WeVote
Log In

Bill

Bill

SB 441

Relating to: election observers and providing a penalty.

2025-2026 Regular Session Introduced by Romaine Quinn

Senate Bill 441 aimed to protect consumers from misleading healthcare discount cards by enforcing clear disclosures and penalties for deceptive practices.

Read first time and referred to Committee on Government Operations, Labor and Economic Development
0
WeVote Research Nonpartisan
Bill Summary · SB 441

Summary of Senate Bill 441: Junk Lawsuit Prevention Act of 2025

Purpose and Intent

Senate Bill 441, titled the Junk Lawsuit Prevention Act of 2025, aimed to regulate the marketing and distribution of discount healthcare cards and similar purchasing mechanisms that are not classified as insurance. The bill sought to protect consumers from misleading practices and ensure transparency in the healthcare discount marketplace.

Key Provisions

The bill proposed several amendments to the Arkansas Code, specifically § 4-106-201 and § 4-106-202, which included the following provisions:

Prohibited Practices

  1. Disclosure Requirements: Any card or purchasing mechanism must clearly state in bold and prominent type that:

    • The discounts offered are not insurance.
    • Consumers have the right to cancel their registration within 30 days of activation.

  2. Misleading Information: It would be unlawful to:

    • Use misleading, deceptive, or fraudulent language in advertising or marketing.
    • Include terms commonly associated with insurance (e.g., "health plan," "coverage") in a way that could mislead consumers.

  3. Contractual Obligations: Discounts must be authorized by separate contracts with each healthcare provider listed.

Enforcement and Penalties

  • Legal Actions: The Attorney General, as well as private individuals or entities harmed by violations, could initiate legal actions to:

    • Enjoin ongoing violations.
    • Recover damages, which could be up to $10,000 or $100 per card sold, whichever is greater.

  • Jurisdiction: Actions could be brought in various counties, including where the plaintiff resides or where the card was sold.

  • Time Limits: Legal actions must be initiated within two years of the violation or discovery of the violation.

Amendment

An amendment proposed to make the act retroactive to January 1, 2021, was adopted during the legislative process.

Impact

The Junk Lawsuit Prevention Act of 2025 was designed to protect consumers from potentially deceptive practices related to healthcare discount cards. By enforcing clear disclosure requirements and penalties for non-compliance, the bill aimed to enhance consumer awareness and trust in healthcare purchasing mechanisms.

Legislative Status

  • Introduced: March 12, 2025
  • Passed in Senate: April 10, 2025
  • Died in House: May 5, 2025, at Sine Die adjournment

Despite passing through the Senate, the bill ultimately did not progress in the House and was not enacted into law.

Conclusion

Senate Bill 441 represented an effort to regulate the healthcare discount card industry in Arkansas, aiming to prevent misleading practices and protect consumers. However, its failure to pass in the House means that the proposed protections were not implemented.

Compiled from official sources — confirm details with the bill’s official record.

Sign in to ask a question.