This bill aims to protect public libraries in New Jersey by prohibiting certain restrictive provisions in contracts for the procurement and licensing of electronic literary materials, such as digital audiobooks and e-books. Specifically, it disallows contracts that preclude libraries from performing customary operational and lending functions, restrict their ability to disclose contract terms, or compel them to violate existing laws regarding the confidentiality of library records. The bill also clarifies that any contracts containing these prohibited provisions are considered unconscionable and unenforceable, and any waivers of these provisions are void.

Additionally, the bill establishes that violations of its provisions will be treated as unfair competition and deceptive practices under the New Jersey consumer fraud act, allowing libraries, borrowers, or the Attorney General to seek relief. The act will take effect immediately and will apply to contracts entered into after its effective date, ensuring that existing contracts are not affected unless they are renewed.