Tennessee and Montana Strengthen Consumer Protection Laws
April 2023
On April 11, Tennessee enacted HB 911, enhancing consumer protection measures by addressing deceptive practices, particularly in the automotive sector. The new legislation broadens the definition of prohibited actions from solely "deceptive" to "deceptive or unfair," augmenting safeguarding measures for consumers. A significant addition requires clear disclosure in advertisements, especially for services touted as free or low-cost, necessitating specific font presentation. The Act’s provisions will be rolled out in phases, with certain elements becoming effective immediately and others on July 1.
Meanwhile, on April 17, Montana passed SB 488, revising its 1973 Unfair Trade Practices and Consumer Protection Act. This includes provisions targeting false or misleading consumer reviews and testimonials. Additionally, the Act updates the statute of limitations, granting the Montana Department of Justice five years to initiate action against unfair practices, while extending individual claims to two years. Notably, the legislation eliminates an annual reporting obligation previously imposed on the Department of Justice concerning harmful material to minors. Both states are actively working to bolster consumer rights and enhance transparency in advertising and review practices.
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