This bill establishes regulations for contracts between publishers and libraries regarding electronic literary materials, including digital audiobooks and electronic books. It defines key terms such as "aggregator," "borrower," "library," and "publisher," and outlines the scope of the law, which applies to contracts or license agreements entered into or renewed on or after July 1, 2025. The bill prohibits publishers from including provisions in their contracts that limit libraries' operational functions, such as loaning materials, making preservation copies, or disclosing contract terms to other libraries. It also specifies that contracts cannot restrict the duration of agreements unless alternative options are provided to the library.

Additionally, the bill allows for certain limitations, such as restricting the number of simultaneous borrowers for specific materials and requiring libraries to use technological measures to prevent unauthorized access beyond the loan period. The attorney general is granted the authority to enforce compliance with the bill, including the ability to bring civil actions against publishers for violations, impose civil penalties up to $100,000, and seek other legal remedies.