ATTORNEY GENERAL OF THE STATE OF KANSAS
CONSUMER PROTECTION

In the Matter of:
____________

ASSURANCE OF VOLUNTARY COMPLIANCE

Pursuant to the provisions of K.S.A. 50-623, et seq., Carla J. Stovall, Attorney General of the State of Kansas, by and through James J. Welch, Assistant Attorney General, caused an inquiry to be made into certain acts and practices of Fleming Petroleum, Inc., (Respondent) relating to the sale of tobacco products to persons under the age of 18 in Kansas, and based upon such inquiry the Attorney General finds:

  1. Respondent ________ is a Kansas corporation organized under the laws of the state of Kansas. The principal office of the corporation is located at__________. Respondent does business at the following locations:
  2. Respondent is a supplier within the definition of K.S.A. 50-624(i) and has engaged in consumer transactions in Kansas within the definition of K.S.A. 50-624(c).
  3. Respondent is engaged in retail sales, including the sale of tobacco products.
  4. The Attorney General alleges the sale of tobacco products to a person under the age of 18 by Respondent on February 10, 1996, in violation of state law was a deceptive and/or unconscionable act and practice in violation of the Kansas Consumer Protection Act.

TERMS OF AGREEMENT

I

Respondent voluntarily agrees to this Assurance of Voluntary Compliance without trial or adjudication of any issue of fact or law.

II

Respondent, by entering into this Assurance of Voluntary Compliance, shall not be deemed to admit the violations of the Kansas Consumer Protection Act alleged herein. Respondent specifically denies it committed the violations of the Kansas Consumer Protection Act alleged herein and denies that the Kansas Consumer Protection Act applies to the sale of tobacco products.

III

Respondent agrees to refrain from engaging in those acts and practices alleged to be deceptive or unconscionable in paragraph four (4) of this Assurance of Voluntary Compliance and Respondent agrees that engaging in the sale of tobacco products to minors in Kansas, after the date of this Assurance of Voluntary Compliance, shall constitute a violation of this Agreement.

IV

Respondent agrees to adopt and utilize a formal employee training program which shall include the employment form prescribed in paragraph V below and which shall provide training to each of Respondent's employees in Kansas regarding the laws prohibiting the sale of tobacco products to persons under the age of 18.

V

Respondent agrees to adopt and utilize an employment form which shall, within 60 days of the execution of this Assurance, be signed by each of Respondent's employees in the State of Kansas who sell or may sell tobacco products and shall contain language identical or substantially similar to the following:

I understand and agree to personally comply with the laws and regulations of the State of Kansas which prohibit the sale of tobacco products to persons under the age of 18. 1 have been advised and understand that my employment will, at the option of my employer, be suspended for a minimum of two weeks or terminated in the event I sell any tobacco product(s) to a person under the age of 18 without first obtaining an identification card demonstrating the person is over the age of 18.

VI

Respondent agrees to suspend for a minimum of two weeks or terminate the employment of any employee who, during the course of his employment with Respondent, sells tobacco products to a person under the age of 18 after 60 days beyond the execution of this Assurance of Voluntary Compliance. Suspension or termination of the employee shall occur within five (5) days of written notification by a state, county, or local governmental official of the sale to a person under the age of 18. Respondent shall not reemploy any employee terminated within six (6) months of said termination.

VII

The parties agree that future sales of tobacco products to persons under the age of 18 by Respondent or Respondent's employees will be handled as follows:

  1. In the event Respondent has (i) adopted and utilized the formal employee training program required by paragraph IV above,(ii) adopted and utilized an employment form containing the language required by paragraph V above, and (iii) terminated the employment of the employee making the sale as required by paragraph VI above, Respondent will pay $250.00 to the Office of the Attorney General for each sale of tobacco products to a person under the age of 18, which shall be applied to civil penalties and investigative fees determined by the Attorney General. Notwithstanding paragraph X below, payment of the $250.00 pursuant to this paragraph VII (a) will preclude a civil action under the Kansas Consumer Protection Act by the Attorney General against Respondent for said sale.
  2. In the event Respondent has (i) adopted and utilized the formal employee training program required by paragraph IV above,(ii) adopted and utilized an employment form containing the language required by paragraph V above, and (iii) suspend for a minimum of two weeks the employment of the employee making the sale as required by paragraph VI above, Respondent will pay $1,500.00 to the Office of the Attorney General for each sale of tobacco products to a person under the age of 18, which shall be applied to civil penalties and investigative fees determined by the Attorney General. Notwithstanding paragraph X below, payment of the $1,500.00 pursuant to this paragraph VII (b) will preclude a civil action under the Kansas Consumer Protection Act by the Attorney General against Respondent for said sale.
  3. In the event Respondent has (i) failed to adopt and utilize the formal employee training program required by paragraph IV above, (ii) failed to adopt and utilize an employment form containing the language required in paragraph V above, or (iii) failed to terminate or suspend for a minimum of two weeks the employment of the employee making the sale required by paragraph VI above, the Attorney General may take appropriate legal action against Respondent for violation of this Assurance of Voluntary Compliance and/or for violation of the Kansas Consumer Protection Act. Nothing in this Assurance shall preclude Respondent from raising any defense or claim in any subsequent proceeding that the Kansas Consumer Protection Act does not apply to the sale of tobacco products to persons under the age of 18.

VIII

Respondent agrees to pay $1,500.00 in investigation fees and expenses to the "Office of the Attorney General" of the State of Kansas. In addition, Respondent agrees to pay $1,500.00 in civil penalties to the "State of Kansas". Payment shall be made by certified checks and shall be delivered to the Attorney General of the State of Kansas at the time of signing this Assurance of Voluntary Compliance. Notwithstanding paragraph X below, payment of the $3,000.00 pursuant to this paragraph will preclude a civil action under the Kansas Consumer Protection Act by the Attorney General against Respondent for the sale of tobacco products to a person under the age of 18 on February 10, 1996, described in paragraph 4 above.

IX

If any portion, provision, or part of this Assurance of Voluntary Compliance is held to be invalid, unenforceable, or void for any reason whatsoever, that portion shall be severed from the remainder and shall not affect the validity or enforceability of the remaining provisions, portions or parts.

X

Compliance with this Assurance of Voluntary Compliance does not relieve Respondent of any obligation imposed by applicable federal, state, or local law, nor shall the Attorney General be precluded from taking appropriate legal action to enforce criminal statutes under her jurisdiction.

XI

The parties understand that this Assurance of Voluntary Compliance shall not be construed as an approval of or sanction by the Attorney General of the business practices of Respondent nor shall Respondent represent the Assurance as such an approval. The parties further understand that any failure by the State of Kansas or by the Attorney General to take any action in response to any information submitted pursuant to the Assurance of Voluntary Compliance shall not be construed as an approval of or sanction of any representations, acts or practices indicated by such information.

XII

Respondent consents to personal and subject matter jurisdiction in the District Court of Shawnee County, Kansas, for the purpose of enforcing this Assurance. Respondent further stipulates and waives any objection to venue in Shawnee County, Kansas, for any action to enforce this Assurance.

IN WITNESS WHEREOF, the undersigned have caused this Assurance of Voluntary Compliance to be executed in their respective names this 15 day of 1998.

STATE OF KANSAS

________________________

CARLA J. STOVALL, #ll433

Attorney General

For more information contact:
Steve Rarrick, Deputy Attorney General
Tel: (785) 296-3751


WB01511_.gif (114 bytes) Back to TRRI Enforcement/Responsible Retailing Page