What's happening
This bill prohibits retail and food-service establishments in New York from refusing to accept cash payments from consumers.
Why it matters
Ensures financial inclusion. By requiring retail and food-service businesses to accept cash, the bill protects people who don’t have access to credit cards, bank accounts, or digital payment systems—often including low-income individuals, the elderly, and undocumented residents.
Addresses privacy concerns. Mandating acceptance of cash allows consumers to make purchases without creating a digital record, supporting those who prefer to keep their purchases private or are wary of data collection.
Establishes enforceable penalties. The bill creates clear financial consequences for businesses that refuse cash, with escalating fines for repeated violations, providing strong incentives for compliance.
Empowers state oversight. The Department of Labor is authorized to create and enforce rules for this policy, meaning the state can adapt regulations as needed and ensure consistent enforcement across all relevant businesses.
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Who cares
Headline styles
Require Stores Take Cash
Plain English, a few words. Used as the page title.
Sponsors
Senator · Senate District 38
2 Co-sponsors
History
- Referred to consumer protection
- Referred to consumer protection
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
4691
2019-2020 Regular Sessions
IN SENATE
March 20, 2019
Introduced by Sen. CARLUCCI -- read twice and ordered printed, and when printed to be committed to the Committee on Consumer Protection
AN ACT to amend the general business law, in relation to prohibiting retail establishments from refusing to accept payment in cash
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. The general business law is amended by adding a new section 396-ii to read as follows:
§ 396-ii. Cashless policies prohibited. a. As used in this section, the following terms shall have the following meanings:
(i) "Food-service establishment" shall mean an establishment which gives or offers for sale food or beverages to the public for consumption or use on or off the premises.
(ii) "Retail establishment" shall mean an establishment in which consumer commodities are sold, displayed or offered for sale, or which provides services to consumers at retail.
b. It shall be unlawful for a food-service establishment or a retail establishment, as policy, to refuse to accept payment in cash from consumers.
c. A food-service establishment or retail establishment violating this section is liable for a civil penalty of not more than twenty-five hundred dollars for the first violation and a civil penalty of not more than five thousand dollars for each succeeding violation.
d. The department of labor may promulgate such rules as it deems necessary to implement and enforce this section.
§ 2. This act shall take effect immediately.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD10905-01-9
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the general business law, in relation to prohibiting retail establishments from refusing to accept payment in cash
Purpose
This bill will prohibit food-service and retail establishments from refusing to accept cash as a form of payment. It would also levy fines against establishments if they refuse cash payment.
Summary of specific provisions
Section one: The general business law is amended by adding a new section 2 396-ii which defines food-service and retail establishments and creates monetary penalties for accepting only cashless transactions.
Section two sets forth an immediate effective date.
Justification
An increasing number of stores nationwide have recently turned "cash- less." At some of these stores, customers are expected to download the company's mobile app and pay via a QR code. At the majority of stores, customers are expected to swipe their credit or debit card.
However, cashless stores are a problem for the estimated 8.4 million unbanked households in the United States. As a result, local and state governments are pushing back and banning stores from banning cash. Massachusetts and Philadelphia have already outlawed the practice, while New York City is considering similar measures.
Prior legislative history
New bill.
Fiscal impact for state and local governments
None.
Effective date
This act shall take effect immediately.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.