lessee as an inducement for the sale or lease in return for the buyer’s giving to the seller or lessor the names of prospective buyers or lessees, or otherwise aiding the seller or lessor in entering into a transaction with another buyer or lessee, if the earning of the rebate, discount, or other value is contingent upon the occurrence of any sale, lease, appointment, demonstration, interview, conference, seminar, bailment, testimonial or endorsement subsequent to the time the buyer or lessee enters into the agreement of sale or lease.","type":"section","prefixes":["b"],"prefix":"b","entire_prefix":"b","prefix_anchor":"b","level":1,"prior_prefix":"a","next_prefix":"c"},"2":{"id":1305780,"text":"Agreements made in whole or in part pursuant to a referral transaction as above described shall be void and unenforceable by the seller or lessor. The buyer or lessee shall be entitled to retain the goods, services or money received pursuant to a referral transaction without obligation to make any further or future payments of any sort on the transaction total, or he shall be entitled to avoid the transaction and to recover from the seller or lessor any sums paid to the seller or lessor pursuant to the transaction.","type":"section","prefixes":["c"],"prefix":"c","entire_prefix":"c","prefix_anchor":"c","level":1,"prior_prefix":"b"}},"ancestry":[{"id":50154,"edition_id":2,"name":"Misrepresentations and Other Offenses Connected With Sales","identifier":"8","label":"article","depth":3,"order_by":9,"parent_id":50144,"metadata":{"child_laws":36,"child_structures":0},"date_created":"2026-08-02 02:23:27","date_modified":"2026-08-02 12:30:20","permalink":{"id":1393335,"object_type":"structure","relational_id":50154,"identifier":"8","token":"18.2\/6\/8","url":"\/18.2\/6\/8\/","edition_id":2,"permalink":0,"preferred":1}},{"id":50144,"edition_id":2,"name":"Crimes Involving Fraud","identifier":"6","label":"chapter","depth":2,"order_by":6,"parent_id":50131,"metadata":{"child_laws":136,"child_structures":11},"date_created":"2026-08-02 02:23:18","date_modified":"2026-08-02 12:30:19","permalink":{"id":1392935,"object_type":"structure","relational_id":50144,"identifier":"6","token":"18.2\/6","url":"\/18.2\/6\/","edition_id":2,"permalink":0,"preferred":1}},{"id":50131,"edition_id":2,"name":"Crimes and Offenses Generally","identifier":"18.2","label":"title","depth":1,"order_by":52,"parent_id":null,"metadata":{"child_laws":960,"child_structures":94},"date_created":"2026-08-02 02:22:59","date_modified":"2026-08-02 12:30:15","permalink":{"id":1391141,"object_type":"structure","relational_id":50131,"identifier":"18.2","token":"18.2","url":"\/18.2\/","edition_id":2,"permalink":0,"preferred":1}}],"structure_contents":[{"id":350474,"structure_id":50154,"section_number":"18.2-214","catch_line":"Changing or removing, etc., trademarks, identification marks, etc","url":"\/18.2-214\/","token":"18.2\/6\/8\/18.2-214","metadata":false},{"id":350473,"structure_id":50154,"section_number":"18.2-214.1","catch_line":"Penalties for failure to report removal or alteration of identification or serial number on business machines","url":"\/18.2-214.1\/","token":"18.2\/6\/8\/18.2-214.1","metadata":false},{"id":350475,"structure_id":50154,"section_number":"18.2-215","catch_line":"Removal or alteration of identification numbers on household electrical appliances; possession of such appliances","url":"\/18.2-215\/","token":"18.2\/6\/8\/18.2-215","metadata":false},{"id":350477,"structure_id":50154,"section_number":"18.2-216","catch_line":"Untrue, deceptive or misleading advertising, inducements, writings or documents","url":"\/18.2-216\/","token":"18.2\/6\/8\/18.2-216","metadata":false},{"id":350476,"structure_id":50154,"section_number":"18.2-216.1","catch_line":"Unauthorized use of name or picture of any person; punishment","url":"\/18.2-216.1\/","token":"18.2\/6\/8\/18.2-216.1","metadata":false},{"id":350478,"structure_id":50154,"section_number":"18.2-217","catch_line":"Advertising merchandise, etc., for sale with intent not to sell at price or terms advertised; prima facie evidence of violation","url":"\/18.2-217\/","token":"18.2\/6\/8\/18.2-217","metadata":false},{"id":350479,"structure_id":50154,"section_number":"18.2-218","catch_line":"Failure to indicate goods, etc., are \"seconds,\" \"irregulars,\" \"secondhand,\" etc","url":"\/18.2-218\/","token":"18.2\/6\/8\/18.2-218","metadata":false},{"id":350480,"structure_id":50154,"section_number":"18.2-219","catch_line":"Repealed","url":"\/18.2-219\/","token":"18.2\/6\/8\/18.2-219","metadata":false},{"id":350482,"structure_id":50154,"section_number":"18.2-220","catch_line":"Use of word \"wholesale\" or \"wholesaler.\"","url":"\/18.2-220\/","token":"18.2\/6\/8\/18.2-220","metadata":false},{"id":350483,"structure_id":50154,"section_number":"18.2-221","catch_line":"Advertising new or used automobiles or trucks","url":"\/18.2-221\/","token":"18.2\/6\/8\/18.2-221","metadata":false},{"id":350484,"structure_id":50154,"section_number":"18.2-222","catch_line":"Misrepresentation as to source of merchandise; penalty","url":"\/18.2-222\/","token":"18.2\/6\/8\/18.2-222","metadata":false},{"id":350485,"structure_id":50154,"section_number":"18.2-223","catch_line":"\"Going out of business\" sales; permit required","url":"\/18.2-223\/","token":"18.2\/6\/8\/18.2-223","metadata":false},{"id":350486,"structure_id":50154,"section_number":"18.2-224","catch_line":"\"Going out of business\" sales; counties, cities and towns to issue permits; inspections; application for permit; inventory required; commingling of other goods prohibited; duration; additional permits; inclusion of permit number and dates in advertisements; fee","url":"\/18.2-224\/","token":"18.2\/6\/8\/18.2-224","metadata":false},{"id":350487,"structure_id":50154,"section_number":"18.2-225","catch_line":"Misrepresentations as to agricultural products","url":"\/18.2-225\/","token":"18.2\/6\/8\/18.2-225","metadata":false},{"id":350488,"structure_id":50154,"section_number":"18.2-226","catch_line":"Fraud and misrepresentation in sale of liquid fuels, lubricating oils and similar products","url":"\/18.2-226\/","token":"18.2\/6\/8\/18.2-226","metadata":false},{"id":350489,"structure_id":50154,"section_number":"18.2-227","catch_line":"Same; sale from pump indicating other brand","url":"\/18.2-227\/","token":"18.2\/6\/8\/18.2-227","metadata":false},{"id":350490,"structure_id":50154,"section_number":"18.2-228","catch_line":"Same; imitating indicia of other brands","url":"\/18.2-228\/","token":"18.2\/6\/8\/18.2-228","metadata":false},{"id":350491,"structure_id":50154,"section_number":"18.2-229","catch_line":"Same; false trade name or mixing brands","url":"\/18.2-229\/","token":"18.2\/6\/8\/18.2-229","metadata":false},{"id":350494,"structure_id":50154,"section_number":"18.2-230","catch_line":"Same; assisting in violation of \u00a7\u00a7 18.2-226 through 18.2-229","url":"\/18.2-230\/","token":"18.2\/6\/8\/18.2-230","metadata":false},{"id":350495,"structure_id":50154,"section_number":"18.2-231","catch_line":"Same; label required","url":"\/18.2-231\/","token":"18.2\/6\/8\/18.2-231","metadata":false},{"id":350496,"structure_id":50154,"section_number":"18.2-232","catch_line":"Same; punishment for violation of \u00a7\u00a7 18.2-226 through 18.2-231","url":"\/18.2-232\/","token":"18.2\/6\/8\/18.2-232","metadata":false},{"id":350497,"structure_id":50154,"section_number":"18.2-233","catch_line":"Sale of goods marked \"sterling\" and \"sterling silver.\"","url":"\/18.2-233\/","token":"18.2\/6\/8\/18.2-233","metadata":false},{"id":350498,"structure_id":50154,"section_number":"18.2-234","catch_line":"Sale of goods marked \"coin\" and \"coin silver.\"","url":"\/18.2-234\/","token":"18.2\/6\/8\/18.2-234","metadata":false},{"id":350499,"structure_id":50154,"section_number":"18.2-235","catch_line":"Regulating sale of merchandise made of gold","url":"\/18.2-235\/","token":"18.2\/6\/8\/18.2-235","metadata":false},{"id":350500,"structure_id":50154,"section_number":"18.2-236","catch_line":"Repealed","url":"\/18.2-236\/","token":"18.2\/6\/8\/18.2-236","metadata":false},{"id":350501,"structure_id":50154,"section_number":"18.2-237","catch_line":"Buying, etc., certain secondhand materials; intent; possession","url":"\/18.2-237\/","token":"18.2\/6\/8\/18.2-237","metadata":false},{"id":350502,"structure_id":50154,"section_number":"18.2-238","catch_line":"Buying, etc., pig iron, etc., with intent to defraud; possession; evidence of intent","url":"\/18.2-238\/","token":"18.2\/6\/8\/18.2-238","metadata":false},{"id":350503,"structure_id":50154,"section_number":"18.2-239","catch_line":"Pyramid promotional schemes; misdemeanor; definitions; contracts void","url":"\/18.2-239\/","token":"18.2\/6\/8\/18.2-239","metadata":false},{"id":350505,"structure_id":50154,"section_number":"18.2-240","catch_line":"Same; injunction","url":"\/18.2-240\/","token":"18.2\/6\/8\/18.2-240","metadata":false},{"id":350506,"structure_id":50154,"section_number":"18.2-241","catch_line":"Acceptance of promissory notes in payment for food sold at retail","url":"\/18.2-241\/","token":"18.2\/6\/8\/18.2-241","metadata":false},{"id":350508,"structure_id":50154,"section_number":"18.2-242","catch_line":"Use of games, lotteries, etc., for promoting sale of certain products","url":"\/18.2-242\/","token":"18.2\/6\/8\/18.2-242","metadata":false},{"id":350507,"structure_id":50154,"section_number":"18.2-242.1","catch_line":"Certain referral transactions in connection with consumer sales or leases prohibited; effect of such transactions","url":"\/18.2-242.1\/","token":"18.2\/6\/8\/18.2-242.1","metadata":false},{"id":350509,"structure_id":50154,"section_number":"18.2-243","catch_line":"When issuer or distributor of advertisements not guilty of violation; inadvertent error","url":"\/18.2-243\/","token":"18.2\/6\/8\/18.2-243","metadata":false},{"id":350510,"structure_id":50154,"section_number":"18.2-244","catch_line":"Right to select clientele or customers not affected","url":"\/18.2-244\/","token":"18.2\/6\/8\/18.2-244","metadata":false},{"id":350511,"structure_id":50154,"section_number":"18.2-245","catch_line":"Enjoining violation of this article","url":"\/18.2-245\/","token":"18.2\/6\/8\/18.2-245","metadata":false},{"id":350527,"structure_id":50154,"section_number":"18.2-246","catch_line":"Penalty in general for violations","url":"\/18.2-246\/","token":"18.2\/6\/8\/18.2-246","metadata":false}],"previous_section":{"id":350508,"structure_id":50154,"section_number":"18.2-242","catch_line":"Use of games, lotteries, etc., for promoting sale of certain products","url":"\/18.2-242\/","token":"18.2\/6\/8\/18.2-242","metadata":false},"next_section":{"id":350509,"structure_id":50154,"section_number":"18.2-243","catch_line":"When issuer or distributor of advertisements not guilty of violation; inadvertent error","url":"\/18.2-243\/","token":"18.2\/6\/8\/18.2-243","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/18.2-242.1\/","history_text":"

The record of this law\u2019s original creation isn\u2019t available online. It has been modified 2 times. Those modifications are cataloged by \u201cThe Acts of Assembly,\u201d a state publication, by year and chapter. Those modifications that can be read on the General Assembly\u2019s website will be linked accordingly. Those modifications are as follows: in 1975, chapter 3; in 1976, chapter 641.<\/p>","references":false,"refers_to":false,"permalink":{"id":1393461,"object_type":"law","relational_id":350507,"identifier":"18.2-242.1","token":"18.2\/6\/8\/18.2-242.1","url":"\/18.2-242.1\/","edition_id":2,"permalink":0,"preferred":1},"url":"\/18.2-242.1\/","token":"18.2\/6\/8\/18.2-242.1","dublin_core":{"Title":"Certain referral transactions in connection with consumer sales or leases prohibited; effect of such transactions","Type":"Text","Format":"text\/html","Identifier":"\u00a7 18.2-242.1","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

a.<\/span> For the purpose of this section, the term “consumer sale or lease of goods or services<\/span>” means the sale or lease of goods or services which are purchased or leased by a natural person primarily for a personal, family or household purpose, and not for resale. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

b.<\/span> With respect to a consumer sale or lease of goods or services<\/span>, no seller or lessor shall give or offer to give a rebate or discount or otherwise pay or offer to pay value to the buyer or lessee as an inducement for the sale or lease in return for the buyer’s giving to the seller or lessor the names of prospective buyers or lessees, or otherwise aiding the seller or lessor in entering into a transaction with another buyer or lessee, if the earning of the rebate, discount, or other value is contingent upon the occurrence of any sale, lease, appointment, demonstration, interview, conference, seminar, bailment, testimonial or endorsement subsequent to the time the buyer or lessee enters into the agreement of sale or lease. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

c.<\/span> Agreements made in whole or in part pursuant to a referral transaction as above described shall be void and unenforceable by the seller or lessor. The buyer or lessee shall be entitled to retain the goods, services or money received pursuant to a referral transaction without obligation to make any further or future payments of any sort on the transaction total, or he shall be entitled to avoid the transaction and to recover from the seller or lessor any sums paid to the seller or lessor pursuant to the transaction. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nCERTAIN REFERRAL TRANSACTIONS IN CONNECTION WITH CONSUMER SALES OR LEASES\nPROHIBITED; EFFECT OF SUCH TRANSACTIONS (\u00a7 18.2-242.1)\n\na. For the purpose of this section, the term “consumer sale or lease of\ngoods or services” means the sale or lease of goods or services which are\npurchased or leased by a natural person primarily for a personal, family or\nhousehold purpose, and not for resale.\n\nb. With respect to a consumer sale or lease of goods or services, no seller or\nlessor shall give or offer to give a rebate or discount or otherwise pay or\noffer to pay value to the buyer or lessee as an inducement for the sale or lease\nin return for the buyer’s giving to the seller or lessor the names of\nprospective buyers or lessees, or otherwise aiding the seller or lessor in\nentering into a transaction with another buyer or lessee, if the earning of the\nrebate, discount, or other value is contingent upon the occurrence of any sale,\nlease, appointment, demonstration, interview, conference, seminar, bailment,\ntestimonial or endorsement subsequent to the time the buyer or lessee enters\ninto the agreement of sale or lease.\n\nc. Agreements made in whole or in part pursuant to a referral transaction as\nabove described shall be void and unenforceable by the seller or lessor. The\nbuyer or lessee shall be entitled to retain the goods, services or money\nreceived pursuant to a referral transaction without obligation to make any\nfurther or future payments of any sort on the transaction total, or he shall be\nentitled to avoid the transaction and to recover from the seller or lessor any\nsums paid to the seller or lessor pursuant to the transaction.\n\nHISTORY: Code 1950, \u00a7 59.1-68.02; 1975, c. 3; 1976, c. 641.","edition":{"id":2,"name":"2026","slug":"2026","date_created":"2026-07-16 18:40:23","date_modified":"2026-08-02 15:14:36","current":1,"order_by":2,"last_import":"2026-08-02 12:37:30"}}