This bill establishes a new chapter titled "Veterans' Protection" within the existing "Deceptive Trade Practices" law, aimed at safeguarding veterans seeking disability benefits from unethical conduct and the collection of fees by individuals advising or assisting them in filing claims with the Department of Veterans Affairs.

The bill introduces definitions for key terms, including "compensation," which refers to any payment or financial benefit, and "veterans benefits matter," which encompasses the preparation, presentation, or prosecution of claims for benefits administered by the United States Department of Veterans Affairs or the Department of Defense.

Under the new provisions, no person shall receive compensation for assisting veterans with veterans' benefits matters unless permitted under Title 38 of the United States Code. Additionally, individuals are prohibited from receiving compensation for referring veterans to others for assistance with these matters. However, the bill allows for fee divisions between attorneys as permitted by the American Bar Association's Model Rules of Professional Conduct.

The bill also mandates that individuals receiving compensation for assisting veterans adhere to ethical standards related to advertising, client solicitation, confidentiality, duty of care, duty of honesty, and the duty to act in the best interest of the client. Violations of these provisions are classified as unfair or deceptive acts, subjecting violators to civil penalties as outlined in the existing deceptive trade practices law. Furthermore, any contracts entered into in violation of these prohibitions will be deemed void and unenforceable.

The act is set to take effect on March 31, 2026.

Statutes affected:
71: 6-13.1-1
71  SUB A: 6-13.1-1
71  SUB A as amended: 6-13.1-1