STREAMING NOW: Watch Now

Appeals court limits California credit card surcharge law

SAN FRANCISCO (AP) - A federal appeals court says California can't prevent five businesses from charging additional fees to customers who use credit cards.

Posted: Jan 3, 2018 2:57 PM

SAN FRANCISCO (AP) - A federal appeals court says California can't prevent five businesses from charging additional fees to customers who use credit cards.

The 9th U.S. Circuit Court of Appeals said Wednesday a 1985 state law that banned credit card surcharges violated the businesses' free speech rights.

The case dealt with swipe fees that merchants must pay credit-card issuers each time a customer charges a purchase. The state attorney general's office says surcharges at the cash register mislead customers about a product's true cost.

The 9th Circuit disagreed, noting that the law allowed the businesses to charge cash customers less. The court said the businesses only wanted to communicate the difference as a surcharge for credit card users rather than a discount for cash users.

The California attorney general's office said it was evaluating its options.

Chico
Partly Cloudy
91° wxIcon
Hi: 96° Lo: 58°
Feels Like: 87°
Oroville
Clear
96° wxIcon
Hi: 93° Lo: 66°
Feels Like: 91°
Paradise
Clear
91° wxIcon
Hi: 85° Lo: 63°
Feels Like: 87°
Chester
Clear
94° wxIcon
Hi: 74° Lo: 34°
Feels Like: 90°
Red Bluff
Clear
94° wxIcon
Hi: 92° Lo: 57°
Feels Like: 90°
Willows
Clear
91° wxIcon
Hi: 98° Lo: 58°
Feels Like: 87°
Wednesday will be hot with a return to 80s this weekend and next week. Mountain thunderstorms will be possible on Friday.
KHSL Severe
KHSL Radar
KHSL Temperatures

Community Events