Consumer Protection

Plain English Breakdown

The bill summary text does not provide specific details about enforcement costs or consequences for accidental violations.

Law Against Fake Checks in Ads

This law makes it illegal for people to send fake checks or images of fake checks through the mail as part of advertising.

What This Bill Does

• Makes it against the rules to send fake checks or pictures of fake checks by mail for advertising purposes.
• Requires the Department of Financial Institutions to enforce this rule and create guidelines on how to enforce it.
• Adds penalties for breaking this law, including those from the Tennessee Consumer Protection Act.

Who It Names or Affects

• People who send fake checks or images of fake checks through the mail as part of advertising.
• The Department of Financial Institutions which will be responsible for enforcing the new rules.

Terms To Know

Department of Financial Institutions

A government agency that oversees financial institutions and enforces laws related to finance in Tennessee.

Tennessee Consumer Protection Act

A law that protects consumers from unfair or deceptive business practices.

Limits and Unknowns

• The bill does not specify what happens if someone accidentally sends a fake check for advertising.
• It is unclear how much it will cost to enforce this new rule.
• This law only applies to conduct occurring on or after July 1, 2025.

Official Summary Text

This bill prohibits a
person
from
send
ing
by mail a fake check or an image of a fake check for the purpose of advertising. It is not an exception to this
provision
if the fake check or the image of the fake check states that the check is not real, voided, or may be used as a method to accept an
expiring offer from the advertisement.
This bill applies to such prohibited conduct
occurring on or after
July 1, 2025.

This bill requires the
department of financial institutions
to
enforce this
bill and to
promulgate rules to effectuate this
bill
.

In
addition to the remedies and penalties provided
to the department under present law
, a violation of this
bill

also
constitutes a violation of the Tennessee Consumer Protection Act of 1977
and
is subject to the penalties and remedies as provided in
that Ac
t, which includes, but is not limited to, restraining orders, injunctions, private rights of action, and damages.

Current Bill Text

SENATE BILL 1262
By Yarbro

HOUSE BILL 1379
By Harris

HB1379
001668
- 1 -

AN ACT to amend Tennessee Code Annotated, Title 45
and Title 47, relative to the use of fake checks for
advertising.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF TENNESSEE:
SECTION 1. Tennessee Code Annotated, Title 45, Chapter 1, Part 1, is amended by
adding the following as a new section:
45-1-131.
(a) A person shall not send by mail a fake check or an image of a fake check for
the purpose of advertising. It is not an exception to this subsection (a) if the fake check
or the image of the fake check states that the check is not real, voided, or may be used
as a method to accept an expiring offer from the advertisement.
(b) The department of financial institutions shall enforce this section. The
department shall promulgate rules to effectuate this section. The rules must be
promulgated in accordance with the Uniform Administrative Procedures Act, compiled in
title 4, chapter 5.
(c) In addition to the remedies and penalties provided under this part, a violation
of this section constitutes a violation of the Tennessee Consumer Protection Act of 1977,
compiled in title 47, chapter 18, part 1. A violation of this section constitutes an unfair or
deceptive act or practice affecting trade or commerce and is subject to the penalties and
remedies as provided in the Tennessee Consumer Protection Act of 1977.
SECTION 2. Tennessee Code Annotated, Section 47-18-104(b), is amended by adding
the following as a new subdivision:
( ) Violating § 45-1-131;

- 2 - 001668

SECTION 3. For the purpose of promulgating rules, this act takes effect upon becoming
a law, the public welfare requiring it. For all other purposes, this act takes effect July 1, 2025,
the public welfare requiring it, and applies to conduct occurring on or after that date.