Payment Choice Act of 2020

II 116TH CONGRESS 2D SESSION S. 4145 To amend title 31, United States Code, to prohibit retail businesses from refusing cash payments, and for other purposes. IN THE SENATE OF THE UNITED STATES JULY 1, 2020 Mr. MENENDEZ (for himself and Mr. CRAMER) introduced the following bill; which was read twice and referred to the Committee on Commerce, Science, and Transportation A BILL To amend title 31, United States Code, to prohibit retail businesses from refusing cash payments, and for other purposes. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE. 3 This Act may be cited as the ‘‘Payment Choice Act 4 of 2020’’. 5 SEC. 2. FINDINGS. 6 Congress finds the following: 7 (1) Section 5103 of title 31, United States 8 Code, provides that United States coins and cur- 9 VerDate Sep 11 2014 00:58 Jul 12, 2020 Jkt 099200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\S4145.IS S4145 pbinns on DSKJLVW7X2PROD with BILLS 2 •S 4145 IS rency ‘‘are legal tender for all debts, public charges, 1 taxes, and dues’’. 2 (2) A growing number of retail establishments, 3 across the United States, have adopted ‘‘cashless 4 policies’’, declaring that they refuse to accept United 5 States cash payment from their customers and, in- 6 stead, require that payment for the goods and serv- 7 ices offered by such retailers be made only with 8 credit cards, debit cards, or digital payment methods 9 that result in electronic transfers of funds to the re- 10 tailer. 11 SEC. 3. RETAIL BUSINESSES PROHIBITED FROM REFUSING 12 CASH PAYMENTS. 13 (a) IN GENERAL.—Subchapter I of chapter 51 of title 14 31, United States Code, is amended by adding at the end 15 the following: 16 ‘‘§ 5104. Retail businesses prohibited from refusing 17 cash payments 18 ‘‘(a) IN GENERAL.—No person selling or offering 19 goods or services at retail to the public may— 20 ‘‘(1) refuse to accept United States legal tender 21 of cash as payment for goods or services; 22 ‘‘(2) post signs or notices in, on, or about the 23 business premises of such person stating that cash 24 payment is not accepted; or 25 VerDate Sep 11 2014 00:58 Jul 12, 2020 Jkt 099200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\S4145.IS S4145 pbinns on DSKJLVW7X2PROD with BILLS 3 •S 4145 IS ‘‘(3) charge a higher price to any customer who 1 pays by cash than customarily is charged to a cus- 2 tomer using other forms of payment. 3 ‘‘(b) EXCEPTION.—Subsection (a) shall not apply to 4 any goods or services sold to the public by telephone, mail, 5 or internet. 6 ‘‘(c) ENFORCEMENT.— 7 ‘‘(1) PREVENTATIVE RELIEF.—Whenever any 8 person has engaged, or there are reasonable grounds 9 to believe that any person is about to engage in any 10 act or practice prohibited by this section, a civil ac- 11 tion for preventive relief, including an application for 12 a permanent or temporary injunction, restraining 13 order, or other order may be brought against such 14 person. 15 ‘‘(2) CIVIL PENALTIES.—Any person who vio- 16 lates this section shall— 17 ‘‘(A) be liable for actual damages; 18 ‘‘(B) be fined not more than $2,500 for a 19 first offense; and 20 ‘‘(C) be fined not more than $5,000 for a 21 second or subsequent offense. 22 ‘‘(3) JURISDICTION.—An action under this sec- 23 tion may be brought in an appropriate district court 24 VerDate Sep 11 2014 00:58 Jul 12, 2020 Jkt 099200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\S4145.IS S4145 pbinns on DSKJLVW7X2PROD with BILLS 4 •S 4145 IS of the United States or appropriate court of com- 1 petent jurisdiction. 2 ‘‘(4) INTERVENTION OF ATTORNEY GENERAL.— 3 Upon timely application, a court may, in its discre- 4 tion, permit the Attorney General to intervene in a 5 civil action brought under this subsection, if the At- 6 torney General certifies that the action is of general 7 public importance. 8 ‘‘(5) AUTHORITY TO APPOINT COURT-PAID AT- 9 TORNEY.—Upon application by an individual and in 10 such circumstances as the court may determine just, 11 the court may— 12 ‘‘(A) appoint an attorney for the indi- 13 vidual; and 14 ‘‘(B) authorize the commencement of a 15 civil action under this subsection without the 16 payment of fees, costs, or security. 17 ‘‘(6) ATTORNEY’S FEES.—In any action com- 18 menced pursuant to this section— 19 ‘‘(A) the court, in its discretion, may allow 20 the prevailing party, other than the United 21 States, a reasonable attorney’s fee as part of 22 the costs; and 23 ‘‘(B) the United States shall be liable for 24 costs in the same manner as a private person. 25 VerDate Sep 11 2014 00:58 Jul 12, 2020 Jkt 099200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\S4145.IS S4145 pbinns on DSKJLVW7X2PROD with BILLS 5 •S 4145 IS ‘‘(7) REQUIREMENTS IN CERTAIN STATES AND 1 LOCAL AREAS.— 2 ‘‘(A) DEFINITION.—In this paragraph, the 3 term ‘covered jurisdiction’ means a State, or 4 political subdivision of a State, that has a State 5 or local law, as applicable— 6 ‘‘(i) prohibiting an act or practice pro- 7 hibited under this section; and 8 ‘‘(ii) establishing or authorizing the 9 State or political subdivision, to— 10 ‘‘(I) grant or seek relief from the 11 act or practice; or 12 ‘‘(II) institute criminal pro- 13 ceedings with respect to the act or 14 practice. 15 ‘‘(B) REQUIREMENTS.— 16 ‘‘(i) IN GENERAL.—In the case of an 17 alleged act or practice prohibited under 18 this section that occurs in a covered juris- 19 diction, no civil action may be brought 20 under this section before the expiration of 21 the 30-day period beginning on the date on 22 which the State or political subdivision, as 23 applicable, receives by registered mail or in 24 VerDate Sep 11 2014 00:58 Jul 12, 2020 Jkt 099200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\S4145.IS S4145 pbinns on DSKJLVW7X2PROD with BILLS 6 •S 4145 IS person notice of intent to file a civil action 1 under this section. 2 ‘‘(ii) STAY.—The court may stay pro- 3 ceedings in a civil action described in 4 clause (i) pending the termination of State 5 or local enforcement proceedings.’’. 6 (b) CLERICAL AMENDMENT.—The table of contents 7 for chapter 51 of title 31, United States Code, is amended 8 by inserting after the item relating to section 5103 the 9 following: 10 ‘‘5104. Retail businesses prohibited from refusing cash payments.’’. Æ VerDate Sep 11 2014 00:58 Jul 12, 2020 Jkt 099200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6301 E:\BILLS\S4145.IS S4145 pbinns on DSKJLVW7X2PROD with BILLS