SF 2396

Introduction - 94th Legislature (2025 - 2026)

Posted on 03/14/2025 09:10 a.m.

A bill for an act
relating to veterans; restricting certain practices by service providers; amending
Minnesota Statutes 2024, section 197.6091, subdivision 1, by adding a subdivision.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2024, section 197.6091, subdivision 1, is amended to read:

Subdivision 1.

Definitions.

(a) For purposes of this section, the following terms have
the meanings given.

(b)(1) "Advertising" or "advertisement" means any of the following:

(i) any written or printed communication made for the purpose of soliciting business for
veterans benefits appeal services, including but not limited to a brochure, letter, pamphlet,
newspaper, telephone listing, periodical, or other writing;

(ii) any directory listing caused or permitted by a person and made available by that
person indicating that veterans benefits appeal services are being offered; or

(iii) any radio, television, computer network, or similar airwave or electronic transmission
that solicits business for or promotes a person offering veterans benefits appeal services.

(2) "Advertising" or "advertisement" does not include any of the following:

(i) any printing or writing used on buildings, uniforms, or badges, where the purpose of
the writing is for identification; or

(ii) any printing or writing in a memorandum or other communication used in the ordinary
course of business where the sole purpose of the writing is other than soliciting business
for veterans benefits appeal services.

new text begin (c) "Compensation" means any money, thing of value, or economic benefit conferred
on or received by any person in return for services rendered or to be rendered by a person.
new text end

deleted text begin (c) deleted text end new text begin (d) new text end "Veterans benefits appeal services" means services that a veteran might reasonably
require in order to appeal a denial of federal or state veterans benefits, including but not
limited to denials of disability, limited income, home loan, insurance, education and training,
burial and memorial, and dependent and survivor benefits.

deleted text begin (d) deleted text end new text begin (e) new text end "Veterans benefits services" means services that a veteran or a family member
of a veteran might reasonably use in order to obtain federal, state, or county veterans benefits.

deleted text begin (e) deleted text end new text begin (f) new text end "Written disclosure statement" means the written disclosure statement developed
by the commissioner of veterans affairs pursuant to section 196.05, subdivision 1.

Sec. 2.

Minnesota Statutes 2024, section 197.6091, is amended by adding a subdivision
to read:

new text begin Subd. 3a. new text end

new text begin Limitation on compensation. new text end

new text begin (a) A person must not receive compensation
for referring an individual to another person to advise or assist the individual with veterans
benefit services or veterans benefit appeal services.
new text end

new text begin (b) A person must not receive compensation for veterans benefit services or veterans
benefit appeal services rendered in connection with any claim filed within the one year
presumptive period of active duty release, unless a veteran acknowledges by signing a
waiver that the veteran is within the active duty release period and chooses to refuse free
services available to them.
new text end

new text begin (c) A person seeking to receive compensation in connection with veterans benefit services
or veterans benefit appeal services must, before rendering services, memorialize the specific
terms regarding how and when compensation will be calculated and paid in a written
agreement signed by both parties. All compensation must be contingent upon an increase
in benefits awarded, and if successful, total compensation must not exceed five times the
amount of the monthly increase in benefits awarded based on the claim. A person advising,
assisting, or counseling an individual regarding a veterans benefit service or veterans benefit
appeal service must not charge an initial or nonrefundable fee.
new text end

new text begin (d) A person seeking to receive compensation in connection with a veterans benefit
service or veterans benefit appeal service must not guarantee, either directly or by implication,
a successful outcome or that any individual is certain to receive benefits or that any individual
is certain to receive a specific level, percentage, or amount of benefit.
new text end

new text begin (e) A person seeking compensation in connection with a veterans benefit service or
veterans benefit appeal service must:
new text end

new text begin (1) not utilize international call centers or data centers to process a veteran's personal
information;
new text end

new text begin (2) not use a veteran's personal login, username, or password information to access the
veteran's medical, financial, or government benefits information; and
new text end

new text begin (3) ensure that any individual who has access to a veteran's medical or financial
information undergoes a background check prior to having access to that information. The
background check must be conducted by a reputable source and include identity verification
and a criminal records check.
new text end

new text begin (f) Nothing in this subdivision is to be construed as applying to, limiting, or expanding
the requirements imposed on agents, attorneys, or other representatives accredited by the
the secretary of the United States Department of Veterans Affairs under United States Code,
title 38, chapter 59.
new text end