Minnesota
Yes, if the amount is a reasonable forecast of a loss that is hard to measure. The Minnesota Supreme Court treats an agreed sum as valid at first sight, but in Gorco Construction Co. v. Stein it struck a 15 percent cancellation charge that stood for easy-to-prove costs and general overhead. A deposit that stands for the loss the missed appointment itself causes, such as an unsellable block of chair time or prepared artwork, and stays proportionate to it, is on firmer ground; a deposit explained as covering rent, utilities or other general costs is the shape the court struck.
Does a non-refundable deposit hold up in Minnesota?
The law’s word for a set sum agreed in advance is liquidated damages.
No Minnesota statute governs liquidated damages in a service contract. The Minnesota Supreme Court treats an agreed sum as valid at first sight, but only as a reasonable forecast of a harm that is very difficult to estimate; where the loss can be measured, an amount greatly disproportionate to it is a penalty. In Gorco Construction Co. v. Stein, a homeowner cancelled a $1,800 order for 2 garages before any work began, and the court struck the order’s 15 percent charge: the salesman’s commission, advertising and labor it stood for were readily measurable, no commitment of labor or equipment had been made yet, and, quoting an earlier case, the court treated general business expenses as costs a default neither increases nor decreases.
“(a) the amount so fixed is a reasonable forecast of just compensation for the harm that is caused by the breach, and (b) the harm that is caused by the breach is one that is incapable or very difficult of accurate estimation.” Gorco Construction Co. v. Stein, 256 Minn. 476, 99 N.W.2d 69 (1959)
Showing your refund policy
Minn. Stat. § 325F.80 covers retail sales of consumer goods: a seller that will not give cash refunds on goods acceptable for return must post its refund policy clearly and conspicuously on the premises, in boldface type of at least 14 points, or else owe cash refunds on those returns. It covers goods only, so it does not reach a tattoo deposit; it reaches the jewelry a piercing shop sells, unless custom or special ordered.
“If a seller wishes to alter the cash refund policy required by this section, written notice of the seller's cash refund policy must be clearly and conspicuously displayed on the premises.” Minn. Stat. § 325F.80
Body-art rules and money
Minnesota licenses body art by statute, and one of its discipline grounds is about money: the commissioner may discipline a technician or an establishment operator who obtained money, property or services from a client through undue influence, harassment, duress, deception or fraud, or who advertised in a false or misleading way. Discipline includes suspension, revocation and a civil penalty of up to $10,000 per violation. Nothing in the chapter sets rules for deposits, cancellations, refunds, receipts or price disclosure; the fees it calls nonrefundable are license fees paid to the state.
“(8) advertised in a manner that is false or misleading; (9) engaged in conduct likely to deceive, defraud, or harm the public; ... (11) obtained money, property, or services from a client through the use of undue influence, harassment, duress, deception, or fraud.” Minn. Stat. § 146B.08 (ch. 146B, Body Art)
What reaches your deposit page
A price shown must include every mandatory fee
Minnesota’s deceptive trade practices law makes it deceptive to advertise, display or offer a price for goods or services that leaves out any mandatory fee or surcharge, and a mandatory fee includes one that must be paid to buy what is advertised. A fee the client has to pay to book is part of the price.
“advertises, displays, or offers a price for goods or services that does not include all mandatory fees or surcharges” Minn. Stat. § 325D.44, subd. 1a
- You can pay the $3.99 fee yourself: it is one switch in Set-up, the second tab of Deposits in your dashboard. Then your client pays exactly the deposit and sees no fee anywhere, so every amount on your deposit page is exactly what your client pays. When your client pays the fee instead, the pay screen lists the deposit, the fee and the total, and the Pay button says the total, but the buttons on your deposit page show the deposit alone.
This page summarizes public law in plain language, with the source each point comes from, read at the source on 2026-09-23. It is not legal advice.