A New York law that has been on the books since November 2025 became enforceable in March 2026, and many independent retailers still do not know it exists. Under S4153A / A7929A, sponsored by Senator James Sanders Jr., every retail establishment and food store in New York that conducts in person transactions must accept cash, and may not charge a cash paying customer more than a customer who pays by card.

Attorney General Letitia James issued a public notice in March 2026 alerting New Yorkers to the new requirement and inviting them to file complaints. That makes this a live compliance exposure for AARA members operating anywhere in the state, not a future concern.

Who is covered

The law reaches broadly. “Retail establishment” and “food store” are defined to include essentially any business selling consumer goods, merchandise, or food and beverages to the public, and the definitions extend to pushcarts, stands, and vehicles. Unlike comparable statutes in other jurisdictions, the New York law contains no carve out for vending machines, parking facilities, sporting venues, or rental services.

The two core obligations

First, you must accept cash for in person transactions. A cashless or card only store is now unlawful in New York.

Second, you must not price cash higher. The statute provides that no food store or retail establishment shall charge a higher price for the same consumer commodity to a consumer who pays in cash than to a consumer paying by another method. This includes rounding practices that quietly disadvantage cash payers.

What you may still refuse

  • Bills denominated above twenty dollars. You are not required to accept fifties or hundreds.
  • Telephone, mail, and internet transactions, unless payment for the transaction actually takes place on your premises.

There is also an alternative compliance path. A store that provides an on site device converting cash into a prepaid card may satisfy the law, provided the device charges no fee, imposes no minimum loading requirement above one dollar, and issues funds that do not expire.

Penalties and enforcement

A store that violates the law is liable for a civil penalty of up to $1,000 for a first violation and up to $1,500 for each succeeding violation. Enforcement runs through the New York Department of State’s Division of Consumer Protection, acting on consumer complaints or its own investigations. There is no private right of action, so the risk comes from regulators and complaining customers rather than from plaintiffs’ lawyers.

How this interacts with credit card surcharges

New York retailers are permitted to surcharge credit card transactions, but only within the rules of General Business Law section 518. A surcharge may not exceed the amount the credit card company charges the business, and the price must be disclosed in one of three ways: post the total credit card price up front, post two tier pricing showing both a credit price and a cash price, or charge the same price for both. A generic sign announcing that a card fee applies to all sales is not sufficient. Violations carry a $500 civil penalty per violation.

Read together, the two laws point to one safe posture. A two tier posted price, where the cash price is the lower one and both prices appear on the shelf or menu, complies with the surcharge statute and does not violate the cash acceptance statute, because the cash customer is never charged more.

Compliance checklist for New York members

  1. Remove any card only signage and confirm every register can take cash during all open hours.
  2. Train staff that refusing cash is now a violation, and that they may decline bills over twenty dollars but must accept everything at or below that.
  3. Audit your posted prices. If you surcharge cards, display the full credit card price or a clear two tier price, never a percentage sign at the door.
  4. Plan for coin and small bill availability, since the obligation to accept cash presumes an ability to make change.
  5. Keep records of your policy and training. Documented compliance efforts matter if a complaint is filed.

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