Assembly Bill A4002

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   4002
 
                        2025-2026 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             January 30, 2025
                                ___________
 
 Introduced  by  M.  of  A.  ROSENTHAL  --  read once and referred to the
   Committee on Governmental Operations
 
 AN ACT to amend the executive law, in relation to prohibiting the use of
   discriminatory advertisement practices in housing
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Subdivision  2-a  of  section 296 of the executive law is
 amended by adding a new paragraph (c-2) to read as follows:
   (C-2) (1) TO UTILIZE ANY OF  THE  FOLLOWING  TECHNIQUES  IN  TARGETING
 DIGITAL  ADVERTISEMENTS  INTENDED  TO  PROMOTE, MARKET, OR OFFER HOUSING
 OPPORTUNITIES, INCLUDING RENTALS, SALES, OR RELATED SERVICES:  TARGETING
 OF  ADVERTISEMENT  AUDIENCES  BASED  ON  AGE, RACE, GENDER, OR ZIP CODE,
 TARGETING BY LOCATION WITH LESS THAN A  FIFTEEN-MILE  RADIUS,  TARGETING
 ADVERTISEMENTS  USING  CATEGORIES  REFERENCING CAUSES, ORGANIZATIONS, OR
 PUBLIC FIGURES THAT RELATE  TO  HEALTH,  RACE  OR  ETHNICITY,  POLITICAL
 AFFILIATION, RELIGION, OR SEXUAL ORIENTATION, AND USING TOOLS THAT ALLOW
 AN  ADVERTISER  TO GENERATE AN ADVERTISEMENT AUDIENCE THAT RESEMBLES THE
 COMPOSITION OF A SEED AUDIENCE OF USERS PROVIDED BY THE ADVERTISER.   IT
 SHALL  BE  FURTHER PROHIBITED TO USE ANY DIGITAL ADVERTISEMENT TARGETING
 TECHNIQUE THAT HAS THE PURPOSE OR EFFECT OF DISCRIMINATING  AGAINST  ANY
 PERSON OR GROUP BASED ON ANY PROTECTED CHARACTERISTIC LISTED UNDER PARA-
 GRAPH  (A)  OF  THIS  SUBDIVISION.  IN ORDER TO ENSURE THAT SUCH LIST OF
 PROHIBITED TARGETING TECHNIQUES REMAINS CURRENT, THE DIVISION SHALL HAVE
 THE AUTHORITY TO ISSUE REGULATIONS PROHIBITING  THE  USE  OF  ADDITIONAL
 TARGETING  TECHNIQUES.  THE DIVISION SHALL CONDUCT A REVIEW OF TARGETING
 TECHNIQUES NO LESS THAN ONCE EVERY TWO YEARS THAT SHALL  ASSESS  TECHNO-
 LOGICAL DEVELOPMENTS IN DIGITAL ADVERTISING TARGETING TECHNIQUES, EVALU-
 ATE  THE  POTENTIAL DISCRIMINATORY IMPACTS OF NEW TECHNOLOGICAL DEVELOP-
 MENTS AND NEW POTENTIALLY  DISCRIMINATORY  USES  OF  EXISTING  TARGETING
 TECHNIQUES, AND PROMULGATE REGULATIONS TO PREVENT THE USE OF DISCRIMINA-
 TORY  AND  POTENTIALLY  DISCRIMINATORY  TARGETING TECHNIQUES. COMPLAINTS
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD02499-01-5
              

 A. 4002                             2
 
 ALLEGING DISCRIMINATORY  PRACTICES  BY  DIGITAL  ADVERTISING  PLATFORMS,
 INCLUDING  BUT  NOT LIMITED TO, UNLAWFUL TARGETING TECHNIQUES OR THE USE
 OF TARGETING TECHNIQUES WITH DISCRIMINATORY EFFECT,  SHALL  BE  INVESTI-
 GATED  AND  ADJUDICATED  PURSUANT TO SECTION TWO HUNDRED NINETY-SEVEN OF
 THIS ARTICLE.
   (2) FOR THE PURPOSES OF THIS SUBDIVISION, THE  FOLLOWING  TERMS  SHALL
 HAVE THE FOLLOWING MEANINGS:
   (I) "DIGITAL ADVERTISEMENT" MEANS ANY COMMUNICATION DELIVERED BY ELEC-
 TRONIC  MEANS THAT IS INTENDED TO BE USED FOR THE PURPOSES OF MARKETING,
 SOLICITATION, OR DISSEMINATION OF INFORMATION RELATED, DIRECTLY OR INDI-
 RECTLY, TO GOODS OR SERVICES PROVIDED BY THE  DIGITAL  ADVERTISER  OR  A
 THIRD PARTY.
   (II) "SEED AUDIENCE" MEANS A GROUP OF USERS PROVIDED BY THE ADVERTISER
 THAT  SERVES  AS THE BASIS FOR CREATING A BROADER AUDIENCE OF USERS WITH
 SIMILAR ATTRIBUTES, CHARACTERISTICS AND BEHAVIORS TO THE SEED AUDIENCE.
   (III) "TARGETING" MEANS USING DATA ABOUT USERS TO SELECT  AND  DISPLAY
 DIGITAL  ADVERTISEMENTS  OR  OTHER  FORMS  OF  COMMERCIAL  CONTENT.   IT
 INCLUDES, BUT IS NOT LIMITED TO, CONTEXTUAL  ADVERTISING  BASED  ON  THE
 CONTENT  OF THE WEBPAGES AND KEYWORDS USED IN SEARCHES, SEGMENTED ADVER-
 TISING BASED ON KNOWN CHARACTERISTICS  OF  INDIVIDUALS,  AND  BEHAVIORAL
 ADVERTISING BASED ON OBSERVED BEHAVIOR.
   §  2.  Section  295  of  the  executive law is amended by adding a new
 subdivision 19 to read as follows:
   19. TO COMPEL A DIGITAL ADVERTISING  PLATFORM  TO  GIVE  THE  DIVISION
 ACCESS  TO  THE  UNDERLYING  ALGORITHMS  AND/OR  TECHNIQUES USED BY SUCH
 DIGITAL ADVERTISING PLATFORM FOR ADVERTISEMENT TARGETING IN RESPONSE  TO
 A  CREDIBLE  COMPLAINT  AGAINST A DIGITAL ADVERTISING PLATFORM AND/OR AS
 PART OF THE MANDATORY BIENNIAL REVIEW  REQUIRED  PURSUANT  TO  PARAGRAPH
 (C-2)  OF  SUBDIVISION  TWO-A  OF SECTION TWO HUNDRED NINETY-SIX OF THIS
 ARTICLE. THE DIVISION MAY CONDUCT  AN  AUDIT  OF  THE  UNDERLYING  DATA,
 SOURCE CODE, AND/OR ANY OTHER SIMILAR INFORMATION NECESSARY TO DETERMINE
 WHETHER  A  VIOLATION  OF  SUCH  PROVISIONS  OF  THIS  SECTION  MAY HAVE
 OCCURRED. AT THE CONCLUSION OF SUCH AUDIT, THE DIVISION MAY COMPEL  SUCH
 DIGITAL  ADVERTISING  PLATFORM  TO MAKE ANY NECESSARY CHANGES TO PREVENT
 THE ALGORITHM OR TECHNIQUE  FROM  PRODUCING  DISCRIMINATORY  RESULTS  IN
 ADVERTISEMENT  TARGETING.    THE DIGITAL ADVERTISING PLATFORM SHALL HAVE
 SIXTY DAYS TO APPEAL SUCH ORDER TO THE NEW YORK STATE SUPREME COURT. FOR
 THE PURPOSES OF THIS SUBDIVISION, "DIGITAL ADVERTISING PLATFORM" MEANS A
 PUBLIC-FACING INTERNET WEBSITE, WEB APPLICATION, OR DIGITAL APPLICATION,
 INCLUDING A SOCIAL NETWORK, AD NETWORK, OR  SEARCH  ENGINE,  THAT  SELLS
 ADVERTISEMENTS EITHER DIRECTLY TO ADVERTISERS OR TO INTERMEDIARIES.
   § 3. This act shall take effect immediately.