S T A T E   O F   N E W   Y O R K
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                                  6789--B
                                                            R. R. 243
 
                        2023-2024 Regular Sessions
 
                           I N  A S S E M B L Y
 
                                May 8, 2023
                                ___________
 
 Introduced  by M. of A. LEE, DICKENS, K. BROWN, SHIMSKY, GONZALEZ-ROJAS,
   WEPRIN, COLTON, SIMONE,  GLICK,  SIMON,  LAVINE,  SEAWRIGHT,  BURDICK,
   RAJKUMAR, ROZIC, L. ROSENTHAL -- read once and referred to the Commit-
   tee  on  Consumer Affairs and Protection -- committee discharged, bill
   amended, ordered reprinted as amended and recommitted to said  commit-
   tee -- recommitted to the Committee on Consumer Affairs and Protection
   in accordance with Assembly Rule 3, sec. 2 -- reported and referred to
   the  Committee  on  Codes -- reported and referred to the Committee on
   Ways and Means -- reported and referred to the Committee on  Rules  --
   ordered  to  a  third reading -- amended on the special order of third
   reading, ordered reprinted as amended,  retaining  its  place  on  the
   special order of third reading
 
 AN  ACT  to  amend  the  general  business law, in relation to requiring
   disclosure of certain social media terms of service
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. The general business law is amended by adding a new article
 42 to read as follows:
                                ARTICLE 42
                       SOCIAL MEDIA TERMS OF SERVICE
 SECTION 1100. DEFINITIONS.
         1101. REQUIRED DISCLOSURE OF TERMS OF SERVICE.
         1102. TERMS OF SERVICE REPORT.
         1103. VIOLATIONS AND REMEDIES.
         1104. APPLICATION.
   § 1100. DEFINITIONS. FOR PURPOSES OF THIS ARTICLE, THE FOLLOWING DEFI-
 NITIONS APPLY:
   1. "ACTIONED" MEANS A SOCIAL MEDIA COMPANY, THAT DUE TO A SUSPECTED OR
 CONFIRMED  VIOLATION  OF  THE  TERMS  OF SERVICE, HAS TAKEN SOME FORM OF
 ACTION, INCLUDING, BUT NOT LIMITED TO, REMOVAL, DEMONETIZATION, DEPRIOR-
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD03659-05-4
              
             
                          
                 A. 6789--B                          2
 
 ITIZATION, OR BANNING, AGAINST THE RELEVANT USER  OR  RELEVANT  ITEM  OF
 CONTENT.
   2. "CONTENT" MEANS STATEMENTS OR COMMENTS MADE BY USERS AND MEDIA THAT
 ARE  CREATED, POSTED, LIVESTREAMED, SHARED, OR OTHERWISE INTERACTED WITH
 BY USERS ON AN INTERNET-BASED SERVICE OR APPLICATION. "CONTENT" DOES NOT
 INCLUDE MEDIA PUT ON  A  SERVICE  OR  APPLICATION  EXCLUSIVELY  FOR  THE
 PURPOSE OF CLOUD STORAGE, TRANSMITTING FILES, OR FILE COLLABORATION.
   3.  "PUBLIC  OR  SEMIPUBLIC  INTERNET-BASED  SERVICE  OR  APPLICATION"
 EXCLUDES A SERVICE OR APPLICATION USED TO FACILITATE COMMUNICATION WITH-
 IN A BUSINESS OR ENTERPRISE AMONG EMPLOYEES OR AFFILIATES OF  THE  BUSI-
 NESS  OR  ENTERPRISE, PROVIDED THAT ACCESS TO THE SERVICE OR APPLICATION
 IS RESTRICTED TO EMPLOYEES OR AFFILIATES OF THE BUSINESS  OR  ENTERPRISE
 USING THE SERVICE OR APPLICATION.
   4.  "SOCIAL MEDIA COMPANY" MEANS A PERSON OR ENTITY THAT OWNS OR OPER-
 ATES ONE OR MORE SOCIAL MEDIA PLATFORMS.
   5. "SOCIAL MEDIA PLATFORM" MEANS A PUBLIC OR SEMIPUBLIC INTERNET-BASED
 SERVICE OR APPLICATION THAT HAS USERS IN NEW YORK AND THAT MEETS BOTH OF
 THE FOLLOWING CRITERIA:
   (A) A SUBSTANTIAL FUNCTION OF THE SERVICE OR APPLICATION IS TO CONNECT
 USERS IN ORDER TO ALLOW USERS TO INTERACT SOCIALLY WITH EACH OTHER WITH-
 IN THE SERVICE OR APPLICATION. A SERVICE OR  APPLICATION  THAT  PROVIDES
 EMAIL  OR DIRECT MESSAGING SERVICES SHALL NOT BE CONSIDERED TO MEET THIS
 CRITERION ON THE BASIS OF THAT FUNCTION ALONE.
   (B) THE SERVICE OR APPLICATION ALLOWS USERS TO DO ALL OF  THE  FOLLOW-
 ING:
   (I)  CONSTRUCT  A PUBLIC OR SEMIPUBLIC PROFILE FOR PURPOSES OF SIGNING
 INTO AND USING THE SERVICE OR APPLICATION;
   (II) POPULATE A LIST OF OTHER USERS WITH WHOM AN INDIVIDUAL  SHARES  A
 SOCIAL CONNECTION WITHIN THE SYSTEM; AND
   (III)  CREATE  OR  POST  CONTENT  VIEWABLE  OR AUDIBLE BY OTHER USERS,
 INCLUDING, BUT NOT LIMITED TO, LIVESTREAMS, ON MESSAGE BOARDS,  IN  CHAT
 ROOMS,  OR  THROUGH  A  LANDING PAGE OR MAIN FEED THAT PRESENTS THE USER
 WITH CONTENT GENERATED BY OTHER USERS.
   6. "TERMS OF SERVICE" MEANS A POLICY OR SET OF POLICIES ADOPTED  BY  A
 SOCIAL  MEDIA  COMPANY  THAT  SPECIFIES, AT LEAST, THE USER BEHAVIOR AND
 ACTIVITIES THAT ARE PERMITTED ON THE  INTERNET-BASED  SERVICE  OWNED  OR
 OPERATED  BY  THE SOCIAL MEDIA COMPANY, AND THE USER BEHAVIOR AND ACTIV-
 ITIES THAT MAY SUBJECT THE USER OR AN ITEM OF CONTENT TO BEING ACTIONED.
   § 1101. REQUIRED DISCLOSURE OF TERMS OF SERVICE.  1.  A  SOCIAL  MEDIA
 COMPANY SHALL POST TERMS OF SERVICE FOR EACH SOCIAL MEDIA PLATFORM OWNED
 OR OPERATED BY THE COMPANY IN A MANNER REASONABLY DESIGNED TO INFORM ALL
 USERS  OF THE SOCIAL MEDIA PLATFORM OF THE EXISTENCE AND CONTENTS OF THE
 TERMS OF SERVICE.
   2. THE TERMS OF SERVICE POSTED PURSUANT TO  SUBDIVISION  ONE  OF  THIS
 SECTION SHALL INCLUDE ALL OF THE FOLLOWING:
   (A)  CONTACT  INFORMATION FOR THE PURPOSE OF ALLOWING USERS TO ASK THE
 SOCIAL MEDIA COMPANY QUESTIONS ABOUT THE TERMS OF SERVICE;
   (B) A DESCRIPTION OF THE  PROCESS  THAT  USERS  MUST  FOLLOW  TO  FLAG
 CONTENT,  GROUPS,  OR OTHER USERS THAT THEY BELIEVE VIOLATE THE TERMS OF
 SERVICE, AND THE SOCIAL MEDIA  COMPANY'S  COMMITMENTS  ON  RESPONSE  AND
 RESOLUTION TIME; AND
   (C)  A  LIST  OF  POTENTIAL  ACTIONS THE SOCIAL MEDIA COMPANY MAY TAKE
 AGAINST AN ITEM OF CONTENT OR A USER, INCLUDING,  BUT  NOT  LIMITED  TO,
 REMOVAL, DEMONETIZATION, DEPRIORITIZATION, OR BANNING.
   3.  THE  TERMS  OF  SERVICE POSTED PURSUANT TO SUBDIVISION ONE OF THIS
 SECTION SHALL  BE  AVAILABLE  IN  THE  TWELVE  MOST  COMMON  NON-ENGLISH
 A. 6789--B                          3
 
 LANGUAGES SPOKEN BY LIMITED-ENGLISH PROFICIENT INDIVIDUALS IN THE STATE,
 AS  OUTLINED IN SECTION TWO HUNDRED TWO-A OF THE EXECUTIVE LAW, IN WHICH
 THE SOCIAL MEDIA PLATFORM OFFERS PRODUCT FEATURES,  INCLUDING,  BUT  NOT
 LIMITED TO, MENUS AND PROMPTS.
   § 1102. TERMS  OF  SERVICE REPORT. 1. ON A SEMIANNUAL BASIS IN ACCORD-
 ANCE WITH SUBDIVISION TWO OF THIS SECTION, A SOCIAL MEDIA COMPANY  SHALL
 SUBMIT  TO  THE ATTORNEY GENERAL A TERMS OF SERVICE REPORT. THE TERMS OF
 SERVICE REPORT SHALL INCLUDE, FOR EACH SOCIAL MEDIA  PLATFORM  OWNED  OR
 OPERATED BY THE COMPANY, ALL OF THE FOLLOWING:
   (A)  THE  CURRENT  VERSION OF THE TERMS OF SERVICE OF THE SOCIAL MEDIA
 PLATFORM.
   (B) IF A SOCIAL MEDIA COMPANY HAS FILED ITS FIRST REPORT,  A  COMPLETE
 AND  DETAILED  DESCRIPTION  OF ANY CHANGES TO THE TERMS OF SERVICE SINCE
 THE PREVIOUS REPORT.
   (C) A STATEMENT OF WHETHER THE CURRENT VERSION OF THE TERMS OF SERVICE
 DEFINES EACH OF THE FOLLOWING CATEGORIES OF CONTENT,  AND,  IF  SO,  THE
 DEFINITIONS OF THOSE CATEGORIES, INCLUDING ANY SUBCATEGORIES:
   (I) HATE SPEECH OR RACISM;
   (II) EXTREMISM OR RADICALIZATION;
   (III) DISINFORMATION OR MISINFORMATION;
   (IV) HARASSMENT; AND/OR
   (V) FOREIGN POLITICAL INTERFERENCE.
   (D) A DETAILED DESCRIPTION OF CONTENT MODERATION PRACTICES USED BY THE
 SOCIAL  MEDIA  COMPANY FOR THAT PLATFORM, INCLUDING, BUT NOT LIMITED TO,
 ALL OF THE FOLLOWING:
   (I) ANY EXISTING  POLICIES  INTENDED  TO  ADDRESS  THE  CATEGORIES  OF
 CONTENT DESCRIBED IN PARAGRAPH (C) OF THIS SUBDIVISION;
   (II) HOW AUTOMATED CONTENT MODERATION SYSTEMS ENFORCE TERMS OF SERVICE
 OF  THE  SOCIAL  MEDIA  PLATFORM  AND  WHEN  THESE SYSTEMS INVOLVE HUMAN
 REVIEW;
   (III) HOW THE  SOCIAL  MEDIA  COMPANY  RESPONDS  TO  USER  REPORTS  OF
 VIOLATIONS OF THE TERMS OF SERVICE;
   (IV)  HOW  THE  SOCIAL MEDIA COMPANY WOULD REMOVE INDIVIDUAL PIECES OF
 CONTENT, USERS, OR GROUPS THAT VIOLATE THE TERMS  OF  SERVICE,  OR  TAKE
 BROADER  ACTION AGAINST INDIVIDUAL USERS OR AGAINST GROUPS OF USERS THAT
 VIOLATE THE TERMS OF SERVICE; AND
   (V) THE LANGUAGES IN WHICH THE SOCIAL MEDIA  PLATFORM  DOES  NOT  MAKE
 TERMS  OF SERVICE AVAILABLE, BUT DOES OFFER PRODUCT FEATURES, INCLUDING,
 BUT NOT LIMITED TO, MENUS AND PROMPTS.
   (E) (I) INFORMATION ON CONTENT THAT WAS FLAGGED BY  THE  SOCIAL  MEDIA
 COMPANY AS CONTENT BELONGING TO ANY OF THE CATEGORIES DESCRIBED IN PARA-
 GRAPH (C) OF THIS SUBDIVISION, INCLUDING ALL OF THE FOLLOWING:
   (A) THE TOTAL NUMBER OF FLAGGED ITEMS OF CONTENT;
   (B) THE TOTAL NUMBER OF ACTIONED ITEMS OF CONTENT;
   (C)  THE  TOTAL  NUMBER  OF ACTIONED ITEMS OF CONTENT THAT RESULTED IN
 ACTION TAKEN BY THE SOCIAL MEDIA COMPANY AGAINST THE USER  OR  GROUP  OF
 USERS RESPONSIBLE FOR THE CONTENT;
   (D)  THE  TOTAL NUMBER OF ACTIONED ITEMS OF CONTENT THAT WERE REMOVED,
 DEMONETIZED, OR DEPRIORITIZED BY THE SOCIAL MEDIA COMPANY;
   (E) THE NUMBER OF TIMES ACTIONED ITEMS OF CONTENT WERE VIEWED OR HEARD
 BY USERS;
   (F) THE NUMBER OF TIMES ACTIONED ITEMS OF CONTENT WERE SHARED, AND THE
 NUMBER OF USERS THAT VIEWED OR HEARD THE CONTENT BEFORE IT WAS ACTIONED;
 AND
 A. 6789--B                          4
 
   (G) THE NUMBER OF TIMES USERS APPEALED SOCIAL  MEDIA  COMPANY  ACTIONS
 TAKEN  ON  THAT  PLATFORM  AND  THE  NUMBER OF REVERSALS OF SOCIAL MEDIA
 COMPANY ACTIONS ON APPEAL DISAGGREGATED BY EACH TYPE OF ACTION.
   (II)  ALL  INFORMATION  REQUIRED BY SUBPARAGRAPH (I) OF THIS PARAGRAPH
 SHALL BE DISAGGREGATED INTO THE FOLLOWING CATEGORIES:
   (A)  THE  CATEGORY  OF  CONTENT,  INCLUDING  ANY  RELEVANT  CATEGORIES
 DESCRIBED IN PARAGRAPH (C) OF THIS SUBDIVISION;
   (B)  THE TYPE OF CONTENT, INCLUDING, BUT NOT LIMITED TO, POSTS, LIVES-
 TREAMS, COMMENTS, MESSAGES, PROFILES OF USERS, OR GROUPS OF USERS;
   (C) THE TYPE OF MEDIA OF THE CONTENT, INCLUDING, BUT NOT  LIMITED  TO,
 TEXT, IMAGES, LIVESTREAMS, AND VIDEOS;
   (D)  HOW  THE  CONTENT  WAS  FLAGGED,  INCLUDING,  BUT NOT LIMITED TO,
 FLAGGED BY COMPANY  EMPLOYEES  OR  CONTRACTORS,  FLAGGED  BY  ARTIFICIAL
 INTELLIGENCE SOFTWARE, FLAGGED BY COMMUNITY MODERATORS, FLAGGED BY CIVIL
 SOCIETY PARTNERS, AND FLAGGED BY USERS; AND
   (E)  HOW  THE  CONTENT  WAS  ACTIONED,  INCLUDING, BUT NOT LIMITED TO,
 ACTIONED BY COMPANY EMPLOYEES OR  CONTRACTORS,  ACTIONED  BY  ARTIFICIAL
 INTELLIGENCE  SOFTWARE,  ACTIONED  BY  COMMUNITY MODERATORS, ACTIONED BY
 CIVIL SOCIETY PARTNERS, AND ACTIONED BY USERS.
   2. (A) A SOCIAL MEDIA COMPANY SHALL ELECTRONICALLY SUBMIT A SEMIANNUAL
 TERMS OF SERVICE REPORT PURSUANT TO SUBDIVISION  ONE  OF  THIS  SECTION,
 COVERING  ACTIVITY WITHIN THE THIRD AND FOURTH QUARTERS OF THE PRECEDING
 CALENDAR YEAR, TO THE ATTORNEY GENERAL NO LATER THAN APRIL FIRST OF EACH
 YEAR, AND SHALL ELECTRONICALLY SUBMIT  A  SEMIANNUAL  TERMS  OF  SERVICE
 REPORT  PURSUANT  TO  SUBDIVISION ONE OF THIS SECTION, COVERING ACTIVITY
 WITHIN THE FIRST AND SECOND QUARTERS OF THE CURRENT  CALENDAR  YEAR,  TO
 THE ATTORNEY GENERAL NO LATER THAN OCTOBER FIRST OF EACH YEAR.
   (B)  NOTWITHSTANDING PARAGRAPH (A) OF THIS SUBDIVISION, A SOCIAL MEDIA
 COMPANY SHALL ELECTRONICALLY SUBMIT ITS FIRST TERMS  OF  SERVICE  REPORT
 PURSUANT  TO  SUBDIVISION  ONE OF THIS SECTION, COVERING ACTIVITY WITHIN
 THE THIRD QUARTER OF TWO THOUSAND TWENTY-FIVE, TO THE  ATTORNEY  GENERAL
 NO  LATER  THAN  JANUARY FIRST, TWO THOUSAND TWENTY-SIX, AND SHALL ELEC-
 TRONICALLY SUBMIT ITS SECOND TERMS OF SERVICE REPORT PURSUANT TO  SUBDI-
 VISION  ONE OF THIS SECTION, COVERING ACTIVITY WITHIN THE FOURTH QUARTER
 OF TWO THOUSAND TWENTY-FIVE, TO THE ATTORNEY GENERAL NO LATER THAN APRIL
 FIRST, TWO THOUSAND TWENTY-SIX. A SOCIAL MEDIA PLATFORM SHALL SUBMIT ITS
 THIRD REPORT NO LATER THAN OCTOBER FIRST, TWO  THOUSAND  TWENTY-SIX,  IN
 ACCORDANCE WITH PARAGRAPH (A) OF THIS SUBDIVISION.
   3.  THE  ATTORNEY  GENERAL  SHALL  MAKE  ALL  TERMS OF SERVICE REPORTS
 SUBMITTED PURSUANT TO THIS SECTION AVAILABLE TO THE PUBLIC IN A SEARCHA-
 BLE REPOSITORY ON ITS OFFICIAL INTERNET WEBSITE.
   § 1103. VIOLATIONS AND REMEDIES. 1. (A) A SOCIAL  MEDIA  COMPANY  THAT
 VIOLATES  THE  PROVISIONS  OF  THIS  ARTICLE SHALL BE LIABLE FOR A CIVIL
 PENALTY NOT TO EXCEED FIFTEEN THOUSAND DOLLARS PER  VIOLATION  PER  DAY,
 AND MAY BE ENJOINED IN ANY COURT OF COMPETENT JURISDICTION.
   (B)  A  SOCIAL  MEDIA  COMPANY SHALL BE CONSIDERED IN VIOLATION OF THE
 PROVISIONS OF THIS ARTICLE FOR EACH DAY THE SOCIAL  MEDIA  COMPANY  DOES
 ANY OF THE FOLLOWING:
   (I)  FAILS  TO POST TERMS OF SERVICE IN ACCORDANCE WITH SECTION ELEVEN
 HUNDRED TWO OF THIS ARTICLE;
   (II) FAILS TO TIMELY SUBMIT TO THE ATTORNEY GENERAL A REPORT  REQUIRED
 PURSUANT TO SECTION ELEVEN HUNDRED TWO OF THIS ARTICLE; OR
   (III)  MATERIALLY  OMITS  OR  MISREPRESENTS  REQUIRED INFORMATION IN A
 REPORT SUBMITTED PURSUANT TO SECTION ELEVEN HUNDRED TWO OF THIS ARTICLE.
   (C) IN ASSESSING THE AMOUNT OF A CIVIL PENALTY PURSUANT  TO  PARAGRAPH
 (A)  OF  THIS  SUBDIVISION,  THE COURT SHALL CONSIDER WHETHER THE SOCIAL
 A. 6789--B                          5
 
 MEDIA COMPANY HAS MADE A REASONABLE, GOOD FAITH ATTEMPT TO  COMPLY  WITH
 THE PROVISIONS OF THIS ARTICLE.
   2.  ACTIONS  FOR  RELIEF  PURSUANT TO THIS ARTICLE SHALL BE PROSECUTED
 EXCLUSIVELY IN A COURT OF COMPETENT JURISDICTION BY THE ATTORNEY GENERAL
 IN THE NAME OF THE PEOPLE OF THE STATE OF NEW YORK.
   3. ANY SOCIAL MEDIA COMPANY DETERMINED TO HAVE VIOLATED THE PROVISIONS
 SET FORTH IN THIS ARTICLE SHALL BE  GRANTED  A  CURE  PERIOD  OF  THIRTY
 CALENDAR  DAYS  FROM  THE DATE OF NOTIFICATION OF SUCH VIOLATION. DURING
 THIS CURE PERIOD, THE COMPANY MUST TAKE ALL NECESSARY ACTIONS TO RECTIFY
 THE IDENTIFIED VIOLATION OR VIOLATIONS AND ACHIEVE FULL COMPLIANCE  WITH
 THE  REQUIREMENTS  DELINEATED  IN  THIS ARTICLE. NO CIVIL PENALTY MAY BE
 IMPOSED AGAINST THE COMPANY PROVIDED THE VIOLATION IS  VERIFIABLY  CURED
 WITHIN  THE  THIRTY-DAY  TIMEFRAME  TO THE SATISFACTION OF THE ENFORCING
 AUTHORITY.
   § 1104. APPLICATION. THIS ARTICLE SHALL NOT APPLY TO  A  SOCIAL  MEDIA
 COMPANY  THAT  GENERATED  LESS THAN ONE HUNDRED MILLION DOLLARS IN GROSS
 REVENUE DURING THE PRECEDING  CALENDAR  YEAR  OR  TO  AN  INTERNET-BASED
 SERVICE  OR APPLICATION FOR WHICH INTERACTIONS BETWEEN USERS ARE LIMITED
 TO  DIRECT  MESSAGES,  COMMERCIAL  TRANSACTIONS,  CONSUMER  REVIEWS   OF
 PRODUCTS, SELLERS, SERVICES, EVENTS, OR PLACES, OR ANY COMBINATION THER-
 EOF.
   § 2. This act shall take effect on the one hundred eightieth day after
 it shall have become a law.