FAQs
Following are some typical questions:
Are my employees legally entitled to take time off to care for sick relatives?
State and federal minimum wage levels are different. Which should I follow?
Where can I obtain information regarding Maine’s automobile Lemon Law?
- My business often receives official-looking notices warning that new and existing Maine wage & hour laws must be posted in the work site. The warning comes with an offer to provide the posters at a price. Should I respond?
While it is true that some 30 federal and state laws must be posted in the workplace, it is not true that businesses have to pay for them. They are available for free from Maine Business Answers. Call them at 1-800-872-3838.
- Are my employees legally entitled to take time off to care for sick relatives?
Yes. The Family Medical Leave Act says that employees in private firms with 15 or more employees, who have been employed for 12 consecutive months, are entitled to up to 10 work weeks of family leave in any two years. Title 26, Section 843, has details explaining conditions and applications. A bill to make the leave paid was defeated in the 2008 session of the Maine Legislature.
- State and federal minimum wage levels are different. Which should I follow?
Whichever is greater applies. States may mandate a wage higher than the federal minimum, but they cannot go lower. Generally, the Maine level is higher. It is currently $7.00 per hour. It will increase to $7.25 an hour, effective Oct. 1, 2008, and is slated to increase to $7.50 Oct. 1, 2009. There was a bill in the 2008 legislature to raise the minimum wage to $8.40 per hour and have automatic increases tied to the Consumer Price Index. We expect a similar bill to surface in the 2009 legislative session.
- A customer recently attempted to make a purchase with a gift card more than five years old. Don’t the cards expire after a certain period of time?
No. Although cards are assumed abandoned after two years, they do not expire in Maine. Dormant cards should be reported to the state, and a retailer who honors an old card can, in turn, seek reimbursement from the State Treasurer’s Office. Maine’s Unclaimed Property Act is detailed in Title 33, Chapter 41, and questions may be directed to the Abandoned Property Division of the State Treasurer’s Office at 207-624-7470.
- If my business repossess a piece of equipment on which $5,000 is owed and resells it for $10,000, can it retain the excess?
No. The Office of Consumer Credit Protection advised that the excess, minus some allowed fees, should be returned to the buyer. By the same token, if the item is sold for less than the buyer owed, then the buyer still owes the deficient amount.
- Where can I obtain information regarding Maine’s automobile Lemon Law?
The Maine Attorney General’s Consumer Protection Division publishes an excellent Consumer Law Guide that answers that as well as numerous other questions relative to consumer rights. The main number at the attorney general’s office is 207-626-8800. Specific questions regarding the Lemon Law may be directed to 207-626-8848.
- I’m confused over the different applications of the state’s sales and use taxes. Where can I go for help?
The sales tax division of Maine Revenue Services can usually respond to those questions. Try it at 207-624-9732.
- A customer recently demanded a refund or replacement on an appliance even though the manufacturer’s warranty had expired. Is this possible?
Yes. Maine has an Implied Warranty Law that can provide warranty protection in addition to any express written or verbal warranty provided by the manufacturer. The Consumer Protection Division of the attorney general’s office is a good source of information at 207-626-8800. In recent years, the Maine Merchants Association was successful in getting the law amended to clarify that retailers can seek recourse from manufacturers if they have to honor an implied warranty.
- Is a retailer obligated to honor the shelf or rack price of an item that has clearly been mispriced, through an error or customer switch?
Deputy Attorney General Jim McKenna, author of the Maine Consumer Law Guide, says the "rule of thumb" is that the contract between customer and retailer is "formed at the checkout counter" and the retailer would not be legally bound to honor innocent mistakes or mix-ups. He warns, however, that deliberate "bait & switch" tactics and consumer switching of price tags fall outside that category and may be illegal.
- Does Maine's Implied Warranty Law require me to repair faulty equipment even though I did not sell it?
No. The Consumer Protection Division of the Office of the Maine Attorney General said repair or replacement of the equipment is a matter between the original seller and the customer.
Maine's Implied Warranty Law basically says that a warranty can extend beyond that stipulated by the manufacturer if the buyer can show that the equipment should have lasted and performed longer.
A few years ago, Maine Merchants Association was successful in getting the law amended to clarify that retailers who comply with the law may, in turn, seek reimbursement from the manufacturer.
As a service to its members, the staff at the Maine Merchants Association will research questions pertaining to existing state rules, regulations and laws, as well as pending or new laws. While the Maine Merchants Association cannot render legal opinions, its veteran staff is often able to cut through bureaucratic red tape, skirt voicemail, and find an answer, or at least head the inquiring member in the right direction. This membership services saves members time and thousands of dollars each year.
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