Thursday, May 20, 2010

Oh Please, Can I Give You $500?

I was never a drinker of the Apple kool-aid, but I couldn't deny that the company had a certain cachet about about. The were fighting "the man," better than "the man."

These days, they totally are the man.

I came across this story today, about a woman who wanted to buy an iPad, but was turned away because she was planning to pay in cash. There are at least two levels of "who the hell do they think they are?" to this story.

First, is it really a good policy to turn away a customer that wants to give you $500?

Second, money says right on it: "This note is legal tender for all debts, public and private." I'm no legal scholar, but I believe they're required to take cash.

It's all okay now, though. Heat from this story prompted Apple to change their policy, so that they now will indeed let you give them your money. Aren't you lucky?

2 comments:

Anonymous said...

two-per-person limit? that's pretty pompous of them to assume one guy would buy zillions of iPads for some scheme. I've never had to walk out of a grocery store and walk back in to re-buy the extra bottles of soda that were marked "limit 2 per customer" but I knew I could if I wanted to.

now I'm curious as to what kind of scheme they are trying to avoid by the limit. I should think they are obviously smart people to have invented computer stuff, so they must know some kind of scam that can be created by multiples of iPads? (I bet Oprah could buy more than 2 to give away to her audience...)

why care at all? if they sell their entire inventory of iPads, what? make more and sell more? why is that bad? sometimes hardcore economics make my head spin...

the mole

Roland Deschain said...

The "no cash" thing I've never understood. The 2 per person limit (as I understand anyway) was to keep asshats from buying out an entire store's stock and selling them for $1000 each on Craigslist. Not that I get why they care, they'd still have their money and have been sold. I still think it's bad business on both counts.

As far as being required to take cash, I had this question come up before when I worked at the movie theatre - so I've looked this up before. The answer comes from our friends at the US Treasury:

http://www.ustreas.gov/education/faq/currency/legal-tender.shtml

The pertinent portion of law that applies to your question is the Coinage Act of 1965, specifically Section 31 U.S.C. 5103, entitled "Legal tender," which states: "United States coins and currency (including Federal reserve notes and circulating notes of Federal reserve banks and national banks) are legal tender for all debts, public charges, taxes, and dues."

This statute means that all United States money as identified above are a valid and legal offer of payment for debts when tendered to a creditor. There is, however, no Federal statute mandating that a private business, a person or an organization must accept currency or coins as for payment for goods and/or services. Private businesses are free to develop their own policies on whether or not to accept cash unless there is a State law which says otherwise. For example, a bus line may prohibit payment of fares in pennies or dollar bills. In addition, movie theaters, convenience stores and gas stations may refuse to accept large denomination currency (usually notes above $20) as a matter of policy.