Georgia House Bill HB149

Georgia 2023-2024 Regular Session

• Introduced: 1/31/23
• Report Pass: 2/15/24

Caption

Fair Business Practices Act of 1975; require cash overpayments to be remitted by merchants in the form of store credit under certain circumstances

Impact

The bill is expected to have significant implications for how transactions are conducted in Georgia. By requiring merchants to offer store credit rather than simply refunding a cash overpayment, it aims to enhance consumer protections. However, it provides exemptions for sole proprietors and small businesses with only one employee, as well as vendors at large events, which could mitigate the impact on smaller retailers. Nonetheless, this change could lead to an increase in store credits being issued, which could affect consumers’ spending behavior and the cash flow of merchants.

Summary

House Bill 149 amends the Fair Business Practices Act of 1975, introducing a requirement for merchants to issue store credit when they cannot provide exact change for cash overpayments. The bill's intent is to protect consumers by ensuring that they receive the full benefit of their payments, thereby addressing potential disputes related to overpayments. Under the new provision, any merchant unable to return the extra payment in cash must instead offer store credit equivalent to the overpayment amount. This regulation would apply to most merchants in Georgia, clarifying the expectations for business practices in transactions involving cash payments.

Contention

Notable points of contention surrounding HB149 include concerns regarding its impact on small businesses and their operational flexibility. Opponents of the bill may argue that imposing such a requirement adds an administrative burden on smaller merchants who may not have the resources to manage store credits adequately. Additionally, the bill's exclusions suggest a divide in how customer protections may apply depending on a merchant's size or event presence. This raises larger questions about the balance between consumer rights and business operational capabilities in legislative scenarios.