The proposed bill would update current statutes by adding section 44-1484, which introduces new regulations for the sale and advertising of digital goods. It would make it unlawful for sellers to use terms like "buy" or "purchase" without providing clear information about licensing terms and conditions. Sellers would be required to obtain affirmative acknowledgment from purchasers regarding the nature of the transaction as a license rather than ownership, and they must provide a clear statement about the licensing terms, including a method to access detailed terms.
Additionally, the bill mandates that sellers notify purchasers if the licensing terms change post-transaction, including offering prorated refunds over five years. It also clarifies that the new regulations do not impose obligations on individuals to download digital goods or restrict the use of digital rights management technology, while outlining exceptions for certain digital goods and services. Violations of these provisions would be classified as unlawful practices under the Arizona Consumer Fraud Act, empowering the Attorney General to take action against offenders.
Statutes affected: Introduced Version: 44-1584
House Engrossed Version: 44-1484
Senate Engrossed Version: 44-1484