New Federal Bill Bans Paid Conversion Therapy, Treating It as Consumer Fraud

The new Therapeutic Fraud Prevention Act of 2025 is straightforward: it aims to federally ban the practice of conversion therapy—any paid service trying to change a person’s sexual orientation or gender identity. The bill’s core premise, laid out right in Section 2, is that being LGBTQ+ is not a disease or flaw, and since conversion therapy is scientifically proven to be ineffective and harmful, it should be treated as consumer fraud.

The FTC Gets Involved: Treating Harm as a Scam

This isn't just a moral statement; it's a regulatory move. The Act hands enforcement power to the Federal Trade Commission (FTC), treating the provision of conversion therapy as an "unfair or deceptive act or practice" under the FTC Act (SEC. 4). This is key because it means that practitioners selling these services can be hit with the same penalties and enforcement actions that the FTC uses against companies selling snake oil or running scams.

Think of it this way: if a company sells you a product that promises to fix your car but actually breaks the engine, the FTC steps in. This bill applies that same logic to conversion therapy. If you’re paying someone to “fix” your identity, and the practice is proven to be harmful and ineffective, the federal government is saying that’s a fraudulent business transaction. This provides a clear, powerful enforcement mechanism, allowing the FTC, the U.S. Attorney General, and even State Attorneys General to sue violators.

What Exactly Is Banned (and What Isn’t)

The definition of "conversion therapy" is narrow and specific (SEC. 3). It applies only to practices offered for compensation that attempt to change a person's sexual orientation or gender identity. This means it targets the professional, paid industry built around these practices.

Crucially, the bill carves out exceptions. It does not ban generalized mental health support that is neutral on identity, or treatments for people going through gender transition. For example, a therapist helping a client explore their identity, cope with family rejection, or develop healthy relationships is specifically not conversion therapy under this bill. The law targets the attempt to force a change, not the provision of supportive care. It also includes exceptions for practices protected by the First Amendment, which attempts to balance the ban with free speech protections.

Real-World Impact: Protection for Vulnerable Consumers

For most people, this bill means that services claiming to “cure” or “fix” an LGBTQ+ identity will be illegal at the federal level. For a young person or a parent seeking help, this provides a legal shield against fraudulent and dangerous practices that have been linked to severe mental health crises, including suicide (SEC. 2).

If the bill passes, it would also ban advertising that claims a service can reduce same-sex attractions or is “harmless” or “risk-free.” This cuts off the marketing pipeline for these services. While the bill’s reliance on the FTC’s consumer protection framework is strong, the definition of what constitutes “knowingly helping or facilitating” conversion therapy could be a point of debate in court, potentially affecting administrative staff or related entities. However, the overall goal is clear: to protect consumers from paying for a service that is both medically baseless and psychologically damaging.