Tennessee legislation · 114th General Assembly
Tennessee SB2136: AN ACT to amend Tennessee Code Annotated, Title 4; Title 4, Chapter 49; Title 8, Chapter 6, Part 4; Title 40, Chapter 2 and Title 47, relative to illegal activity.
Status: Chaptered, May 27, 2026
Fiscal Summary NOT SIGNIFICANT Bill Summary This bill prohibits gambling; the operation of gambling devices; and the operation, conducting, or commercial promoting of online sweepstakes games and other forms of online or app-based gambling as offenses against the public health, safety, and welfare of this state. However, "gambling" does not include a lawful business transaction; annual events operated for the benefit of nonprofit organizations authorized by the general assembly; a state lottery authorized by amendment to the Constitution of Tennessee, if approved by the general assembly; a fantasy sports contest in accordance with the Fantasy Sports Act; lawfully accepting or placing a wager on a sporting event in accordance with the Tennessee Sports Gaming Act; or a low-level sports entertainment pool. This bill provides that the following acts violate the Tennessee Consumer Protection Act of 1977 and are subject to the penalties and remedies of that Act, which includes, but is not limited to, restraining orders, injunctions, private rights of action, and damages: Offering or accepting wagers or entry fees for gambling to a person located within this state. Operating, conducting, or commercially promoting online sweepstakes games or other forms of online or app-based gambling within this state. Selling or distributing gambling devices within this state. Permitting gambling devices to be operated upon premises owned, leased, managed, or otherwise controlled by a person within this state. Supporting, facilitating, or assisting in the operation of online sweepstakes games or other gambling within this state. This bill prohibits costs for bringing an action for the above violations from being taxed to the attorney general or this state. Further, information and documents received, created,
What the bill says
From the introduced text:
Conference Committee Report on House Bill No. 1885 / Senate Bill No. 2136 The House and Senate Conference Committee appointed pursuant to motions to resolve the differences between the two houses on House Bill No. 1885 (Senate Bill No. 2136) has met and recommends that all amendments be deleted. The Committee further recommends that the following amendment be adopted: by deleting all language after the caption and substituting: WHEREAS, there exists a growing presence in Tennessee of illegal online sweepstakes casinos and other forms of online gambling that are often marketed as legal, free-to-play, social gaming platforms and that utilize a promotional sweepstakes model; and WHEREAS, such online sweepstakes casinos generally utilize a system allowing players to play casino-style games with virtual currency and exchange the virtual currency for cash or other real-world prizes; and WHEREAS, in reality, such online sweepstakes casinos and other online-gambling platforms serve as a façade to hide the fact that players may engage in real-money gambling through the purchase and use of virtual currency; and WHEREAS, under this promotional sweepstakes model, consumers are induced to purchase virtual currency under the false impression that they are not engaged in illegal gambling when in fact their payments allow them to participate in games of chance that award real-world prizes; and WHEREAS, such online sweepstakes casinos generally constitute …