,i #aagth ,,congress #ast ,session ,h4 ,r4 #chdi ,,in ,,the ,,house ,,of ,,representatives ,june #aa1 #bjba,ms4 ,scanlon 7for herself1 ,mr4 ,owens1 ,mr4 ,cicilline1 ,mr4 ,buck1 and ,mr4 ,nadler7 introduced the following bill2 which was referred to the ,committee on the ,judiciary ,a ,,bill ,to promote competition1 lower entry barriers1 and reduce switching costs for consumers and businesses online4 #a4 ,short title ,this ,act may be cited as the ,augmenting ,compatibility and ,competition by ,enabling ,service ,switching ,act of #bjba or the ,,access ,act of #bjba4 #b4 ,unfair method of competition ,a violation of this ,act1 or standards issued pursuant to this ,act1 by a person1 partnership1 or corporation operating a covered platform1 in or affecting commerce1 shall be an unfair method of competition in violation of section #e7;a77#a7 of the ,federal ,trade ,commission ,act 7#ae ,u4,s4,c4 #de74 #c4 ,portability 7a7 ,in general ,a covered platform shall maintain a set of transparent1 third-party-accessible interfaces 7including application programming interfaces7 to enable the secure transfer of data to a user1 or with the affirmative consent of a user1 to a business user at the direction of a user1 in a structured1 commonly used1 and machine-readable format that complies with the standards issued pursuant to section #f7;c74 7b7 ,data security 7#a7 ,in general ,a competing business or a potential competing business that receives ported user data from a covered platform shall reasonably secure any user data it acquires1 and shall take reasonable steps to avoid introducing security risks to data or the covered platform's information systems4 7#b7 ,violation ,a failure to comply with this section is a violation of this ,act and subject to the enforcement under sections #i and #aj of this ,act4 7#c7 ,termination of access ,the ,commission may require the covered platform to cease the transfer of data to a competing or potentially competing business that the ,commission finds has violated this section or standards adopted by the ,commission under section #f7;c7 of this ,act4 7c7 ,portability obligations ,in order to achieve portability under subsection 7a71 a covered platform shall comply with the standards issued under section #f7;c7 by the ,commission4 #d4 ,interoperability 7a7 ,in general ,a covered platform shall maintain a set of transparent1 third-party-accessible interfaces 7including application programming interfaces7 to facilitate and maintain interoperability with a competing business or a potential competing business that complies with the standards issued pursuant to section #f7;c74 7b7 ,data security 7#a7 ,in general ,a competing business or a potential competing business that accesses an interoperability interface of a covered platform shall reasonably secure any user data it acquires1 processes1 or transmits1 and shall take reasonable steps to avoid introducing security risks to user data or the covered platform's information systems4 7#b7 ,violation ,a failure to comply with this section is a violation of this ,act and subject to the enforcement under sections #i and #aj of this ,act4 7#c7 ,termination of access ,the ,commission may require the covered platform to cease interoperating with a competing or potentially competing business that the ,commission finds has violated this section or standards adopted by the ,commission under section #f7;c7 of this ,act4 7c7 ,interoperability obligations ,in order to achieve interoperability under subsection 7a71 a covered platform shall comply with the standards issued under section #f7;c7 by the ,commission4 7d7 ,security and privacy standards ,consistent with standards issued by the ,commission under section #f7;c7 of this ,act1 a covered platform shall set privacy and security standards for access by competing businesses or potential competing businesses to the extent reasonably necessary to address a threat to the covered platform or user data1 and shall report any suspected violations of those standards to the ,commission4 7e7 ,prohibited changes to interfaces 7#a7 ,commission approval ,a covered platform may make a change that may affect its interoperability interface by petitioning the ,commission to approve a proposed change4 ,the ,commission shall allow the change if1 after consulting with the relevant technical committee the ,commission concludes that the change is not being made with the purpose or effect of unreasonably denying access or undermining interoperability for competing businesses or potential competing businesses4 7#b7 ,exception ,a covered platform may make a change affecting its interoperability interfaces without receiving approval from the ,commission if that change is necessary to address a security vulnerability or other exigent circumstance that creates an imminent risk to user privacy or security if the change is narrowly tailored to the vulnerability and does not have the purpose or effect of unreasonably denying access or undermining interoperability for competing businesses or potential competing businesses4 7#c7 ,interface information 7,a7 ,in general ,not later than #abj days after the adoption of a rule by the ,commission under section #f7;c7 of this ,act1 a covered platform shall provide to competing businesses or potential competing businesses complete and accurate documentation describing access to the interoperability interface required under this section4 7,b7 ,contents ,the documentation required under subparagraph 7,a7 is limited to interface documentation necessary to achieve development and operation of interoperable products and services4 7#d7 ,notice of changes ,a covered platform shall provide reasonable advance notice to a competing business or a potential competing business1 which may be provided through public notice1 of any change to an interoperability interface maintained by the covered platform that will affect the interoperability of a competing business or a potential competing business4 7f7 ,data ,minimization 7#a7 ,non-commercialization by a covered platform ,a covered platform shall not collect1 use1 or share user data obtained from a business user through the interoperability interface except for the purposes of safeguarding the privacy and security of such information or maintaining interoperability of services4 7#b7 ,non-commercialization of ,data on a ,covered ,platform ,a business user shall not collect1 use1 or share the data of a user on a covered platform except for the purposes of safeguarding and security of such data or maintaining interoperability of services4 #e4 ,definitions ,in this ,act3 7#a7 ,person ,the term person has the meaning given the term in subsection 7a7 of section #a of the ,clayton ,act 7#ae ,u4,s4,c4 #ab74 7#b7 ,affirmative express consent ,the term affirmative express consent means an affirmative action of the consumer to make a choice following a clear and conspicuous disclosure to the consumer1 separate and apart from any privacy policy1 terms of service1 terms of service1 consent for research1 or other similar document1 of-- 7,a7 the types of ,personal ,information that ,respondent will disclose to third parties2 7,b7 the reason for such disclosures2 7,c7 the identity of all such third parties2 7,d7 any opportunities consumers have to decline or rescind consent for such disclosures2 and 7,e7 how consumers may exercise any such opportunities4 ,an affirmative action does not include obtaining a consumer's approval for a preselected default option4 7#c7 ,clear and conspicuous disclosure ,the term clear and conspicuous disclosure means that a required disclosure is difficult to miss such that it is easily noticeable and easily understandable by ordinary consumers1 including in all of the following ways3 7,a7 ,in any communication that is solely visual or solely audible1 the disclosure must be made through the same means through which the communication is presented4 ,in any communication made through both visual and audible means1 such as a television advertisement1 the disclosure must be presented simultaneously in both the visual and audible portions of the communication even if the representation requiring the disclosure 7triggering representation7 is made through only one means4 7,b7 ,a visual disclosure1 by its size1 contrast1 location1 the length of time it appears1 and other characteristics1 must stand out from any accompanying text or other visual elements so that it is easily noticed1 read1 and understood4 7,c7 ,an audible disclosure1 including by telephone or streaming video1 must be delivered in a volume1 speed1 and cadence sufficient for ordinary consumers to easily hear and understand it4 7,d7 ,in any communication using an interactive electronic medium1 such as the ,internet or software1 the disclosure must be unavoidable4 7,e7 ,the disclosure must use diction and syntax understandable to ordinary consumers and must appear in each language in which the triggering representation appears4 7,f7 ,the disclosure must comply with these requirements in each medium through which it is received1 including all electronic devices and face-to-face communications4 7,g7 ,the disclosure must not be contradicted or mitigated by1 or inconsistent with1 anything else in the communication4 7,h7 ,when the representation or sales practice targets a specific audience1 such as children1 the elderly1 or the terminally ill1 ordinary consumers includes reasonable members of that group4 7#d7 ,commission ,the term ,commission means the ,federal ,trade ,commission4 7#e7 ,control ,the term control with respect to a person means-- 7,a7 holding #be percent or more of the stock of the person2 7,b7 having the right to #be percent or more of the profits of the person2 7,c7 having the right to #be percent or more of the assets of the person1 in the event of the person's dissolution2 7,d7 if the person is a corporation1 having the power to designate #be percent or more of the directors of the person2 7,e7 if the person is a trust1 having the power to designate #be percent or more of the trustees2 or 7,f7 otherwise exercises substantial control over the person4 7#f7 ,covered platform ,the term covered platform means an online platform-- 7,a7 that has been designated as a covered platform under section #f7;a72 or 7,b7 that-- 7i7 at the time of the ,commission's or the ,department of ,justice's designation under section #b7;d71 or any of the twelve months preceding that time1 or in any of the #ab months preceding the filing of a complaint for an alleged violation of this ,act-- 7,i7 has at least #ej1jjj1jjj ,united ,states-based monthly active users on the online platform2 or 7,,ii7 has at least #ajj1jjj ,united ,states-based monthly active business users on the platform2 7ii7 is owned or controlled by a person with net annual sales1 or a market capitalization greater than #fjj1jjj1jjj1jjj1 adjusted for inflation on the basis of the ,consumer ,price ,index1 at the time of the ,commission's or the ,department of ,justice's designation under section #f7;a7 or any of the two years preceding that time1 or at any time in the #b years preceding the filing of a complaint for an alleged violation of this ,act2 and 7iii7 is a critical trading partner for the sale or provision of any product or service offered on or directly related to the online platform4 7#g7 ,covered platform operator ,the term covered platform operator means a person that1 directly or indirectly1 owns or controls a covered platform4 7#h7 ,critical trading partner ,the term critical trading partner means a trading partner that has the ability to restrict or impede-- 7,a7 the access of a business user to its users or customers2 or 7,b7 the access of a business user to a tool or service that it needs to effectively serve its users or customers4 7#i7 ,data 7,a7 ,in general ,not later than #f months after the date of enactment of this ,act1 the ,commission shall adopt rules in accordance with section #eec of title #e1 ,united ,states ,code1 to define the term data for the purpose of implementing and enforcing this ,act4 7,b7 ,data ,the term data shall include information that is collected by or provided to a covered platform or competing business or a potential competing business that is linked1 or reasonably linkable1 to a specific user1 user device1 or customer of the covered platform or a competing business or a potential competing business4 7,c7 ,exclusion ,the term data shall not include proprietary data that does not pertain to the user or a user device of the covered platform4 ,the ,commission shall narrowly construe the term proprietary data for the purposes of this ,act4 7#aj7 ,business user ,the term business user means a person that utilizes or plans to utilize the covered platform for the sale or provision of products or services4 7#aa7 ,interoperability interface ,the term interoperability interface means an electronic interface maintained by a covered platform for purposes of achieving interoperability4 7#ab7 ,online platform ,the term online platform means a website1 online or mobile application1 operating system1 digital assistant1 or online service that-- 7,a7 enables a user to generate content that can be viewed by other users on the platform or to interact with other content on the platform2 7,b7 facilitates the offering1 sale1 purchase1 payment1 or shipping of goods or services1 including software applications1 between and among consumers or businesses not controlled by the platform2 or 7,c7 enables user searches or queries that access or display a large volume of information4 #f4 ,implementation 7a7 ,covered platform designation ,the ,federal ,trade ,commission or ,department of ,justice may designate a covered platform for the purpose of implementing and enforcing this ,act4 ,such designation shall-- 7#a7 be based on a finding that the criteria set forth in paragraph 7#f7 of section #e are met2 7#b7 be issued in writing and published in the ,federal ,register2 and 7#c7 will apply for #aj years from its issuance regardless of whether there is a change in control or ownership over the covered platform unless the ,federal ,trade ,commission or the ,department of ,justice removes the designation pursuant to subsection 7b74 7b7 ,removal of covered platform designation ,the ,commission or the ,department of ,justice shall-- 7#a7 consider whether its designation of a covered platform pursuant to subsection 7a7 should be removed prior to the expiration of the #aj-year period if the covered platform operator files a request with the ,commission or the ,department of ,justice1 which shows that the online platform is no longer a critical trading partner2 and 7#b7 determine whether to grant a request submitted under paragraph 7#a7 not later than #abj days after the date of the filing of such request4 7c7 ,rulemaking and technical standards 7#a7 ,after designating an online platform as a covered platform1 the ,commission shall issue standards of interoperability specific to the covered platform4 ,these standards shall implement the requirements of sections #c and #d of this ,act4 ,in adopting the standards implementing the requirements of sections #c and #d1 the ,commission shall seek to encourage entry by reducing or eliminating the network effects that limit competition with the covered platform1 ensure that competing businesses or a potential competing business interconnects with the covered platform on fair and nondiscriminatory terms1 and protect data security and privacy4 7#b7 ,the ,commission shall-- 7,a7 establish a technical committee1 as described in section #g of this ,act1 to develop proposed standards implementing the requirements of section #c as they apply to a specific covered platform2 7,b7 issue such standards in accordance with section #eec of title #e1 ,united ,states ,code2 and 7,c7 reject standards that have the purpose or effect of unreasonably denying access1 undermine interoperability1 or are unduly disruptive to interoperability4 7d7 ,compliance assessment ,the ,commission shall regularly assess compliance by covered platforms with the provisions of this ,act and may-- 7#a7 undertake such investigation as appropriate to render this assessment2 7#b7 issue subpoenas and civil investigative demands for relevant information1 including any information that is necessary to effectuate the goals of sections #c and #d this ,act1 and consult with other agencies as appropriate2 and 7#c7 prescribe such other rules in accordance with section #eec of title #e1 ,united ,states ,code as may be necessary and appropriate to carry out sections #c and #d of this ,act4 7e7 ,agency complaints ,the ,commission shall establish procedures under which a user1 covered platform1 or a business user may file a complaint alleging a violation of this ,act4 7f7 ,reciprocity ,a business user shall not be under any obligation to adopt or comply with the requirements of this ,act or the rules adopted by the ,commission under this ,act unless it chooses to-- 7#a7 initiate the secure transfer of data from a covered platform under section #c of this ,act2 or 7#b7 access an interoperability interface of a covered platform under section #d of this ,act4 #g4 ,technical committee 7a7 ,establishment 7#a7 ,not later than #ahj days following the enactment of this ,act1 the ,commission shall establish a technical committee to assist the ,commission with considerations relating to implementation and technical aspects of the requirements under sections #c and #d of this ,act4 7#b7 ,the size of the committee and its membership is within the sole discretion of the ,commission except as specified in subsection #g7;b74 7b7 ,composition ,each technical committee shall include-- 7#a7 representatives of businesses that1 in the judgement of the ,commission1 utilize or compete with the platform2 7#b7 representatives of competition or privacy advocacy organizations1 and independent academics that possess technical1 legal1 economic1 financial1 or other knowledge that the ,commission may deem useful2 7#c7 a representative from the ,national ,institute of ,standards and ,technology2 and 7#d7 representatives of a covered platform1 which1 if required by ,commission1 shall provide a nonvoting advisory member to provide consultation and other aid to the technical committee4 ,a failure by the covered platform to participate in good faith in the development of standards by the ,technical ,committee shall be a violation of this statute4 7c7 ,general responsibilities ,each technical committee established under this section shall meet regularly to provide information1 analysis1 and recommendations to the ,commission on the standards of portability and interoperability and any changes to those standards4 ,these standards should-- 7#a7 seek to reduce or eliminate network effects that limit competition with the covered platform2 7#b7 establish data security and privacy protections for data portability and interoperability2 7#c7 prevent fraudulent1 malicious1 or abusive activity by a competing business or a potential competing business2 and 7#d7 establish reasonable thresholds related to the frequency1 nature1 and volume of requests by a competing business or a potential competing business to access resources maintained by the covered platform1 beyond which the covered platform may assess a reasonable fee for such access that shall be reasonably proportional to the cost1 complexity1 and risk to the covered platform of providing such access1 and do not limit the ability or deter the incentive of a competing business or a potentially competing business to interoperate with the covered platform4 7d7 ,role ,the role of technical committees is advisory in nature1 and such committees shall have no implementation or enforcement authority4 ,however1 the ,commission shall give strong consideration to the recommendations of such committees in implementing this ,act4 7e7 ,nonapplicability of the federal advisory committee act ,the ,federal ,advisory ,committee ,act 7#e ,u4,s4,c4 ,app47 shall not apply with respect to the technical committees4 #h4 ,judicial review 7a7 ,in general ,any party that is subject to a covered platform designation pursuant to section #f7;a7 of this ,act1 a final order issued in any district court1 or a final order of the ,commission issued in an administrative adjudicative proceeding may within #cj days of the issuance of such order1 petition for review of such order in the ,united ,states ,court of ,appeals for the ,district of ,columbia ,circuit4 7b7 ,treatment of findings ,in a proceeding for judicial review of a covered platform designation pursuant to section #f7;a7 of this ,act or a final order of the ,commission1 the findings of the ,commission as to the facts1 if supported by evidence1 shall be conclusive4 #i4 ,enforcement 7a7 ,commission litigation authority ,if the ,commission has reason to believe that a covered platform violated this ,act1 the ,commission may commence a civil action1 in its own name by any of its attorneys designated by it for such purpose1 to recover a civil penalty under this ,act and seek other appropriate relief in a district court of the ,united ,states against the covered platform operator4 7b7 ,emergency relief 7#a7 ,the ,commission may seek a temporary injunction requiring the covered platform operator to take or stop taking any action for not more than #abj days and the court shall grant such relief if the ,commission proves-- 7,a7 there is a plausible claim that a covered platform operator took an action that could violate this ,act2 and 7,b7 that action impairs the ability of at least one company to compete with the covered platform4 7#b7 ,the emergency relief shall not last more than #abj days from the filing of the complaint4 7#c7 ,the court shall terminate the emergency relief at any time that the covered platform operator proves that the ,commission has not taken reasonable steps to investigate whether a violation has occurred4 7#d7 ,nothing in this subsection prevents or limits the ,commission from seeking other equitable relief as provided in section #aj of this ,act4 7c7 ,statute of limitations ,a proceeding for a violation of this ,act may be commenced not later than #f years after such violation occurs4 #aj4 ,remedies 7a7 ,civil penalty ,the ,commission may recover a civil penalty for a violation of this ,act1 which shall accrue to the ,united ,states1 in an amount not more than the greater of-- 7#a7 #ae percent of the total ,united ,states revenue of the person1 partnership1 or corporation for the previous calendar year2 or 7#b7 #cj percent of the ,united ,states revenue of the person1 partnership1 or corporation in any line of business affected or targeted by the unlawful conduct during the period of the unlawful conduct4 7b7 ,remedies in addition ,remedies provided in this subsection are in addition to1 and not in lieu of1 any other remedy available to the ,commission under ,federal law4 7#a7 ,restitution2 contract rescission and reformation2 refunds2 return of property ,the ,commission may seek1 and a court may order1 with respect to the violation that gives rise to the suit1 restitution for losses1 rescission or reformation of contracts1 refund of money1 or return of property4 7#b7 ,disgorgement ,the ,commission may seek1 and a court may order1 disgorgement of any unjust enrichment that a covered platform obtained as a result of the violation that gives rise to the suit4 7#c7 ,injunction ,the ,commission may seek1 and the court may order1 relief in equity as necessary to prevent1 restrain1 or prohibit violations of this ,act4 7c7 ,repeat offenders ,if the fact finder determines that a covered platform has shown a pattern or practice of violating this ,act1 the court shall consider requiring that the ,chief ,executive ,officer forfeit to the ,united ,states ,treasury any compensation received by that person during the #ab months preceding or following the filing of a complaint alleging a violation of this ,act4 #aa4 ,rule of construction ,nothing in this ,act shall be construed to limit any authority of the ,attorney ,general or the ,federal ,trade ,commission under the antitrust laws1 section #e of the ,federal ,trade ,commission ,act 7#ae ,u4,s4,c4 #de71 or any other provision of law or to limit the application of any law4 #ab4 ,severability ,if any provision of this ,act1 an amendment made by this ,act1 or the application of such provision or amendment to any person or circumstance is held to be unconstitutional1 the remainder of this ,act and of the amendments made by this ,act1 and the application of the remaining provisions of this ,act and amendments to any person or circumstance shall not be affected4