TITLE: Relating to requiring the acceptance of cash payments by retailers in certain transactions.

SUMMARY: Relating to requiring the acceptance of cash payments by retailers in certain transactions.

FULL TEXT:
AN ACT relating to requiring the acceptance of cash payments by retailers in certain transactions. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subtitle C, Title 5, Business & Commerce Code, is amended by adding Chapter 121 to read as follows: CHAPTER 121. ACCEPTANCE OF CASH PAYMENTS BY RETAILERS Sec. 121.001. DEFINITIONS. In this chapter: (1) "Cash" means United States coins and currency, including federal reserve notes. (2) "Retailer" means a person that engages in the business of selling or leasing, or offering for sale or lease, goods or services at retail to the public. Sec. 121.002. RETAILERS PROHIBITED FROM REFUSING TO ACCEPT OR CHARGING HIGHER PRICE FOR CASH PAYMENTS; EXCEPTIONS. (a) Except as provided by Subsection (b) or (c), a retailer that accepts in-person payments at a physical location in this state, including a retailer accepting in-person payments at a physical location for telephone, mail, or Internet-based transactions: (1) shall accept cash as a form of payment when tendered by a customer in a transaction for the sale or lease of a good or service if the amount of the transaction is $100 or less; and (2) may not charge a customer a higher price for paying in cash for a good or service. (b) A retailer may refuse to accept cash as a form of payment if: (1) there is a temporary sale system failure that prevents the retailer from processing cash payments; (2) subject to Subsection (d), the retailer temporarily has insufficient cash on hand to make change for cash transactions; or (3) the retailer provides customers with a device on the premises that converts cash into prepaid cards, provided: (A) there is no fee to use the device; (B) the device does not require a minimum deposit of more than $1; (C) except as provided by Subsection (e), any funds placed on a prepaid card from the device do not expire; (D) the device does not collect any personal identifying information from the customer; and (E) there is no fee to use the prepaid card as payment. (c) A retailer is not required to accept cash payment in bill denominations of more than $100. (d) If a retailer refuses to accept cash as a form of payment under Subsection (b)(2), the retailer shall inform the customer on refusal of the time and date the retailer expects to have sufficient cash on hand to make change for the transaction, which may not be later than 48 hours after the refusal. This subsection does not require a retailer to hold a good or service until the customer returns to make the transaction. SECTION 2. This Act takes effect immediately if it receives a vote of two-thirds of all the members elected to each house, as provided by Section 39, Article III, Texas Constitution.