The city of Newport Beach in Orange County, California has made it mandatory for brick-and-mortar businesses to accept payments in cash when the customer is physically present at the business. This means that the businesses can no longer decide to go “cashless” and can no longer require payment from online services such as ApplePay, Venmo, Zelle, etc. In addition, these businesses are not allowed to charge a fee or place any other condition on its acceptance of cash. This city-wide requirement begins on March 31, 2025.

Under Newport Beach Municipal Code 5.98, the phrase “brick-and-mortar business” includes “any place of business operating at a fixed, permanent physical premises in the City (of Newport Beach), which is open to the public, that offers for sale to the public for consumption or use, on or off the premises, food or beverages, any consumer service, or goods, merchandise, products, clothes, shoes, or commodities.” This new rule is very broad and applies to a variety of businesses. Some examples are listed below.

• Cash IS required for consumer services such as:

  • restaurants

  • bars

  • entertainment

  • fitness

  • tanning

  • printing and business services

  • pet care

  • nail care

  • haircuts

  • beauty treatments

  • consumer goods

  • merchandise

  • products

  • food

  • clothing

  • shoes

  • tailoring for clothes

  • dry cleaning

  • car washing

  • shoe repairs

  • tutoring

  • auto maintenance and repair

Clearly, nearly any consumer business imaginable is covered by this definition. The new rule basically means that if you have a physical shop in the City of Newport Beach, you must accept cash.

However, there are some exceptions: businesses offering medical services, in-home services, or professional services do not have to accept cash. Some examples of what is considered medical services, in-home services, or professional services are listed below.

• Cash acceptance is NOT required for:

  • medical services which covers services provided by-

    • doctors

    • dentists

    • physical therapists

    • nurses

  • in-home services (i.e. those services rendered at a person’s residence) which covers the following services-

    • construction

    • home repair

    • plumbing

    • cleaning

    • landscaping

  • professional services which covers services provided by-

    • accountants

    • architects

    • attorneys

    • engineers

    • financial advisers

    • insurance agents

    • interior designers

    • management consultants

    • software developers

There are a few exceptions to this new rule.

• First, no counterfeit.

  • Of course, businesses may refuse to accept cash if the business believes the cash to be counterfeit.

• Second, there is an optional $50 bill threshold.

  • Businesses can refuse to accept cash in any denomination larger than a $50.00 bill.

• Third, there is an optional $5,000 cash threshold.

  • If a single transaction is above $5,000.00, the business must accept cash up to the $5,000.00 threshold. For any amount due that is above the $5,000 threshold, the business can refuse to accept cash.

• Fourth, the business can refuse to accept cash if the consumer is not physically present.

  • For example, the business can refuse to accept cash if the consumer is making a transaction via online purchase, phone purchase, or by mail.

• Fifth, the businesses can refuse cash payments for paid parking at a parking pay station or meter or any purchase from a vending machine.

Clearly, the vast majority of businesses will have to accept cash as a form of payment. Businesses in Newport Beach have only a few weeks to prepare, which will likely require some employers to add additional policies regarding handling cash, accounting for the cash proceeds at the end of the day, and depositing cash proceeds on a daily or weekly basis. The trendy idea of going “cashless” is now a thing of the past in Newport Beach, California.