This bill introduces a new section to chapter 51-07 of the North Dakota Century Code, establishing liability for commercial entities that publish or distribute sexual material deemed harmful to minors. It defines key terms such as "commercial entity," "distribute," "minor," and "sexual material harmful to a minor," and outlines the requirements for reasonable age verification methods that must be employed by these entities. If a commercial entity knowingly fails to perform these age verification methods and allows a minor access to such material, it can be held liable for damages. Additionally, the bill allows parents or guardians of minors, as well as individuals whose identifying information is improperly retained, to bring civil actions against the offending entities.

The legislation also provides protections for bona fide news organizations and clarifies that internet service providers and related entities cannot be held liable for merely providing access to harmful content, as long as they do not control the content itself. The bill emphasizes the importance of age verification in protecting minors from inappropriate material and establishes penalties for non-compliance, including the potential for compensatory and exemplary damages. This Act will apply to websites accessed on or after its effective date.