What Happens If You Don’t Close a Tab at a Bar?
Uncover the complete process and financial implications of leaving a bar tab open. Learn what happens next and how to handle it.
Forgetting to close a bar tab is a common occurrence that can lead to unexpected charges. Understanding how bars handle unclosed tabs and their financial and legal implications is important for patrons.
How Bars Process Unclosed Tabs
When opening a bar tab, customers typically provide a credit or debit card. The bar performs a pre-authorization, placing a temporary hold to ensure the card is valid and has funds. This hold is not a charge but reserves a portion of the credit limit or bank balance. The bar then tracks all purchases on that tab.
If a tab remains unclosed at the end of the night, bars automatically process payment using the card on file. Bars commonly add an automatic gratuity or service charge to unclosed tabs. This policy is often disclosed through signage or on menus, and providing a card implies customer agreement to these terms.
The automatic gratuity is treated as a service charge by the bar. Once the final bill, including any auto-gratuity, is calculated, the bar converts the pre-authorization hold into a completed transaction, charging the full amount to the customer’s card.
Customer Actions After an Unclosed Tab
If a customer realizes they left a tab open or notices an unfamiliar charge, they should monitor their bank or credit card statements. The charge usually appears within a few business days, reflecting the total amount, including any automatic gratuity. Reviewing statements helps identify the exact charge and processing date.
The most direct way to resolve a discrepancy is to contact the bar directly. Speaking with management can clarify charges and potentially lead to an immediate resolution if an error occurred. Having the visit date and tab details available is beneficial when contacting the establishment.
If direct resolution with the bar is unsuccessful, customers can dispute the charge with their credit card company or bank. The Fair Credit Billing Act (FCBA) provides rights to dispute billing errors. To initiate a dispute, consumers typically send a written notice to their credit card company within 60 days of the statement date. The credit card company then investigates the claim, during which time the customer is generally not required to pay the disputed amount.
Financial and Legal Outcomes
When a bar tab is left open and charged, the total amount, including any automatic gratuity, is a valid debt. By providing a credit card, the customer implicitly agrees to pay for services rendered. The automatic gratuity is a contractual term agreed to by not closing the tab.
Leaving a bar without paying a tab is typically a civil matter, considered a breach of contract, not a criminal offense like theft. This is because the customer provided a payment method, indicating intent to pay, even if the transaction was completed without their direct presence. However, clear evidence of intent to defraud, such as providing a known invalid card, could escalate the situation.
The customer’s credit card will be charged for drinks and food consumed, plus the automatic gratuity. This auto-gratuity can result in a higher overall charge than intended. While establishments have the right to collect this debt, they rarely pursue legal action for smaller amounts.