California Assembly Bill AB1793

California 2025-2026 Regular Session

• Introduced: 2/10/26
• Refer: 2/23/26
• Report Pass: 4/7/26
• Refer: 4/8/26
• Report Pass: 4/21/26
• Refer: 4/21/26
• Refer: 5/6/26
• Report Pass: 5/14/26
• Engrossed: 5/21/26
• Refer: 5/21/26

Caption

An act to add Title 1.6H (commencing with Section 1789.60) to Part 4 of Division 3 of the Civil Code, relating to cash payments.

Impact

If enacted, AB 1793 will amend current civil code statutes concerning cash transactions by providing a clear guideline for how merchants calculate final prices in cash transactions. This change is intended to reduce the burden on retailers who may struggle with handling small change and potentially streamline customer transactions, as customers will find it simpler to handle rounded amounts instead of dealing with odd cents. This new calculation method will apply specifically to in-person transactions made in cash.

Summary

Assembly Bill 1793, titled the Californians for California Common Cents Act, aims to standardize cash payment transactions in California by introducing a rounding method for the total price of goods or services. This bill requires merchants to round the final cash amount to the nearest multiple of five cents when accepting legal tender payments. The intent is to simplify the cash transaction process and minimize the complexity of managing coinage for both consumers and businesses. It is also aligned with federal law that recognizes U.S. coins and currency as legal tender.

Sentiment

The sentiment surrounding AB 1793 appears to be generally supportive among business owners and associations, who argue it will facilitate easier cash transactions and reduce transaction times at the point of sale. However, it may also attract scrutiny from consumer advocacy groups concerned about fairness in pricing and potential hidden costs. While the business community may praise the reduction in the handling of small change, consumer groups may argue that rounding could lead to higher costs over time.

Contention

A notable point of contention regarding AB 1793 involves the exceptions outlined in the bill. Payments involving less than five cents in total, or those made through digital payment methods, are exempt from the rounding rule. This raises questions about the broader implications for modern payment practices, where electronic transactions increasingly dominate the market. Critics may argue that the bill does not address the full range of consumer behaviors in payment processing and may enhance the complexity of compliance for businesses who rely on both cash and electronic payment systems.