,i #aaith ,,congress #ast ,session ,h4 ,r4 #cadi ,,in ,,the ,,house ,,of ,,representatives ,may #a1 #bjbe,mr4 ,james 7for himself and ,mr4 ,bilirakis7 introduced the following bill2 which was referred to the ,committee on ,energy and ,commerce ,a ,,bill ,to safeguard children by providing parents with clear and accurate information about the apps downloaded and used by their children and to ensure proper parental consent is achieved1 and for other purposes4 #a4 ,short title2 table of contents 7a7 ,short title ,this ,act may be cited as the ,app ,store ,accountability ,act4 7b7 ,table of contents ,the table of contents for this ,act is as follows3 ,sec4 #a4 ,short title2 table of contents4,sec4 #b4 ,definitions4,sec4 #c4 ,app store obligations4,sec4 #d4 ,app developer obligations4,sec4 #e4 ,compliance4,sec4 #f4 ,enforcement by the ,federal ,trade ,commission4,sec4 #g4 ,enforcement by ,states4,sec4 #h4 ,safe harbor4,sec4 #i4 ,preemption4,sec4 #aj4 ,severability4,sec4 #aa4 ,effective date4 #b4 ,definitions ,in this ,act3 7#a7 ,age category ,the term age category means the category of an individual based on their age1 including the following categories3 7,a7 ,adult ,an adult is such an individual who has attained #ah years of age4 7,b7 ,teenager ,a teenager is such an individual who has attained #af years of age but has not attained #ah years of age4 7,c7 ,child ,a child is such an individual who has attained #ac years of age but has not attained #af years of age4 7,d7 ,young child ,a young child is such an individual who has not attained #ac years of age4 7#b7 ,age category data ,the term age category data means information that identifies the age category of a user and is collected by a covered app store provider and shared with an app developer4 7#c7 ,age rating ,the term age rating means a publicly displayed assessment of an app's appropriateness for different age categories4 7#d7 ,app ,the term app means a software application or electronic service that may be run or directed by a user on a computer1 mobile device1 or any other general purpose computing device4 7#e7 ,app developer ,the term app developer means any person that owns or controls an app on the app store of a covered app store provider and is available in the ,united ,states4 7#f7 ,app store ,the term app store means a publicly available website1 software application1 or other electronic service that distributes and facilitates the download onto a mobile device of an app from a third-party developer by a user of a computer1 mobile device1 or any other general purpose computing device4 7#g7 ,commission ,the term ,commission means the ,federal ,trade ,commission4 7#h7 ,covered app store provider ,the term covered app store provider means any person that owns or controls an app store available in the ,united ,states and for which users in the ,united ,states exceed #e1jjj1jjj4 7#i7 ,know ,the term know means to have actual knowledge or willful disregard4 7#aj7 ,minor ,the term minor means an individual who has not attained #ah years of age4 7#aa7 ,mobile device ,the term mobile device means a phone or general purpose tablet that provides cellular or wireless connectivity1 is capable of connecting to the ,internet1 runs a mobile operating system1 and is capable of running apps through the mobile operating system4 7#ab7 ,mobile operating system ,the term mobile operating system means a set of software that manages mobile device hardware resources1 provides common services for mobile device programs1 controls memory allocation1 and provides interfaces for applications to access device functionality4 7#ac7 ,parent ,the term parent1 with respect to a minor1 means an adult with the legal right to make decisions on behalf of the minor1 including-- 7,a7 a natural parent2 7,b7 an adoptive parent2 7,c7 a legal guardian2 or 7,d7 an individual with legal custody over the minor4 7#ad7 ,parental account ,the term parental account means an account with a covered app store provider that is-- 7,a7 verified to be established by an individual who the app store provider has determined is at least #ah years of age through the covered app store provider's age verification method or process2 and 7,b7 affiliated with one or more account of a user or prospective user who is a minor4 7#ae7 ,parental consent disclosure ,the term parental consent disclosure means the following information that is provided to a parent before obtaining parental consent-- 7,a7 a description of-- 7i7 the personal data collected by the app from a user2 and 7ii7 the personal data shared by the app with a third party2 7,b7 a description of the measures taken by the app developer to protect the confidentiality of the user's personal data2 7,c7 if there is an age rating for the app or an in-app purchase1 the app's or in-app purchase's age rating2 and 7,d7 if there is a content description for the app or in-app purchase1 the app's or in-app purchase's content description4 7#af7 ,personal data ,the term personal data has the same meaning as the term personal information as defined in section #acjb of the ,children's ,online ,privacy ,protection ,act 7#ae ,u4,s4,c4 #feja74 7#ag7 ,signal ,the term signal means age bracketed data sent by a real-time secure application programming interface or operating system that is likely to be accessed by minors4 7#ah7 ,significant change ,the term significant change means a material modification of an app's terms of service or privacy policy that-- 7,a7 changes the category of data collected or stored2 7,b7 changes the category of data shared with an unaffiliated third party that is not a service provider or processor2 7,c7 alters the app's age rating or content description2 7,d7 adds new monetization features1 including in-app purchases or advertisements2 or 7,e7 changes the app's user experience or functionality in a manner that a reasonable individual would view as material4 7#ai7 ,verifiable parental consent ,the term verifiable parental consent means authorization that is provided-- 7,a7 by a parental account2 7,b7 in response to a clear and conspicuous parental content disclosure2 and 7,c7 signifies a parent's freely given1 specific1 informed1 and unambiguous agreement4 #c4 ,app store obligations 7a7 ,in general ,each covered app store provider shall-- 7#a7 at the time an individual creates an account with the covered app store provider-- 7,a7 request age information from the individual2 and 7,b7 verify the individual's age category using a commercially available method or process that is reasonably designed to ensure accuracy2 7#b7 if the age verification method or process determines the individual is a minor-- 7,a7 require the account to be affiliated with a parental account2 and 7,b7 obtain verifiable parental consent from the holder of the affiliated parental account before allowing the minor to download or purchase an app or make an in-app purchase2 7#c7 after receiving notice of a significant change from an app developer-- 7,a7 notify the user of a significant change2 and 7,b7 for a minor account1 notify the holder of the affiliated parental account and obtain a new verifiable parental consent2 7#d7 provide to an app developer the user's age category and the status of verified parental consent if the user is a minor2 7#e7 notify an app developer when a parent revokes verifiable parental consent2 7#f7 protect the confidentiality of personal data related to age verification by-- 7,a7 limiting its collection1 processing1 and storage to what is strictly necessary to verify a user's age1 obtain verifiable parental consent1 or maintain compliance records2 and 7,b7 safeguarding personal data related to age verification by adopting reasonable administrative1 technical1 and physical safeguards to secure the collection1 processing1 storage1 and transmission of this data1 including through industry-standard encryption2 7#g7 if a covered app store provider displays an age rating or description of an app's content1 the age rating and description must be clearly and prominently displayed and be in plain and concise language2 and 7#h7 provide to an app developer the ability to determine1 in real time1 the age category of any user and1 with respect to any user that is a minor1 whether the covered app store provider has obtained verifiable parental consent4 7b7 ,rules of construction ,nothing in this section shall be construed-- 7#a7 to prevent a covered app store provider from taking reasonable measures to block1 detect1 or prevent the distribution of unlawful or obscene material to minors1 to block or filter spam1 to prevent criminal activity1 or to protect the security of an app store or app2 7#b7 to require a covered app store provider to disclose to an app developer information other than such user's age category and1 with respect to any user that is a minor1 whether the covered app store provider has obtained verifiable parental consent in accordance with this section2 7#c7 to allow a covered app store provider to use any measures required by this section in a way that is arbitrary1 capricious1 anti-competitive1 or unlawful2 or 7#d7 to affect or restrict the expression of political1 religious1 or other viewpoints4 #d4 ,app developer obligations 7a7 ,in general ,an app developer shall-- 7#a7 verify through a covered app store's method or process the age category of the app developer's users or potential users and1 for a minor account1 whether verifiable parental consent has been obtained2 7#b7 notify a covered app store provider of a significant change to the app2 and 7#c7 request age category data or verifiable parental consent-- 7,a7 at the time a potential app user downloads or purchases an app2 7,b7 when the app developer implements a significant change to the app2 or 7,c7 to comply with an applicable law or regulation4 7b7 ,app developer requests ,an app developer may request age category data or verifiable parental consent-- 7#a7 no more than once during each #ab-month period to verify the accuracy of user age verification data or continued account use within the verified age category2 7#b7 when there is reasonable suspicion of account transfer or misuse outside the verified age category2 or 7#c7 at the time a user creates a new account with the app developer4 7c7 ,permissible uses ,an app developer may use age category data to-- 7#a7 enforce any app developer-created age-related restrictions2 7#b7 ensure compliance with applicable laws and regulations2 and 7#c7 implement any app developer-created features or defaults4 7d7 ,restrictions ,an app developer may not-- 7#a7 enforce a contract or terms of service against a minor unless the app developer has verified through the covered app store provider that verifiable parental consent has been obtained2 7#b7 knowingly misrepresent any material information in the parental consent disclosure2 or 7#c7 share age category data with an unaffiliated third party that is not a service provider or processor4 7e7 ,app age rating ,if an app developer provides an age rating or description of an app's content to a covered app store or user1 the age rating or description must be in plain and concise language4 7f7 ,covered app store provider signal 7#a7 ,in general ,each app developer shall use a covered app store provider's signal to determine the age category of a user4 7#b7 ,rule of construction ,receipt of a covered app store provider's signal serves as actual knowledge of a user's age category4 #e4 ,compliance 7a7 ,guidance 7#a7 ,in general ,not later than #a year after the date of enactment of this ,act1 the ,commission shall issue guidance to assist covered app store providers and app developers in complying with the requirements of this ,act4 7#b7 ,limitations 7,a7 ,no conferring of rights or binding effect ,any guidance issued by the ,commission with respect to this ,act shall not confer any rights on any person1 ,state1 or locality1 nor shall such guidance operate to bind the ,commission or any person to the approach recommended in such guidance4 7,b7 ,basis of enforcement actions ,in any enforcement action brought pursuant to this ,act1 the ,commission shall allege a specific violation of a provision of this ,act4 ,the ,commission may not base an enforcement action on1 or execute a consent order based on1 practices that are alleged to be inconsistent with any such guidelines1 unless the practices allegedly violate sections #c or #d4 7b7 ,mechanism ,to certify compliance 7#a7 ,in general ,the ,commission shall-- 7,a7 establish a mechanism1 in such form and manner as the ,commission determines is appropriate1 for any covered app store provider to submit a request for the ,commission to review their policies relevant to the requirements under section #c2 and 7,b7 not later than #cj days after receiving such a request-- 7i7 review such policies to determine whether the covered app store provider that submitted such request is compliant with such requirements2 and 7ii7 if the ,commission determines that such provider is compliant with such requirements and does not permit or is able to quickly remedy any method of circumventing such requirements1 submit to ,congress and make publicly available on the website of the ,commission a notice certifying that such provider is compliant with such requirements4 7#b7 ,notification of significant changes ,if a covered app store provider that the ,commission certifies is compliant with the requirements of section #c makes a significant change to any policy of such provider that is relevant to such requirements1 such provider shall notify the ,commission of such change to ensure that the change does not impact the certification of compliance under paragraph 7#a74 7#c7 ,period of eligibility ,a certification of compliance under paragraph 7#a7 shall be valid for #a year after the date of the issuance of such certification4 7c7 ,complaints 7#a7 ,in general ,the ,commission shall establish a mechanism to receive complaints regarding the compliance of any covered app store provider with the requirements described in section #c4 7#b7 ,review ,the ,commission shall regularly review any complaints received through the mechanism described in paragraph 7#a7 and1 if necessary1 evaluate the covered app store provider's certification of compliance under subsection 7b77#a74 #f4 ,enforcement by the ,federal ,trade ,commission 7a7 ,unfair or deceptive acts or practices ,a violation of this ,act or a regulation promulgated thereunder shall be treated as a violation of a rule defining an unfair or deceptive act or practice under section #ah7;a77#a77;,b7 of the ,federal ,trade ,commission ,act 7#ae ,u4,s4,c4 #eg;a7a77#a77;,b774 7b7 ,powers of the ,commission 7#a7 ,in general ,the ,commission shall enforce this ,act in the same manner1 by the same means1 and with the same jurisdiction1 powers1 and duties as though all applicable terms and provisions of the ,federal ,trade ,commission ,act 7#ae ,u4,s4,c4 #da et seq47 were incorporated into and made a part of this ,act4 7#b7 ,privileges and immunities ,any person who violates this ,act or a regulation promulgated thereunder shall be subject to the penalties and entitled to the privileges and immunities provided in the ,federal ,trade ,commission ,act 7#ae ,u4,s4,c4 #da et seq474 7#c7 ,authority preserved ,nothing in this ,act shall be construed to limit the authority of the ,commission under any other provision of law4 #g4 ,enforcement by ,states 7a7 ,in general 7#a7 ,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 ,act1 the ,state1 as parens patriae1 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-- 7,a7 enjoin that practice2 7,b7 enforce compliance with the regulation2 7,c7 obtain damages1 restitution1 or other compensation on behalf of residents of the ,state2 or 7,d7 obtain such other relief as the court may consider to be appropriate4 7#b7 ,notice 7,a7 ,in general ,before filing an action under paragraph 7#a71 the attorney general of the ,state involved shall provide to the ,commission-- 7i7 a written notice of that action2 and 7ii7 a copy of the complaint for that action4 7,b7 ,exemption 7i7 ,in general ,subparagraph 7,a7 shall not apply with respect to the filing of an action by an attorney general of a ,state under this subsection1 if the attorney general determines that it is not feasible to provide the notice described in that subparagraph before the filing of the action4 7ii7 ,notification ,in an action described in clause 7i71 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 action4 7b7 ,intervention 7#a7 ,in general ,on receiving notice under subsection 7a77#b71 the ,commission shall have the right to intervene in the action that is the subject of the notice4 7#b7 ,effect of intervention ,if the ,commission intervenes in an action under subsection 7a71 it shall have the right-- 7,a7 to be heard with respect to any matter that arises in that action2 and 7,b7 to file a petition for appeal4 7c7 ,construction ,for purposes of bringing any civil action under subsection 7a71 nothing in this chapter 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-- 7#a7 conduct investigations2 7#b7 administer oaths or affirmations2 or 7#c7 compel the attendance of witnesses or the production of documentary and other evidence4 7d7 ,actions by the ,commission ,in any case in which an action is instituted by or on behalf of the ,commission for a violation of this ,act1 no ,state may1 during the pendency of that action1 institute an action under subsection 7a7 against any defendant named in the complaint in that action for such violation4 7e7 ,venue2 service of process 7#a7 ,venue ,any action brought under subsection 7a7 may be brought in the district court of the ,united ,states that meets applicable requirements relating to venue under section #acia of title #bh1 ,united ,states ,code4 7#b7 ,service of process ,in an action brought under subsection 7a71 process may be served in any district in which the defendant-- 7,a7 is an inhabitant2 or 7,b7 may be found4 #h4 ,safe harbor 7a7 ,in general ,an app developer is deemed not liable for a violation of this ,act if the app developer demonstrates it has-- 7#a7 relied in good faith on age verification data provided by a covered app store provider or it obtained a signal from a covered app store provider that indicates the user is a minor2 7#b7 complied with the requirements of section #d2 and 7#c7 reasonably conforms to widely accepted industry standards or best practices1 or to standards or best practices identified by the ,commission1 for age ratings and app content descriptions and applies those standards or best practices consistently and in good faith4 7b7 ,limitations ,the safe harbor described in this section applies only to actions brought under this ,act and does not limit the liability of an app developer under any other applicable law4 #i4 ,preemption 7a7 ,in general ,no ,state or political subdivision of a ,state may maintain1 enforce1 prescribe1 or continue in effect any law1 rule1 regulation1 requirement1 standard1 or other provision having the force and effect of law of any ,state1 or political subdivision of a ,state1 related to the provisions of this ,act4 7b7 ,rule of construction ,nothing in this subsection shall be construed as preempting1 displacing1 or supplanting contract or tort law4 #aj4 ,severability ,if any provision of this ,act1 or the application thereof to any person or circumstance1 is held invalid1 the remainder of this ,act1 and the application of such provision to other persons not similarly situated or to other circumstances1 shall not be affected by the invalidation4 #aa4 ,effective date ,except as otherwise provided in this ,act1 this ,act shall take effect on the date that is #a year after the date of enactment of this ,act4