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Newsom Takes Aim At Veterans 'Claim Sharks' As He Signs Law Banning Fees For Help With VA

California bans unaccredited firms from charging veterans for VA claims help to protect finances; fees previously reached $10,000 or more, advocates said.

  • Today, Gov. Gavin Newsom signed a law banning unaccredited private claims consulting companies from charging veterans for Department of Veterans Affairs help, requiring compliance by the end of the year to protect veterans' income.
  • Amid a slow VA claims process, Congress removed criminal penalties 20 years ago, enabling private firms offering paid assistance to veterans to proliferate.
  • State records show two firms spent $150,000 and $371,821 lobbying, while consulting fees can reach $10,000 and lawmakers heard 99 speakers in 4 hours and 39 minutes of hearings.
  • Claims consulting companies responded by saying laws like California's are existential threats; Veterans Benefit Guide sued over fee bans, while advocates say the law helps veterans keep more benefits.
  • On the state level, California joins 11 states that have moved to ban fee-charging firms, while a separate group of mostly Republican-led states has legalized them, reflecting a national split.
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SACRAMENTO — Governor Gavin Newsom on Monday signed legislation aimed at combating veterans' benefits consultants labeled "predators," sparking a sharp divide among state leaders, who call the measure…

Hanford SentinelHanford Sentinel
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Newsom takes aim at veterans ‘claim sharks’ as he signs law banning fees for help with VA

A booming industry that charges veterans for help in obtaining the benefits they earned through military service must shut down or dramatically change its business model in California by the end of the year under a new law Gov. Gavin…

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San Diego Union Tribune broke the news in San Diego, United States on Tuesday, February 10, 2026.
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