State News : Tennessee

NWCDN is a network of law firms dedicated to protecting employers in workers’ compensation claims.


NWCDN Members regularly post articles and summary judgements in workers’ compensations law in your state.  


Select a state from the dropdown menu below to scroll through the state specific archives for updates and opinions on various workers’ compensation laws in your state.


Contact information for NWCDN members is also located on the state specific links in the event you have additional questions or your company is seeking a workers’ compensation lawyer in your state.


Tennessee

WIMBERLY LAWSON WRIGHT DAVES & JONES, PLLC

  931-372-9181

May 2026

Tennessee Legislature Revises Statutory Standards for Award of Attorney’s Fees

Under the Tennessee Workers’ Compensation Law, the standard model for awarding fees to attorneys who represent injured workers is for the attorney to take the fee out of the employee’s settlement or court award – up to 20%.  However, there are some circumstances where the Court can order the Employer to pay attorney’s fees and costs to the Employee’s attorney.

Under TCA section 50-6-226(d)(1), in addition to the standard 20% attorney fee described above, the Court has authority to order an Employer to pay reasonable attorney’s fees and reasonable costs to the Employee’s attorney when the Employer unreasonably denies a claim or unreasonably fails to pay any type of workers’ compensation benefit.

When that statute was enacted several years ago, there was a concern among Employers that this provision would open the door to frequent attorney fee awards on denied claims, but that did not happen because the Workers’ Compensation Appeals Board interpreted this provision very narrowly. The Board cautioned that attorney’s fees should very rarely be awarded under this provision at the expedited hearing level and should generally be deferred until the compensation hearing at the end of the case. Effectively, that meant that this provision was utilized very infrequently by the Court. But that may be about to change….

Tennessee Governor Bill Lee signed Tennessee Public Chapter 845 on April 27, 2026, which reinforces a Court’s ability to award attorney’s fees and costs under this section – especially at the expedited hearing level. The new law states that if the workers’ compensation judge conducting an expedited hearing concludes that the Employer unreasonably denied the claim or unreasonably failed to provide workers’ compensation benefits, then the court may award attorney’s fees and costs at that time. In addition, if the judge finds that the evidence of such unreasonableness is clear and convincing, then the award of attorney’s fees and costs must not be deferred to the compensation hearing.

This new law applies to injuries on or after July 1, 2026.

Clearly, this new law is intended to make it easier and more likely that a workers’ compensation judge will be able to award attorney’s fees and costs at the expedited hearing level. While the new statute includes a slightly increased “clear and convincing” standard, this still may not be enough to prevent a significant increase in attorney’s fee awards.

Employers and Carriers should take greater caution when denying claims and/or denying the payment of workers’ compensation benefits, and they should ensure that they are analyzing potential awards of attorney’s fees and costs if the denials are not upheld by the Court.

For any questions, please contact:
Fredrick R. Baker, Member
Wimberly Lawson Wright Daves & Jones, PLLC
1420 Neal Street, Suite 201
P.O. Box 655
Cookeville, TN 38503-0655
Phone: 931-372-9123
Fax: 931-372-9181
fbaker@wimberlylawson.com
www.wimberlylawson.com