Do Not Track Kids Act of 2018
This bill addresses the collection and publication of children's personal and geolocation information by operators of websites, online services or applications, or mobile applications directed to children or minors.
It also prohibits use of any such information to target marketing to children.
[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5930 Introduced in House (IH)]
<DOC>
115th CONGRESS
2d Session
H. R. 5930
To strengthen protections relating to the online collection, use, and
disclosure of personal information of children and minors, and for
other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
May 23, 2018
Mr. Barton (for himself and Mr. Rush) introduced the following bill;
which was referred to the Committee on Energy and Commerce
_______________________________________________________________________
A BILL
To strengthen protections relating to the online collection, use, and
disclosure of personal information of children and minors, and for
other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the ``Do Not Track Kids
Act of 2018''.
(b) Table of Contents.--The table of contents for this Act is as
follows:
Sec. 1. Short title; table of contents.
Sec. 2. Definitions.
Sec. 3. Online collection, use, and disclosure of personal information
of children and minors.
Sec. 4. Fair Information Practices Principles.
Sec. 5. Digital Marketing Bill of Rights for Minors.
Sec. 6. Targeted marketing to children or minors.
Sec. 7. Removal of content.
Sec. 8. Privacy dashboard for connected devices for children and
minors.
Sec. 9. Prohibition on sale of connected devices for children and
minors that fail to meet appropriate
cybersecurity and data security standards.
Sec. 10. Rule for treatment of users of websites, services, and
applications directed to children or
minors.
Sec. 11. Enforcement and applicability.
Sec. 12. Effective dates.
SEC. 2. DEFINITIONS.
(a) In General.--In this Act:
(1) Commission.--The term ``Commission'' means the Federal
Trade Commission.
(2) Standards.--The term ``standards'' means benchmarks,
guidelines, best practices, methodologies, procedures, and
processes.
(b) Other Definitions.--The definitions set forth in section 1302
of the Children's Online Privacy Protection Act of 1998 (15 U.S.C.
6501), as amended by section 3(a) of this Act, shall apply in this Act,
except to the extent the Commission provides otherwise by regulations
issued under section 553 of title 5, United States Code.
SEC. 3. ONLINE COLLECTION, USE, AND DISCLOSURE OF PERSONAL INFORMATION
OF CHILDREN AND MINORS.
(a) Definitions.--Section 1302 of the Children's Online Privacy
Protection Act of 1998 (15 U.S.C. 6501) is amended--
(1) by amending paragraph (2) to read as follows:
``(2) Operator.--The term `operator'--
``(A) means any person--
``(i) who, for commercial purposes, in
interstate or foreign commerce--
``(I) operates or provides a
website on the Internet, an online
service, an online application, or a
mobile application; or
``(II) manufactures a connected
device; and
``(ii) who--
``(I) collects or maintains, either
directly or through a service provider,
personal information from or about the
users of that website, service,
application, or connected device;
``(II) allows another person to
collect personal information directly
from users of that website, service,
application, or connected device (in
which case, the operator is deemed to
have collected the information); or
``(III) allows users of that
website, service, application, or
connected device to publicly disclose
personal information (in which case,
the operator is deemed to have
collected the information); and
``(B) does not include any nonprofit entity that
would otherwise be exempt from coverage under section 5
of the Federal Trade Commission Act (15 U.S.C. 45).'';
(2) in paragraph (4)--
(A) by amending subparagraph (A) to read as
follows:
``(A) the release of personal information collected
from a child or minor for any purpose, except where the
personal information is provided to a person other than
an operator who--
``(i) provides support for the internal
operations of the website, online service,
online application, or mobile application of
the operator, excluding any activity relating
to targeted marketing directed to children,
minors, or connected devices; and
``(ii) does not disclose or use that
personal information for any other purpose;
and''; and
(B) in subparagraph (B)--
(i) by inserting ``or minor'' after
``child'' each place the term appears;
(ii) by inserting ``or minors'' after
``children''; and
(iii) by striking ``website or online
service'' and inserting ``website, online
service, online application, or mobile
application'';
(3) in paragraph (8)--
(A) by amending subparagraph (G) to read as
follows:
``(G) information concerning a child or minor or
the parents of that child or minor (including any
unique or substantially unique identifier, such as a
customer number) that an operator collects online from
the child or minor and combines with an identifier
described in subparagraphs (A) through (G).'';
(B) by redesignating subparagraphs (F) and (G) as
subparagraphs (H) and (I), respectively; and
(C) by inserting after subparagraph (E) the
following:
``(F) information (including an Internet protocol
address) that permits the identification of--
``(i) an individual;
``(ii) a computer of an individual; or
``(iii) any other device used by an
individual to access the Internet or an online
service, online application, or mobile
application;
``(G) geolocation information;'';
(4) by amending paragraph (9) to read as follows:
``(9) Verifiable consent.--The term `verifiable consent'
means any reasonable effort (taking into consideration
available technology), including a request for authorization
for future collection, use, and disclosure described in the
notice, to ensure that, in the case of a child, a parent of the
child, or, in the case of a minor, the minor--
``(A) receives notice of the personal information
collection, use, and disclosure practices of the
operator; and
``(B) before the personal information of the child
or minor is collected, authorizes--
``(i) the collection, use, and disclosure,
as applicable, of that personal information;
and
``(ii) any subsequent use of that personal
information.'';
(5) by striking paragraph (10) and redesignating paragraphs
(11) and (12) as paragraphs (10) and (11), respectively; and
(6) by adding at the end the following:
``(12) Connected device.--The term `connected device' means
a device that is--
``(A) capable of connecting to the Internet,
directly or indirectly, or to another connected device;
and
``(B) directed towards a child or minor.
``(13) Online; online application; online service; directed
to a child; directed to a minor; mobile application.--
``(A) In general.--Subject to subparagraphs (C) and
(D), the terms `online', `online application', `online
service', `directed to a child', `directed to a minor',
and `mobile application' shall have the meanings given
those terms by regulation promulgated by the Commission
under subparagraph (B).
``(B) Promulgation of regulations.--Not later than
1 year after the date of the enactment of the Do Not
Track Kids Act of 2018, the Commission shall
promulgate, under section 553 of title 5, United States
Code, regulations that define the terms described in
subparagraph (A) broadly enough to ensure that the
terms are not limited to current technology, consistent
with--
``(i) the principles articulated by the
Commission regarding the definition of the term
`Internet' in the statement of basis and
purpose on the final rule under this title
promulgated on November 3, 1999 (64 Fed. Reg.
59891); and
``(ii) the principles articulated by the
Commission regarding the definition of the term
`directed to children' in the statement of
basis and purpose on the final rule under this
title promulgated on January 17, 2013 (78 Fed.
Reg. 3972).
``(C) Online service.--The definition of the term
`online service' in the regulations promulgated under
subparagraph (B) shall include broadband Internet
access service (as defined in the Report and Order on
Remand, Declaratory Ruling, and Order in the matter of
protecting and promoting the open Internet, adopted by
the Federal Communications Commission on February 26,
2015 (FCC 15-24)).
``(D) Online application; online service; mobile
application.--The terms `online service', `online
application', and `mobile application' include a
service or application offered via a connected device.
``(14) Geolocation information.--The term `geolocation
information' means information sufficient to identify a street
name and name of a city or town.
``(15) Minor.--The term `minor' means an individual over
the age of 12 and under the age of 16.
``(16) Targeted marketing.--The term `targeted marketing'
means advertising or any other effort to market a product or
service that is directed to a specific individual or device--
``(A) based on the personal information of the
individual or a unique identifier of the device; and
``(B) as a result of use by the individual, or
access by the device, of--
``(i) a website;
``(ii) an online service;
``(iii) an online application; or
``(iv) a mobile application.''.
(b) Online Collection, Use, and Disclosure of Personal Information
of Children and Minors.--Section 1303 of the Children's Online Privacy
Protection Act of 1998 (15 U.S.C. 6502) is amended--
(1) by striking the heading and inserting the following:
``online collection, use, and disclosure of personal
information of children and minors.'';
(2) in subsection (a)--
(A) by amending paragraph (1) to read as follows:
``(1) In general.--It is unlawful for an operator of a
website, online service, online application, or mobile
application directed to a child or minor, or an operator having
actual knowledge that personal information being collected is
from a child or minor, to collect personal information from a
child or minor in a manner that violates the regulations
prescribed under subsection (b).''; and
(B) in paragraph (2)--
(i) by striking ``of such a website or
online service''; and
(ii) by striking ``subsection
(b)(1)(B)(iii) to the parent of a child'' and
inserting ``subsection (b)(1)(C)(iii) to the
parent of a child or under subsection
(b)(1)(D)(iii) to a minor''; and
(3) in subsection (b)--
(A) by amending paragraph (1) to read as follows:
``(1) In general.--Not later than 1 year after the date of
the enactment of the Do Not Track Kids Act of 2018, the
Commission shall promulgate, under section 553 of title 5,
United States Code, regulations to require an operator of a
website, online service, online application, or mobile
application directed to children or minors, or an operator
having actual knowledge that personal information being
collected is from a child or minor--
``(A) to provide clear and conspicuous notice in
clear and plain language of--
``(i) the types of personal information the
operator collects;
``(ii) how the operator uses the
information;
``(iii) whether the operator discloses the
information; and
``(iv) the procedures or mechanisms the
operator uses to ensure that personal
information is not collected from children or
minors except in accordance with the
regulations promulgated under this paragraph;
``(B) to obtain verifiable consent for the
collection, use, or disclosure of personal information
of a child or minor;
``(C) to provide to a parent whose child has
provided personal information to the operator, upon
request by and proper identification of the parent--
``(i) a description of the specific types
of personal information collected from the
child by the operator;
``(ii) the opportunity at any time to
refuse to permit the further use or maintenance
in retrievable form, or future collection, by
the operator of personal information collected
from the child; and
``(iii) a means that is reasonable under
the circumstances for the parent to obtain any
personal information collected from the child,
if such information is available to the
operator at the time the parent makes the
request;
``(D) to provide to a minor who has provided
personal information to the operator, upon request by
and proper identification of the minor--
``(i) a description of the specific types
of personal information collected from the
minor by the operator;
``(ii) the opportunity at any time to
refuse to permit the further use or maintenance
in retrievable form, or future collection, by
the operator of personal information collected
from the minor; and
``(iii) a means that is reasonable under
the circumstances for the minor to obtain any
personal information collected from the minor,
if such information is available to the
operator at the time the minor makes the
request;
``(E) not to condition participation in a game, or
use of a website, service, or application, by a child
or minor on the provision by the child or minor of more
personal information than is reasonably required to
participate in the game or use the website, service, or
application; and
``(F) to establish and maintain reasonable
procedures to protect the confidentiality, security,
and integrity of personal information collected from
children and minors.'';
(B) in paragraph (2)--
(i) in the matter preceding subparagraph
(A), by striking ``verifiable parental consent
under paragraph (1)(A)(ii)'' and inserting
``verifiable consent under paragraph (1)(B)'';
and
(ii) in subparagraph (A)--
(I) by inserting ``or minor'' after
``collected from a child'';
(II) by inserting ``or minor''
after ``request from the child''; and
(III) by inserting ``or minor or to
contact a different child or minor''
after ``to recontact the child'';
(iii) in subparagraph (B)--
(I) by striking ``parent or child''
and inserting ``parent, child, or
minor''; and
(II) by striking ``parental
consent'' each place the term appears
and inserting ``verifiable consent'';
(iv) in subparagraph (C)--
(I) in the matter preceding clause
(i), by inserting ``or minor'' after
``child'' each place the term appears;
(II) in clause (i)--
(aa) by inserting ``or
minor'' after ``child'' each
place the term appears; and
(bb) by inserting ``or
minor, as applicable,'' after
``parent'' each place the term
appears; and
(III) in clause (ii)--
(aa) by inserting ``or
minor, as applicable,'' after
``parent''; and
(bb) by inserting ``or
minor'' after ``child'' each
place the term appears; and
(v) in subparagraph (D)--
(I) in the matter preceding clause
(i), by inserting ``or minor'' after
``child'' each place the term appears;
(II) in clause (ii), by inserting
``or minor'' after ``child''; and
(III) in the flush text following
clause (iii)--
(aa) by inserting ``or
minor, as applicable,'' after
``parent'' each place the term
appears; and
(bb) by inserting ``or
minor'' after ``child''; and
(C) by amending paragraph (3) to read as follows:
``(3) Continuation of service.--The regulations shall
prohibit an operator from discontinuing service provided to a
child or minor on the basis of refusal by the parent of the
child or by the minor, under the regulations prescribed under
subparagraphs (C)(ii) and (D)(ii) of paragraph (1),
respectively, to permit the further use or maintenance in
retrievable form, or future collection, by the operator of
personal information collected from the child or minor, to the
extent that the operator is capable of providing such service
without such information.''.
(c) Safe Harbors.--Section 1304 of the Children's Online Privacy
Protection Act of 1998 (15 U.S.C. 6503) is amended--
(1) in subsection (b)(1), by inserting ``and minors'' after
``children''; and
(2) by adding at the end the following:
``(d) Publication.--The Commission shall publish on the internet
website of the Commission any report or documentation required by
regulation to be submitted to the Commission to carry out this section,
except to the extent that the report or documentation contains
proprietary information, which the Commission may in its discretion
redact.''.
(d) Administration and Applicability of Act.--Section 1306 of the
Children's Online Privacy Protection Act of 1998 (15 U.S.C. 6505) is
amended--
(1) in subsection (b)--
(A) in paragraph (1), by striking ``, in the case
of'' and all that follows and inserting the following:
``by the appropriate Federal banking agency, with
respect to any insured depository institution (as those
terms are defined in section 3 of that Act (12 U.S.C.
1813));''; and
(B) by striking paragraph (2) and redesignating
paragraphs (3) through (6) as paragraphs (2) through
(5), respectively; and
(2) by adding at the end the following new subsection:
``(f) Telecommunications Carriers and Cable Operators.--
``(1) Enforcement by commission.--Notwithstanding section
5(a)(2) of the Federal Trade Commission Act (15 U.S.C.
45(a)(2)), compliance with the requirements imposed under this
title shall be enforced by the Commission with respect to any
telecommunications carrier (as defined in section 3 of the
Communications Act of 1934 (47 U.S.C. 153)).
``(2) Relationship to other law.--To the extent that
section 222, 338(i), or 631 of the Communications Act of 1934
(47 U.S.C. 222; 338(i); 551) is inconsistent with this title,
this title controls.''.
SEC. 4. FAIR INFORMATION PRACTICES PRINCIPLES.
The Fair Information Practices Principles described in this section
are the following:
(1) Collection limitation principle.--Except as provided in
paragraph (3), personal information should be collected from a
minor only when collection of the personal information is--
(A) consistent with the context of a particular
transaction or service or the relationship of the minor
with the operator, including collection necessary to
fulfill a transaction or provide a service requested by
the minor; or
(B) required or specifically authorized by law.
(2) Data quality principle.--The personal information of a
minor should be accurate, complete, and kept up-to-date to the
extent necessary to fulfill the purposes described in
subparagraphs (A) through (D) of paragraph (3).
(3) Purpose specification principle.--The purposes for
which personal information is collected should be specified to
the minor not later than at the time of the collection of the
information. The subsequent use or disclosure of the
information should be limited to--
(A) fulfillment of the transaction or service
requested by the minor;
(B) support for the internal operations of the
website, service, or application, as described in
section 312.2 of title 16, Code of Federal Regulations,
excluding any activity relating to targeted marketing
directed to children, minors, or connected devices;
(C) compliance with legal process or other purposes
expressly authorized under specific legal authority; or
(D) other purposes--
(i) that are specified in a notice to the
minor; and
(ii) to which the minor has consented under
paragraph (7) before the information is used or
disclosed for such other purposes.
(4) Retention limitation principle.--The personal
information of a minor should not be retained for longer than
is necessary to fulfill a transaction or provide a service
requested by the minor or such other purposes specified in
subparagraphs (A) through (D) of paragraph (3). The operator
should implement a reasonable and appropriate data disposal
policy based on the nature and sensitivity of such personal
information.
(5) Security safeguards principle.--The personal
information of a minor should be protected by reasonable and
appropriate security safeguards against risks such as loss or
unauthorized access, destruction, use, modification, or
disclosure.
(6) Openness principle.--
(A) In general.--The operator should maintain a
general policy of openness about developments,
practices, and policies with respect to the personal
information of a minor. The operator should provide
each minor using the website, online service, online
application, or mobile application of the operator with
a clear and prominent means--
(i) to identify and contact the operator,
by, at a minimum, disclosing, clearly and
prominently, the identity of the operator and--
(I) in the case of an operator who
is an individual, the address of the
principal residence of the operator and
an email address and telephone number
for the operator; or
(II) in the case of any other
operator, the address of the principal
place of business of the operator and
an email address and telephone number
for the operator;
(ii) to determine whether the operator
possesses any personal information of the
minor, the nature of any such information, and
the purposes for which the information was
collected and is being retained;
(iii) to obtain any personal information of
the minor that is in the possession of the
operator from the operator, or from a person
specified by the operator, within a reasonable
time after making a request, at a charge (if
any) that is not excessive, in a reasonable
manner, and in a form that is readily
intelligible to the minor;
(iv) to challenge the accuracy of personal
information of the minor that is in the
possession of the operator; and
(v) if the minor establishes the inaccuracy
of personal information in a challenge under
clause (iv), to have such information erased,
corrected, completed, or otherwise amended.
(B) Limitation.--Nothing in this paragraph shall be
construed to permit an operator to erase or otherwise
modify personal information requested by a law
enforcement agency pursuant to legal authority.
(7) Individual participation principle.--The operator
should--
(A) obtain consent from a minor before using or
disclosing the personal information of the minor for
any purpose other than the purposes described in
subparagraphs (A) through (C) of paragraph (3); and
(B) obtain affirmative express consent from a minor
before using or disclosing previously collected
personal information of the minor for purposes that
constitute a material change in practice from the
original purposes specified to the minor under
paragraph (3).
SEC. 5. DIGITAL MARKETING BILL OF RIGHTS FOR MINORS.
(a) Acts Prohibited.--It is unlawful for an operator of a website,
online service, online application, or mobile application directed to
minors, or an operator having actual knowledge that personal
information being collected is from a minor, to collect personal
information from a minor unless such operator has adopted and complies
with a Digital Marketing Bill of Rights for Minors that is consistent
with the Fair Information Practices Principles described in section 4.
(b) Regulations.--Not later than 1 year after the date of enactment
of this Act, the Commission shall promulgate, under section 553 of
title 5, United States Code, regulations to implement this section,
including regulations further defining the Fair Information Practices
Principles described in section 4.
SEC. 6. TARGETED MARKETING TO CHILDREN OR MINORS.
(a) Acts Prohibited.--It is unlawful for--
(1) an operator of a website, online service, online
application, mobile application, or connected device directed
to children, or an operator having actual knowledge that
personal information being collected is from a child or a
connected device of a child, to use, disclose to third parties,
or compile personal information for purposes of targeted
marketing; or
(2) an operator of a website, online service, online
application, mobile application, or connected device directed
to minors, or an operator having actual knowledge that personal
information being collected is from a minor or a connected
device of a minor, to use, disclose to third parties, or
compile personal information for purposes of targeted marketing
without the verifiable consent of the minor.
(b) Regulations.--Not later than 1 year after the date of enactment
of this Act, the Commission shall promulgate, under section 553 of
title 5, United States Code, regulations to implement this section.
SEC. 7. REMOVAL OF CONTENT.
(a) Acts Prohibited.--It is unlawful for an operator to make
publicly available through a website, online service, online
application, or mobile application content or information that contains
or displays personal information of children or minors in a manner that
violates a regulation prescribed under subsection (b).
(b) Regulations.--
(1) In general.--Not later than 1 year after the date of
enactment of this Act, the Commission shall promulgate, under
section 553 of title 5, United States Code, regulations that
require an operator--
(A) to the extent technologically feasible, to
implement mechanisms that permit a user of the website,
online service, online application, or mobile
application of the operator to erase or otherwise
eliminate content or information that is--
(i) submitted to the website, online
service, online application, or mobile
application by that user;
(ii) publicly available through the
website, online service, online application, or
mobile application; and
(iii) contains or displays personal
information of children or minors; and
(B) to take appropriate steps to make users aware
of the mechanisms described in subparagraph (A) and to
provide notice to users that the mechanisms do not
necessarily provide comprehensive removal of the
content or information submitted by users.
(2) Exception.--The regulations promulgated under paragraph
(1) may not require an operator or third party to erase or
otherwise eliminate content or information that--
(A) any other provision of Federal or State law
requires the operator or third party to maintain; or
(B) was submitted to the website, online service,
online application, or mobile application of the
operator by any person other than the user who is
attempting to erase or otherwise eliminate the content
or information, including content or information
submitted by the user that was republished or
resubmitted by another person.
(3) Limitation.--Nothing in this section shall be construed
to limit the authority of a law enforcement agency to obtain
any content or information from an operator as authorized by
law or pursuant to an order of a court of competent
jurisdiction.
SEC. 8. PRIVACY DASHBOARD FOR CONNECTED DEVICES FOR CHILDREN AND
MINORS.
(a) In General.--A manufacturer of a connected device shall
prominently display on the packaging for the connected device a
standardized and easy-to-understand privacy dashboard, detailing
whether, what, and how personal information of a child or minor is--
(1) collected from the connected device;
(2) transmitted from the connected device;
(3) retained on the connected device;
(4) retained by the manufacturer or affiliated person;
(5) used by the manufacturer or affiliated person; and
(6) protected.
(b) Features.--A privacy dashboard under subsection (a) shall
inform a consumer of--
(1) the extent to which the connected device meets the
highest cybersecurity and data security standards, including if
and how to obtain security patches;
(2) the extent to which the connected device gives--
(A) a parent meaningful control over the
information of a child of the parent; and
(B) a minor meaningful control over the information
of the minor;
(3) the extent to which the device minimizes the
collection, retention, and use of information from a child or
minor;
(4) the location of privacy policies;
(5) the type of personal information the connected device
may collect; and
(6) any other information as the Commission considers
appropriate.
(c) Regulations.--Not later than 1 year after the date of enactment
of this Act, the Commission shall promulgate, under section 553 of
title 5, United States Code, regulations to implement this section.
SEC. 9. PROHIBITION ON SALE OF CONNECTED DEVICES FOR CHILDREN AND
MINORS THAT FAIL TO MEET APPROPRIATE CYBERSECURITY AND
DATA SECURITY STANDARDS.
(a) Prohibition.--Beginning 1 year after the date of enactment of
this Act, or such earlier date as the Commission considers appropriate,
no person may sell a connected device unless the connected device meets
appropriate cybersecurity and data security standards established by
the Commission.
(b) Cybersecurity and Data Security Standards.--
(1) In general.--The Commission shall promulgate, under
section 553 of title 5, United States Code, cybersecurity and
data security standards described in subsection (a).
(2) Considerations.--In promulgating cybersecurity and data
security standards under paragraph (1), the Commission shall--
(A) create cybersecurity and data security
standards for different subsets of connected devices
based on the varying degrees of--
(i) cybersecurity and data security risk
associated with each subset of connected
device;
(ii) sensitivity of information collected,
stored, or transmitted by each subset of
connected device; and
(iii) functionality of each subset of
connected device;
(B) consider incorporating, to the extent
practicable, existing cybersecurity and data security
standards; and
(C) ensure that the cybersecurity and data security
standards--
(i) are consistent with Fair Information
Practice Principles described in section 4; and
(ii) promote data minimization.
SEC. 10. RULE FOR TREATMENT OF USERS OF WEBSITES, SERVICES, AND
APPLICATIONS DIRECTED TO CHILDREN OR MINORS.
For the purposes of this Act, an operator of a website, online
service, online application, or mobile application that is directed to
children or minors shall treat each user of that website, online
service, online application, or mobile application as a child or minor,
respective to whether the website, online service, online application,
or mobile application is directed to children or minors, except as
permitted by the Commission pursuant to a regulation promulgated under
this Act.
SEC. 11. ENFORCEMENT AND APPLICABILITY.
(a) Enforcement by the Commission.--
(1) In general.--Except as otherwise provided, this Act and
the regulations prescribed under this Act shall be enforced by
the Commission under the Federal Trade Commission Act (15
U.S.C. 41 et seq.).
(2) Unfair or deceptive acts or practices.--Subject to
subsection (b), a violation of this Act or a regulation
prescribed under this Act shall be treated as a violation of a
rule defining an unfair or deceptive act or practice prescribed
under section 18(a)(1)(B) of the Federal Trade Commission Act
(15 U.S.C. 57a(a)(1)(B)).
(3) Actions by the commission.--
(A) In general.--Subject to subsection (b), and
except as provided in subsection (d)(1), the Commission
shall prevent any person from violating this Act or a
regulation prescribed under this Act in the same
manner, by the same means, and with the same
jurisdiction, powers, and duties as though all
applicable terms and provisions of the Federal Trade
Commission Act (15 U.S.C. 41 et seq.) were incorporated
into and made a part of this Act, and any person who
violates this Act or such regulation shall be subject
to the penalties and entitled to the privileges and
immunities provided in the Federal Trade Commission
Act.
(B) Violations.--In an action brought by the
Commission to enforce this Act and the regulations
prescribed under this Act, each connected device that
fails to meet a standard promulgated under this Act
shall be treated as a separate violation.
(b) Enforcement by Certain Other Agencies.--Notwithstanding
subsection (a), compliance with the requirements imposed under this Act
shall be enforced as follows:
(1) Under section 8 of the Federal Deposit Insurance Act
(12 U.S.C. 1818) by the appropriate Federal banking agency,
with respect to an insured depository institution (as such
terms are defined in section 3 of such Act (12 U.S.C. 1813)).
(2) Under the Federal Credit Union Act (12 U.S.C. 1751 et
seq.) by the National Credit Union Administration Board, with
respect to any Federal credit union.
(3) Under part A of subtitle VII of title 49, United States
Code, by the Secretary of Transportation, with respect to any
air carrier or foreign air carrier subject to such part.
(4) Under the Packers and Stockyards Act, 1921 (7 U.S.C.
181 et seq.) (except as provided in section 406 of that Act (7
U.S.C. 226; 227)) by the Secretary of Agriculture, with respect
to any activities subject to that Act.
(5) Under the Farm Credit Act of 1971 (12 U.S.C. 2001 et
seq.) by the Farm Credit Administration, with respect to any
Federal land bank, Federal land bank association, Federal
intermediate credit bank, or production credit association.
(c) Enforcement by State Attorneys General.--
(1) In general.--
(A) Civil actions.--In any case in which the
attorney general of a State has reason to believe that
an interest of the residents of that State has been or
is threatened or adversely affected by the engagement
of any person in a practice that violates this Act or a
regulation prescribed under this Act, the State, as
parens patriae, may bring a civil action on behalf of
the residents of the State in a district court of the
United States of appropriate jurisdiction to--
(i) enjoin that practice;
(ii) enforce compliance with this Act or
such regulation;
(iii) obtain damages, restitution, or other
compensation on behalf of residents of the
State; or
(iv) obtain such other relief as the court
may consider to be appropriate.
(B) Notice.--
(i) In general.--Before filing an action
under subparagraph (A), the attorney general of
the State involved shall provide to the
Commission--
(I) written notice of that action;
and
(II) a copy of the complaint for
that action.
(ii) Exemption.--
(I) In general.--Clause (i) shall
not apply with respect to the filing of
an action by an attorney general of a
State under this paragraph if the
attorney general of the State
determines that it is not feasible to
provide the notice described in that
clause before the filing of the action.
(II) Notification.--In an action
described in subclause (I), the
attorney general of a State shall
provide notice and a copy of the
complaint to the Commission at the same
time as the attorney general files the
action.
(2) Intervention.--
(A) In general.--On receiving notice under
paragraph (1)(B), the Commission shall have the right
to intervene in the action that is the subject of the
notice.
(B) Effect of intervention.--If the Commission
intervenes in an action under paragraph (1), it shall
have the right--
(i) to be heard with respect to any matter
that arises in that action; and
(ii) to file a petition for appeal.
(3) Construction.--For purposes of bringing any civil
action under paragraph (1), nothing in this Act shall be
construed to prevent an attorney general of a State from
exercising the powers conferred on the attorney general by the
laws of that State to--
(A) conduct investigations;
(B) administer oaths or affirmations; or
(C) compel the attendance of witnesses or the
production of documentary and other evidence.
(4) Actions by the commission.--In any case in which an
action is instituted by or on behalf of the Commission for
violation of this Act or a regulation prescribed under this
Act, no State may, during the pendency of that action,
institute an action under paragraph (1) against any defendant
named in the complaint in the action instituted by or on behalf
of the Commission for that violation.
(5) Venue; service of process.--
(A) Venue.--Any action brought under paragraph (1)
may be brought in the district court of the United
States that meets applicable requirements relating to
venue under section 1391 of title 28, United States
Code.
(B) Service of process.--In an action brought under
paragraph (1), process may be served in any district in
which the defendant--
(i) is an inhabitant; or
(ii) may be found.
(d) Telecommunications Carriers and Cable Operators.--
(1) Enforcement by commission.--Notwithstanding section
5(a)(2) of the Federal Trade Commission Act (15 U.S.C.
45(a)(2)), compliance with the requirements imposed under this
Act shall be enforced by the Commission with respect to any
telecommunications carrier (as defined in section 3 of the
Communications Act of 1934 (47 U.S.C. 153)).
(2) Relationship to other laws.--To the extent that section
222, 338(i), or 631 of the Communications Act of 1934 (47
U.S.C. 222; 338(i); 551) is inconsistent with this Act, this
Act controls.
(e) Safe Harbors.--
(1) Definition.--In this subsection--
(A) the term ``applicable section'' means section
5, 6, 7, 8, or 9 of this Act;
(B) the term ``covered operator'' means an operator
subject to guidelines approved under paragraph (2);
(C) the term ``requesting entity'' means an entity
that submits a safe harbor request to the Commission;
and
(D) the term ``safe harbor request'' means a
request to have self-regulatory guidelines described in
paragraph (2)(A) approved under that paragraph.
(2) Guidelines.--
(A) In general.--An operator may satisfy the
requirements of regulations issued under an applicable
section by following a set of self-regulatory
guidelines, issued by representatives of the marketing
or online industries, or by other persons, that, after
notice and an opportunity for comment, are approved by
the Commission upon making a determination that the
guidelines meet the requirements of the regulations
issued under that applicable section.
(B) Expedited response to requests.--Not later than
180 days after the date on which a safe harbor request
is filed under subparagraph (A), the Commission shall
act upon the request set forth in writing the
conclusions of the Commission with regard to the
request.
(C) Appeals.--A requesting entity may appeal the
final action of the Commission under subparagraph (B),
or a failure by the Commission to act in the period
described in that paragraph, to a district court of the
United States of appropriate jurisdiction, as provided
for in section 706 of title 5, United States Code.
(3) Incentives.--
(A) Self-regulatory incentives.--In prescribing
regulations under an applicable section, the Commission
shall provide incentives for self-regulation by covered
operators to implement the protections afforded
children and minors, as applicable, under the
regulatory requirements described in those sections.
(B) Deemed compliance.--The incentives under
subparagraph (A) shall include provisions for ensuring
that a covered operator will be deemed to be in
compliance with the requirements of the regulations
under an applicable section if that person complies
with guidelines approved under paragraph (2).
(4) Regulations.--In prescribing regulations relating to
safe harbor guidelines under an applicable section, the
Commission shall--
(A) establish criteria for the approval of
guidelines that will ensure that a covered operator
provides substantially the same or greater protections
for children and minors, as applicable, as those
contained in the regulations issued under the
applicable section; and
(B) require that any report or documentation
required to be submitted to the Commission by a covered
operator or requesting entity will be published on the
internet website of the Commission, except to the
extent that the report or documentation contains
proprietary information, which the Commission may in
its discretion redact.
SEC. 12. EFFECTIVE DATES.
(a) In General.--Except as provided in subsections (b) and (c),
this Act and the amendments made by this Act shall take effect on the
date that is 1 year after the date of enactment of this Act.
(b) Authority To Promulgate Regulations.--The following shall take
effect on the date of enactment of this Act:
(1) Section 2(b).
(2) The amendments made by subsections (a)(6) and (b) of
section 3.
(3) Sections 5(b), 6(b), 7(b), 8(c), and 9(b).
(c) Digital Marketing Bill of Rights for Minors.--Section 5(a)
shall take effect on the date that is 180 days after the promulgation
of regulations under that subsection.
(d) Privacy Dashboard for Connected Devices for Children and
Minors.--Subsections (a) and (b) of section 8 shall take effect on the
date that is 180 days after the promulgation of regulations under such
subsection.
<all>
Introduced in House
Introduced in House
Referred to the House Committee on Energy and Commerce.
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