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Bill > SB0041


TN SB0041

TN SB0041
AN ACT to amend Tennessee Code Annotated, Title 7; Title 47 and Title 65, relative to consumer billing.


summary

Introduced
01/07/2025
In Committee
Crossed Over
02/24/2025
Passed
03/28/2025
Dead
Signed/Enacted/Adopted
05/02/2025

Introduced Session

114th General Assembly

Bill Summary

As enacted, prohibits a provider of certain services from billing a consumer for an extra billing cycle if the consumer terminates the contract or agreement for services within the first half of a billing cycle; designates a violation as an unfair or deceptive act or practice affecting trade or commerce in violation of the Consumer Protection Act of 1977. - Amends TCA Title 7; Title 47 and Title 65.

AI Summary

This bill establishes new consumer protection regulations for billing practices related to telecommunications and media services. Specifically, the bill defines "covered services" as telephone, cable television, internet, and broadband services, and sets rules about how service providers can bill consumers when they terminate their service. If a consumer cancels their service during the first half of a billing cycle, the provider can only bill them for the remainder of that current cycle and cannot charge for subsequent cycles. If a consumer terminates service during the second half of a billing cycle, the provider can bill for the current cycle and one additional billing cycle. The bill takes effect on July 1, 2025, and any violation of these billing rules is considered an unfair or deceptive practice under the Tennessee Consumer Protection Act of 1977, which means consumers would have legal recourse if a service provider inappropriately bills them after service termination. The law does not prevent service providers from including minimum service duration terms in their contracts, but it does limit their ability to charge beyond the agreed-upon service period when a customer chooses to cancel.

Committee Categories

Business and Industry

Sponsors (2)

Last Action

Effective date(s) 07/01/2025 (on 05/02/2025)

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