[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[S. 4497 Introduced in Senate (IS)]
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117th CONGRESS
2d Session
S. 4497
To prohibit retail businesses from refusing cash payments, and for
other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
June 23, 2022
Mr. Menendez (for himself and Mr. Cramer) introduced the following
bill; which was read twice and referred to the Committee on Banking,
Housing, and Urban Affairs
_______________________________________________________________________
A BILL
To prohibit retail businesses from refusing cash payments, and for
other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Payment Choice Act of 2022''.
SEC. 2. SENSE OF CONGRESS.
It is the sense of Congress that every consumer has the right to
use cash at retail businesses who accept in-person payments.
SEC. 3. RETAIL BUSINESSES PROHIBITED FROM REFUSING CASH PAYMENTS.
(a) In General.--Subchapter I of chapter 51 of title 31, United
States Code, is amended by adding at the end the following:
``Sec. 5104. Retail businesses prohibited from refusing cash payments
``(a) In General.--Any person engaged in the business of selling or
offering goods or services at retail to the public with a person
accepting in-person payments at a physical location (including a person
accepting payments for telephone, mail, or internet-based transactions
who is accepting in-person payments at a physical location)--
``(1) shall accept cash as a form of payment for sales of
less than $2,000 made at such physical location; and
``(2) may not charge cash-paying customers a higher price
compared to the price charged to customers not paying with
cash.
``(b) Exceptions.--
``(1) In general.--Subsection (a) shall not apply to a
person if such person--
``(A) is unable to accept cash because of--
``(i) a sale system failure that
temporarily prevents the processing of cash
payments; or
``(ii) a temporary insufficiency in cash on
hand needed to provide change; or
``(B) provides customers with the means, on the
premises, to convert cash into a card that is either a
general-use prepaid card, a gift card, or an access
device for electronic fund transfers for which--
``(i) there is no fee for the use of the
card;
``(ii) there is not a minimum deposit
amount greater than 1 dollar;
``(iii) amounts loaded on the card do not
expire, as required under paragraph (2);
``(iv) there is no collection of any
personal identifying information from the
customer;
``(v) there is no fee to use the card; and
``(vi) there may be a limit to the number
of transactions on such cards.
``(2) Inactivity.--A person seeking exception from
subsection (a) may charge an inactivity fee in association with
a prepaid card offered by such person if--
``(A) there has been no activity with respect to
the card during the 12-month period ending on the date
on which the inactivity fee is imposed;
``(B) not more than 1 inactivity fee is imposed in
any 1-month period; and
``(C) it is clearly and conspicuously stated, on
the face of the mechanism that issues the card and on
the card--
``(i) that an inactivity fee or charge may
be imposed;
``(ii) the frequency at which such
inactivity fee may be imposed; and
``(iii) the amount of such inactivity fee.
``(c) Right To Not Accept Large Bills.--
``(1) In general.--Notwithstanding subsection (a), for the
5-year period beginning on the date of enactment of this
section, this section shall not require a person to accept cash
payments in $50 bills or any larger bill.
``(2) Rulemaking.--
``(A) In general.--The Secretary shall issue a rule
on the date that is 5 years after the date of the
enactment of this section with respect to any bills a
person is not required to accept.
``(B) Requirement.--When issuing a rule under
subparagraph (A), the Secretary shall require persons
to accept $1, $5, $10, $20, and $50 bills.
``(d) Enforcement.--
``(1) Preventative relief.--Whenever any person has
engaged, or there are reasonable grounds to believe that any
person is about to engage, in any act or practice prohibited by
this section, a civil action for preventive relief, including
an application for a permanent or temporary injunction,
restraining order, or other order may be brought against such
person.
``(2) Civil penalties.--Any person who violates this
section shall--
``(A) be liable for actual damages;
``(B) be fined not more than $2,500 for a first
offense; and
``(C) be fined not more than $5,000 for a second or
subsequent offense.
``(3) Jurisdiction.--An action under this section may be
brought in any United States district court, or in any other
court of competent jurisdiction.
``(4) Intervention of attorney general.--Upon timely
application, a court may, in its discretion, permit the
Attorney General to intervene in a civil action brought under
this subsection, if the Attorney General certifies that the
action is of general public importance.
``(5) Authority to appoint court-paid attorney.--Upon
application by an individual and in such circumstances as the
court may determine just, the court may appoint an attorney for
such individual and may authorize the commencement of a civil
action under this subsection without the payment of fees,
costs, or security.
``(6) Attorney's fees.--In any action commenced pursuant to
this section, the court, in its discretion, may allow the
prevailing party, other than the United States, a reasonable
attorney's fee as part of the costs, and the United States
shall be liable for costs the same as a private person.
``(7) Requirements in certain states and local areas.--In
the case of an alleged act or practice prohibited by this
section which occurs in a State, or political subdivision of a
State, which has a State or local law prohibiting such act or
practice and establishing or authorizing a State or local
authority to grant or seek relief from such act or practice or
to institute criminal proceedings with respect thereto upon
receiving notice thereof, no civil action may be brought
hereunder before the expiration of 30 days after written notice
of such alleged act or practice has been given to the
appropriate State or local authority by registered mail or in
person, provided that the court may stay proceedings in such
civil action pending the termination of State or local
enforcement proceedings.
``(e) Greater Protection Under State Law.--This section shall not
preempt any law of a State, the District of Columbia, a Tribal
government, or a territory of the United States if the protections that
such law affords to consumers are greater than the protections provided
under this section.
``(f) Rulemaking.--The Secretary shall issue such rules as the
Secretary determines are necessary to implement this section, which may
prescribe additional exceptions to the application of the requirements
described in subsection (a).
``(g) Annual Reports on the Geographic Distribution of Automated
Teller Machines Owned by Federally Insured Depository Institutions.--
Beginning on the date that is 1 year after the date of enactment of
this section, and annually thereafter, the Federal Deposit Insurance
Corporation, with respect to depository institutions insured by the
Corporation, and the National Credit Union Administration, with respect
to credit unions insured by the National Credit Union Share Insurance
Fund, shall submit the Committee on Banking, Housing, and Urban Affairs
of the Senate and the Committee on Financial Services of the House of
Representatives a report that provides--
``(1) the number of automated teller machines owned and in
service by each institution insured by such agency;
``(2) the location of each such automated teller machine
that is installed at a fixed site; and
``(3) the approximate geographic range or radius within
which mobile automated teller machines owned by any such
institution are deployed.''.
(b) Clerical Amendment.--The table of contents for chapter 51 of
title 31, United States Code, is amended by inserting after the item
relating to section 5103 the following:
``5104. Retail businesses prohibited from refusing cash payments.''.
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