Apparently, you've never seen that sign that says "We Reserve The Right To Refuse Service.............."
.
apparently it's not what you think it is or means:
Does your business have the right to refuse service to customers?
By Insureon Staff
Updated: January 19, 2022
Business owners have the right to refuse service to customers for legitimate reasons. Learn when it’s legal to turn away a would-be customer, and when it could land you in court.
You’ve probably seen a sign in a store or restaurant that read, “We reserve the right to refuse service,” or “No shoes, no shirt, no service.”
Some upscale
restaurants and
night clubs also reserve the right to refuse entry by enforcing dress codes, such as no jeans or tennis shoes. As long as businesses can offer legitimate reasons for refusing service, and they’re applied equally to everyone, there likely won’t be a problem.
As a small business owner, you have the right to refuse service to customers for certain reasons: for example, if people are being disruptive or intoxicated. However, there are limits on when a business can refuse to provide a service.
Let's look at when the law allows you to reject a customer, and when refusing to sell to a customer could lead to a lawsuit.
When refusing a customer is illegal
There are many anti-discrimination laws at the federal, state, and local level. Chief among these is the Civil Rights Act of 1964, which forbids discrimination on the basis of race, color, religion, sex, or national origin in public accommodations.
Under Title VII of that federal law, no business is allowed to turn away a customer based on their status as a member of one of these protected classes. Based on recent court rulings, sexual orientation and gender identity are now also federally protected classes.
State laws and local governments may further extend protection to people based on their genetic information or political affiliation.
A well-known example is the case of a Colorado baker whom, based on his religious beliefs, refused to bake a wedding cake for a gay couple. At the time, the federal Civil Rights Act didn’t protect people on the basis of sexual orientation, though Colorado’s anti-discrimination laws did.
In 2018,
the Supreme Court narrowly ruled for the baker, but that decision did not prevent courts from ruling in favor of legal protections for gay people in the future. In 2020, the Supreme Court did provide
extended Title VII protections to the LGBTQ community.
Does Your Business Have the Right to Refuse Service to Customers? | Insureon