42-3210

42-3210. Unlawful use of stamps;
classification; definition

A. A person may not affix a tax stamp to a package of cigarettes if the package:

1. Differs from the requirements of the federal cigarette labeling and advertising
act (P.L. 89-92; 79 Stat. 282; 15 United States Code section 1331) relating to label
warnings or other information on packages of cigarettes for sale in the United States.

2. Is labeled "for export only", "U.S. tax exempt", "for use outside U.S." or with
similar words that indicate the manufacturer did not intend for the product to be sold in
the United States.

3. Has been altered by adding or deleting the wording, labels or warnings described
in paragraph 1 or 2 of this subsection.

4. Is placed in a carton, or any other package containing several individually
stamped packages, that has been altered by adding or deleting the wording, labels or
warnings described in paragraph 1 or 2 of this subsection.

5. Has been imported into the United States on or after January 1, 2000 in
violation of 26 United States Code section 5754 or is the subject of a violation of 19
United States Code sections 1681 through 1681b or 15 United States Code section 1335a.

6. Violates federal trademark or copyright laws.

B. The director:

1. May revoke any license issued to a cigarette distributor who sells or offers for
sale cigarette packages that are stamped in violation of subsection A.

2. Shall seize and destroy packages of cigarettes that are stamped in violation of
subsection A.

C. A person who sells or offers for sale cigarette packages that are stamped in
violation of subsection A is guilty of a class 2 misdemeanor.

D. Any person who sells, distributes or manufactures cigarettes and sustains direct
economic or commercial injury as a result of a violation of this section may bring an
action in good faith for appropriate injunctive relief.

E. This section does not apply to cigarettes allowed to be imported or brought into
the United States for personal use, or to cigarettes sold or intended to be sold as duty
free merchandise by a duty free sales enterprise pursuant to 19 United States Code
section 1555(b). This subsection does not apply to cigarettes that are brought back into
the customs territory for resale within the customs territory.

F. A violation of this section is also a violation of title 44, chapter 10, article
7.

G. For the purposes of this section, "package" means any kind of pack, carton or
container in which cigarettes are sold, offered for sale or otherwise distributed or
intended for distribution to consumers.