Tennessee Senate Bill SB1991

Tennessee 2025-2026 Regular Session

• Introduced: 1/22/26
• Failed: 2/17/26

Caption

AN ACT to amend Tennessee Code Annotated, Title 4, Chapter 3, Part 19 and Title 47, Chapter 18, relative to consumer protection.

Impact

If enacted, SB1991 will significantly impact how businesses in Tennessee advertise and price their goods and services, aligning them with consumer expectations for transparency. The bill aims to protect consumers from being misled into thinking they are paying lower prices than they actually are, thereby contributing to a fairer competitive environment. The measure also reinforces existing consumer protection regulations by introducing stricter penalties and remedies for violations, enhancing the enforcement capabilities of regulators against deceptive practices. This legislative change is intended to not only safeguard consumer interests but also promote healthy competition among businesses by ensuring that all players accurately represent pricing information.

Summary

Senate Bill 1991, known as the Junk Fee Prevention Act, aims to amend Tennessee's consumer protection laws to eliminate deceptive pricing practices commonly referred to as 'junk fees.' The bill is designed to address the issue of hidden charges that inflate the price of goods and services across various sectors, including banking, travel, and online services. By mandating the clear disclosure of all mandatory fees before a transaction is completed, the bill seeks to promote transparency in pricing for consumers and reduce the prevalence of misleading advertising that hinders competitive markets. The legislation proposes specific measures against misleading pricing, wherein businesses will be prohibited from displaying the price of goods without including all associated fees upfront, thus offering consumers a clearer understanding of the actual costs involved in purchases.

Sentiment

The sentiment surrounding the Junk Fee Prevention Act appears to be generally supportive among consumer advocacy groups and many lawmaker stakeholders, who see it as a necessary reform in an increasingly complex marketplace. Proponents argue that eliminating junk fees will not only clarify costs for consumers but also encourage businesses to compete on genuine quality rather than misleading pricing. However, there are concerns from some business entities about the potential burden of compliance and the increased oversight on pricing strategies, which they argue could stifle economic activity and innovation. As the bill progresses, it is likely to foster a debate balancing consumer protection with business interests.

Contention

Notable points of contention regarding SB1991 include the specific provisions outlining what constitutes a mandatory fee and the enforcement measures tied to compliance. Critics question whether the definitions provided in the bill may lead to confusion among businesses about their pricing practices and the risk of inadvertent violations. Additionally, there is discussion on the timeline for implementing the bill's provisions, which some stakeholders believe may not provide adequate time for businesses to adapt to the new regulations. As the bill is debated, stakeholders will need to negotiate the fine lines between effective consumer protection and the operational realities of business compliance.