SB 2223: Tennessee Prohibits Financial Institutions from Discriminating Against Firearm Retailers
Summary
SB 2223 was enacted in April 2024 and became effective on July 1, 2024. It prohibits financial institutions from collecting firearm-related financial transaction data. It responds to a 2022 action taken by the International Organization for Standardization to approve a merchant category code (MCC) for firearm retailers, allowing payment processors to monitor firearm sales. Previously, firearm retailers were categorized with sporting goods stores and miscellaneous retail.
The law also prohibits government entities from keeping a registry of firearm owners and permits citizens to petition the state Attorney General to investigate alleged violations. The law seeks to avoid a "significant chilling effect on citizens wishing to exercise their federal and state constitutional rights to keep and bear arms." After providing a notice of violation, the state attorney general may file an action against an individual or entity seeking injunction or a civil fine up to $10,000 per violation.
