AN ACT to amend Tennessee Code Annotated, Title 45 and Title 47, relative to the use of fake checks for advertising.
Summary
SB 1262 prohibits a person from mailing a fake check, or an image of a fake check, for advertising purposes. The bill makes clear that the prohibition applies even if the mailed item says it is not real, is voided, or can be used to accept an expiring offer. In effect, it targets a common direct-mail marketing tactic that uses check-like mailers to attract attention or prompt consumers to respond to an offer.
The bill assigns enforcement authority to the Tennessee Department of Financial Institutions and directs the department to adopt rules under the Uniform Administrative Procedures Act. It also ties violations to the Tennessee Consumer Protection Act of 1977, making this conduct an unfair or deceptive act or practice and subjecting violators to the act’s penalties and remedies. The bill takes effect immediately for rulemaking purposes and otherwise applies to conduct on or after July 1, 2025.
Impact
SB 1262 would add a new consumer-protection restriction in Tennessee Code Annotated Title 45 and expand the list of deceptive practices under Title 47. It creates a specific statutory ban on mailing fake-check advertisements, authorizes the Department of Financial Institutions to enforce the rule, and makes violations independently actionable under the Tennessee Consumer Protection Act. Businesses using direct-mail marketing would need to avoid check-like promotional pieces, and consumers would gain an additional statutory safeguard against misleading mail solicitations.
Sentiment
The available record shows no committee transcript, vote tally, or recorded debate, so there is no direct evidence of support or opposition from the legislative process. Based on the bill’s text, the measure appears to be framed as a consumer-protection and anti-deception bill rather than a controversial policy change. Its focus on preventing misleading advertising suggests a generally protective intent toward consumers.
Contention
The main point of potential contention is the breadth of the ban: the bill prohibits fake checks and images of fake checks even when the mailer explicitly says the check is not real, voided, or tied to an expiring offer. That could draw objections from marketers who use check-style mail pieces as a promotional device and may argue the law restricts lawful advertising formats. On the other hand, consumer advocates and regulators would likely support the measure because it targets a tactic that can resemble deceptive or misleading solicitation.