Senate Bill 2163, also known as House Bill 2272, amends Tennessee law regarding the liability of celebrities who endorse alcoholic beverage brands or businesses. The bill establishes that a celebrity endorsement does not equate to ownership of the brand or business, thereby protecting celebrities from liability for damages resulting from the sale of endorsed alcoholic beverages. The legislation introduces definitions for terms such as "alcoholic beverage brand," "celebrity," and "celebrity endorsement agreement," and outlines the criteria a celebrity must meet to enter into such agreements, including age, citizenship, and a clean legal record concerning alcohol-related offenses.
Furthermore, the bill clarifies that a celebrity's endorsement and any associated compensation do not imply ownership interest in the alcoholic beverage brand or establishment, provided the celebrity has no ownership stake and is not involved in the management or operations of the business. It also specifies that a celebrity will not be held liable for claims related to the actions of the endorsed brand or establishment unless they are directly involved in the sale or management of the alcoholic beverages. The act is set to take effect upon becoming law, emphasizing the public welfare.