State Government - As introduced, prohibits a person, political subdivision, or public official, in connection with a state emergency, from categorizing or proclaiming by order, rule, or regulation that a lawful occupation is non-essential, or otherwise proclaiming by order, rule, or regulation that a lawful occupation is prohibited from operating based on what the lawful occupation is; specifies that a person harmed by a violation of the prohibition may bring a civil action for actual damages or declaratory relief. - Amends TCA Title 58, Chapter 2.

HB 562 prohibits state or local governments from declaring lawful businesses or occupations "non-essential" during emergencies (or at any time) through orders, rules, or regulations. It directly affects businesses operating legally under Tennessee law, ensuring they cannot be unjustly shut down based solely on such classifications. The bill allows harmed businesses to sue for actual damages or a court declaration of rights, with prevailing parties awarded legal fees. This law applies to all state emergencies starting July 1, 2025, but does not prevent restrictions for violations of state or federal law.