Legal Question in Business Law in California
is it illegal for a business to refuse cash as payment?
Asked on 6/25/13, 6:28 pm
2 Answers from Attorneys
Anthony Roach
Law Office of Anthony A. Roach
The money says "legal tender, for all debts, public and private." I've had court clerks refuse to take cash before. I'm not sure how you would enforce it. I know a lot of people in other countries who would prefer our money.
Answered on 6/25/13, 6:40 pm
Bryan Whipple
Bryan R. R. Whipple, Attorney at Law
There is a difference between paying a debt and making a cash purchase. A cash purchase is an "instantaneous" transaction, in which money is exchanged for goods. Whereas cash must be accepted in payment of a pre-existing indebtedness, a merchant can refuse to accept cash if he be so foolish.
Answered on 6/30/13, 12:54 pm
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