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Tennessee Introduces Bill to Ban 'Algorithmic Pricing'
Proposed legislation aims to prohibit companies from using personal data to set variable prices.
Published on Feb. 28, 2026
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A new bill introduced in the Tennessee state legislature would ban companies from using 'personalized algorithmic pricing' and setting prices based on consumers' personal data. The bill, sponsored by Democratic Rep. John Ray Clemmons, is aimed at addressing the affordability crisis facing many Tennesseans by preventing businesses from charging different prices to different individuals for the same goods or services.
Why it matters
Algorithmic pricing, where companies use artificial intelligence and machine learning to analyze personal data and set customized prices, has become a growing concern for consumer advocates. This practice can result in some customers being charged more than others for the same products, which is seen as inherently unfair. Similar legislation has already been passed in California and New York.
The details
The proposed bill would prohibit companies from using personalized data to set variable pricing, with exceptions for insurance and services like Uber or airline tickets. Rep. Clemmons said the goal is to 'save people some money' and address affordability issues in the state. The bill has garnered bipartisan support, with dozens of co-sponsors, and would likely go into effect in July 2026 if passed.
- The Tennessee bill was introduced in the state legislature this year (2026).
- If passed, the ban on algorithmic pricing would likely go into effect in July 2026.
The players
Rep. John Ray Clemmons
Tennessee House Democratic Caucus Chairman, who introduced the bill to ban algorithmic pricing in the state.
Matt Moran
A Nashville resident who has experienced personalized pricing and finds it both convenient and 'creepy'.
What they’re saying
“A lot of people don't know about it, but this is something that's been going on for years.”
— Rep. John Ray Clemmons, Tennessee House Democratic Caucus Chairman (wsmv.com)
“They use artificial intelligence or machine learning to analyze your personal consumer data to then figure out what's the maximum amount you're willing to pay for a good or a service. You could be charged more for the same good than I would be charged at the exact same moment. That's just inherently unfair.”
— Rep. John Ray Clemmons, Tennessee House Democratic Caucus Chairman (wsmv.com)
“On the one hand, it's kind of nice because I take advantage of it. But on the other, it's also creepy. It feels like Big Brother is listening all the dang time.”
— Matt Moran (wsmv.com)
What’s next
House Bill 1468 is still working its way through the Tennessee legislature, but if it passes, the ban on algorithmic pricing would likely go into effect in July 2026.
The takeaway
This proposed legislation in Tennessee highlights the growing concerns around the use of personal data and algorithmic pricing, which can lead to unfair and discriminatory pricing practices. If passed, the bill would make Tennessee the third state, after California and New York, to ban this practice, setting a precedent that could inspire similar efforts in other states.
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