SF 3860

as introduced - 91st Legislature (2019 - 2020) Posted on 03/03/2020 09:30am

A bill for an act
relating to consumer protection; prohibiting certain cashless establishments;
proposing coding for new law in Minnesota Statutes, chapter 325F.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

new text begin [325F.983] CASHLESS ESTABLISHMENTS PROHIBITED.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For purposes of this section, the following terms have
the meanings given them.
new text end

new text begin (b) "Cash" means United States coins and currency, including federal reserve notes.
Cash does not include foreign currency; a paper instrument other than a federal reserve note,
including but not limited to a check, bond, or promissory note; or a foreign metal coin.
new text end

new text begin (c) "Consumer commodity" means an article, good, merchandise, product, or commodity
of any kind or class produced, distributed, or offered: (1) at retail sale for consumption by
individuals; or (2) for personal, household, or family purposes.
new text end

new text begin (d) "Food store" means an establishment that gives or offers for sale food or beverages
to the public for consumption or use: (1) on or off the premises; or (2) on or off a pushcart,
stand, or vehicle.
new text end

new text begin (e) "Retail establishment" means an establishment: (1) that sells, displays, or offers for
sale consumer commodities; or (2) where services are provided to consumers at retail. Retail
establishment does not include a banking institution, as defined under section 48.01,
subdivision 2.
new text end

new text begin Subd. 2. new text end

new text begin Cashless establishments prohibited; limitation. new text end

new text begin (a) A food store or retail
establishment is prohibited from refusing to accept payment in cash from consumers, except
that a food store or retail establishment may refuse to accept payment:
new text end

new text begin (1) in cash bills denominated above $20; or
new text end

new text begin (2) in cash for any telephone, mail, or internet-based transaction, unless the payment for
the transaction takes place on the food store or retail establishment's premises.
new text end

new text begin (b) A food store or retail establishment is prohibited from charging a consumer who
pays for a consumer commodity in cash a higher price than is charged to a consumer who
pays for the same consumer commodity in a cashless transaction.
new text end

new text begin Subd. 3. new text end

new text begin Exception. new text end

new text begin (a) Subdivision 2 does not apply to a food store or retail
establishment that provides a device on premises that converts cash into a prepaid card that
allows a consumer to complete a transaction at the food store or retail establishment, provided
the device does not charge a fee or require a minimum deposit amount greater than $1.
new text end

new text begin (b) Upon request, a device identified in paragraph (a) must provide a consumer with a
receipt indicating the amount of cash the consumer deposited onto the prepaid card.
new text end

new text begin (c) Cash deposits onto a prepaid card are not subject to an expiration date and there is
no limit on the number of transactions that may be completed on a prepaid card.
new text end

new text begin (d) In the event a device identified in paragraph (a) malfunctions or does not function
as required under this subdivision, the food store or retail establishment where the device
is located must accept payment in cash from consumers throughout the time period when
the device is malfunctioning or does not function properly. A food store or retail
establishment must place a conspicuous sign on or immediately adjacent to the device
indicating that the food store or retail establishment is required by law to accept cash if the
device malfunctions or is not functioning, and that consumers may report a violation of this
subdivision to the attorney general. The Department of Commerce may establish by rule
additional requirements relating to signs and the display of signs under this paragraph.
new text end

new text begin Subd. 4. new text end

new text begin Violations; civil penalty. new text end

new text begin A food store or retail establishment that violates
subdivision 2 is liable for a civil penalty up to $1,000 for the first violation and a civil
penalty up to $1,500 for each subsequent violation.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2021.
new text end