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The Tennessee Conservative [By Adelia Kirchner] –
State Representative Jerome Moon (R-Maryville-District 8) is sponsoring House Bill 53 (HB0053) to protect veterans from unfair or deceptive acts related to individuals who advise on veterans’ matters for compensation.
The legislation was filed for introduction on Dec. 30th, 2024.
According to the bill summary, HB0053 as introduced “declares certain actions by a person advising, assisting, or consulting on veterans’ benefits matters for compensation to be an unfair or deceptive act or practice affecting trade or commerce and to be subject to the penalties and remedies as provided in the Tennessee Consumer Protection Act of 1977.”
If passed, this bill would amend Tennessee Code Annotated (TCA) Title 58, Chapter 3, by adding an entirely new section and defining the following terms.
• “Compensation” – any money, thing of value, or economic benefit conferred on, or received by, a person in return for services rendered, or to be rendered, by the person or another person.
• “Person” – natural person, corporation, trust, partnership, incorporated or unincorporated association, or any other legal entity.
• “Veterans’ benefits matter” – the preparation, presentation, or prosecution of a claim affecting a person who has filed, or expressed an intent to file, a claim for a benefit, program, service, commodity, function, status, or entitlement for which veterans, their dependents, their survivors, or other individuals are eligible under the laws and regulations administered by the U.S. Department of Veterans Affairs or the Department of Veterans Services.
According to the bill text, “A person shall not receive compensation for services rendered in connection with a claim filed within the one-year presumptive period of active-duty release, unless the veteran acknowledges by signing a waiver that the veteran is within this period and chooses to forgo the free services available.”
Additionally, the legislation dictates that a person wishing to receive compensation for advising, assisting or consulting on a “veterans’ benefits matter” must do so under a written agreement with clear and specific terms.
By law, these terms would have to include the following specifications:
• Compensation is wholly contingent upon an increase in benefits awarded.
• If successful in obtaining an increase in benefits, the compensation does not exceed 5x the amount of the monthly increase in benefits awarded based on the claim.
• No initial or nonrefundable fee may be charged by a person advising, assisting, or consulting an individual on a veterans’ benefits matter.
The legislation also requires that advising persons provide the following written disclosure, in at least 12-point font, prior to providing services:
“This business is not sponsored by, or affiliated with, the United States Department of Veterans Affairs or the Tennessee Department of Veterans Services, or any other federally chartered veterans’ service organization. Other organizations, including, but not limited to, the Tennessee Department of Veterans Services, a local veterans’ service organization, and other federally chartered veterans’ service organizations may be able to provide you with this service free of charge. Products or services offered by this business are not necessarily endorsed by any of these organizations. You may qualify for other veterans’ benefits beyond the benefits for which you are receiving services here.”
HB0053 would also prevent advising persons from using international call centers or data centers for the purposes of processing a veteran’s personal information.
They also would not legally be allowed to use an individual’s personal log-in information to access that individual’s medical, financial, or government benefits information.
Additionally, before being allowed access to such information, any individual who will have access must pass a reputable background check.
The bill text also states that “A person shall not receive compensation for referring an individual to another person to advise or assist the individual with a veterans’ benefits matter.”
Violation of any of these provisions “constitutes an unfair or deceptive act or practice affecting trade or commerce” and would be subject to “the penalties and remedies as provided in the Tennessee Consumer Protection Act of 1977” which classifies these unfair or deceptive acts as Class B misdemeanors.
About the Author: Adelia Kirchner is a Tennessee resident and reporter for the Tennessee Conservative. Currently the host of Subtle Rampage Podcast, she has also worked for the South Dakota State Legislature and interned for Senator Bill Hagerty’s Office in Nashville, Tennessee. You can reach Adelia at adelia@tennesseeconservativenews.com.
