Senate Bill 2458 establishes a regulatory framework for delivery network companies (DNCs) in Tennessee, defining key terms such as "delivery network company," "DNC customer," and "DNC driver." The bill mandates that DNCs maintain an agent for service of process in the state and outlines specific operational requirements, including the provision of estimated rates for delivery services, the display of driver information, and the implementation of a zero-tolerance policy for drug and alcohol use among drivers. Additionally, DNCs are required to conduct background checks on potential drivers and maintain records related to driver activity and customer complaints.
The bill also sets forth automobile liability insurance requirements for DNC drivers, stipulating minimum coverage levels while drivers are logged into the DNC's digital network and while providing delivery services. It prohibits DNCs from allowing drivers with certain criminal convictions to operate on their platforms and mandates that all payments for delivery services be made electronically, prohibiting cash transactions. Furthermore, the bill emphasizes nondiscrimination policies and the protection of customer information, ensuring that DNCs do not disclose personally identifiable information without consent, except under specific circumstances. The provisions of this act will take effect on July 1, 2026.