Bill Summary – FastDemocracy

LEGISLATIVE GENERAL COUNSEL                                           H.B. 385
       6 Approved for Filing: S. Elder 6
         6 01-24-24 12:16 PM 6
                         SOCIAL MEDIA USAGE AMENDMENTS
                                      2024 GENERAL SESSION
                                           STATE OF UTAH
                                    Chief Sponsor: Ken Ivory
                                 Senate Sponsor: ____________
 6
 LONG TITLE
 General Description:
        This bill enacts the Utah Digital Expression Act.
 Highlighted Provisions:
        This bill:
        < defines terms;
        < requires public disclosure of certain information by social media platforms;
        < requires social media platforms to establish a complaint process and procedures
 related to content removal and account restrictions;
        < prohibits viewpoint-based censorship on social media platforms, with certain
 exceptions;
        < authorizes the Division of Consumer Protection to investigate complaints and
 enforce provisions of the Utah Digital Expression Act; and
        < allows a private right of action for violations.
 Money Appropriated in this Bill:
        None
 Other Special Clauses:
        This bill provides a special effective date.
 Utah Code Sections Affected:
                                                                                                H.B. 385
 AMENDS:
        13-2-1 (Superseded 05/02/24), as last amended by Laws of Utah 2023, Chapters 31,
     *HB0385*
       H.B. 385                                                            01-24-24 12:16 PM
 36, 377, 458, 477, 498, and 509
        13-2-1 (Effective 05/02/24), as last amended by Laws of Utah 2023, Chapters 31, 36,
 377, 458, 477, 498, 509, and 536
 ENACTS:
        13-70-101, Utah Code Annotated 1953
        13-70-201, Utah Code Annotated 1953
        13-70-202, Utah Code Annotated 1953
        13-70-301, Utah Code Annotated 1953
        13-70-302, Utah Code Annotated 1953
        13-70-401, Utah Code Annotated 1953
        13-70-501, Utah Code Annotated 1953
        13-70-502, Utah Code Annotated 1953
        13-70-503, Utah Code Annotated 1953
        13-70-504, Utah Code Annotated 1953
        13-70-505, Utah Code Annotated 1953
        13-70-601, Utah Code Annotated 1953
44
 Be it enacted by the Legislature of the state of Utah:
        Section 1. Section 13-2-1 (Superseded 05/02/24) is amended to read:
        13-2-1 (Superseded 05/02/24). Consumer protection division established --
 Functions.
        (1) There is established within the Department of Commerce the Division of Consumer
 Protection.
        (2) The division shall administer and enforce the following:
        (a) Chapter 10a, Music Licensing Practices Act;
        (b) Chapter 11, Utah Consumer Sales Practices Act;
        (c) Chapter 15, Business Opportunity Disclosure Act;
        (d) Chapter 20, New Motor Vehicle Warranties Act;
        (e) Chapter 21, Credit Services Organizations Act;
        (f) Chapter 22, Charitable Solicitations Act;
        (g) Chapter 23, Health Spa Services Protection Act;
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      01-24-24 12:16 PM                                                                H.B. 385
        (h) Chapter 25a, Telephone and Facsimile Solicitation Act;
        (i) Chapter 26, Telephone Fraud Prevention Act;
        (j) Chapter 28, Prize Notices Regulation Act;
        (k) Chapter 32a, Pawnshop, Secondhand Merchandise, and Catalytic Converter
 Transaction Information Act;
        (l) Chapter 34, Utah Postsecondary School and State Authorization Act;
        (m) Chapter 41, Price Controls During Emergencies Act;
        (n) Chapter 42, Uniform Debt-Management Services Act;
        (o) Chapter 49, Immigration Consultants Registration Act;
        (p) Chapter 51, Transportation Network Company Registration Act;
        (q) Chapter 52, Residential Solar Energy Disclosure Act;
        (r) Chapter 53, Residential, Vocational and Life Skills Program Act;
        (s) Chapter 54, Ticket Website Sales Act;
        (t) Chapter 56, Ticket Transferability Act;
        (u) Chapter 57, Maintenance Funding Practices Act;
        (v) Chapter 61, Utah Consumer Privacy Act;
        (w) Chapter 63, Utah Social Media Regulation Act;
        (x) Chapter 64, Vehicle Value Protection Agreement Act;
        (y) Chapter 65, Utah Commercial Email Act; [and]
        (z) Chapter 67, Online Dating Safety Act[.]; and
        (aa) Chapter 70, Utah Digital Expression Act.
        Section 2. Section 13-2-1 (Effective 05/02/24) is amended to read:
        13-2-1 (Effective 05/02/24). Consumer protection division established --
 Functions.
        (1) There is established within the Department of Commerce the Division of Consumer
 Protection.
        (2) The division shall administer and enforce the following:
        (a) Chapter 10a, Music Licensing Practices Act;
        (b) Chapter 11, Utah Consumer Sales Practices Act;
        (c) Chapter 15, Business Opportunity Disclosure Act;
        (d) Chapter 20, New Motor Vehicle Warranties Act;
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       H.B. 385                                                               01-24-24 12:16 PM
        (e) Chapter 21, Credit Services Organizations Act;
        (f) Chapter 22, Charitable Solicitations Act;
        (g) Chapter 23, Health Spa Services Protection Act;
        (h) Chapter 25a, Telephone and Facsimile Solicitation Act;
        (i) Chapter 26, Telephone Fraud Prevention Act;
        (j) Chapter 28, Prize Notices Regulation Act;
        (k) Chapter 32a, Pawnshop, Secondhand Merchandise, and Catalytic Converter
 Transaction Information Act;
        (l) Chapter 34, Utah Postsecondary School and State Authorization Act;
        (m) Chapter 41, Price Controls During Emergencies Act;
        (n) Chapter 42, Uniform Debt-Management Services Act;
        (o) Chapter 49, Immigration Consultants Registration Act;
        (p) Chapter 51, Transportation Network Company Registration Act;
        (q) Chapter 52, Residential Solar Energy Disclosure Act;
        (r) Chapter 53, Residential, Vocational and Life Skills Program Act;
        (s) Chapter 54, Ticket Website Sales Act;
        (t) Chapter 56, Ticket Transferability Act;
        (u) Chapter 57, Maintenance Funding Practices Act;
        (v) Chapter 61, Utah Consumer Privacy Act;
        (w) Chapter 63, Utah Social Media Regulation Act;
        (x) Chapter 64, Vehicle Value Protection Agreement Act;
        (y) Chapter 65, Utah Commercial Email Act;
        (z) Chapter 67, Online Dating Safety Act; [and]
        (aa) Chapter 68, Lawyer Referral Consultants Registration Act[.]; and
        (bb) Chapter 70, Utah Digital Expression Act.
        Section 3. Section 13-70-101 is enacted to read:
                      CHAPTER 70. UTAH DIGITAL EXPRESSION ACT
                                     Part 1. General Provisions
        13-70-101. Definitions.
        As used in this chapter:
        (1) "Adverse action" means a social media platform's decision:
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        01-24-24 12:16 PM                                                                       H.B. 385
        (a) to suspend, lock, or disable a user's account;
        (b) to ban a user from the social media platform;
        (c) to remove content;
        (d) to demonetize content;
        (e) to deprioritize content;
        (f) to add an assessment to content, such as a fact check or other disclaimer regarding
 the accuracy of the content without fully disclosing the basis for and sources supporting the
 assessment; or
        (g) to take any other action related to a user's account or content in accordance with the
 social media platform's acceptable use policy that relates or is in response to the viewpoints
 expressed by the user.
        (2) "Censor" or "censorship" means to block, ban, remove, deplatform, de-boost,
 restrict, deny equal access or visibility to, or otherwise discriminate against expression.
        (3) "Director" means the director of the Division of Consumer Protection created in
 Section 13-2-1.
        (4) "Division" means the Division of Consumer Protection created in Section 13-2-1.
        (5) "Expression" means any word, music, sound, still or moving image, number, or
 other perceivable communication.
        (6) "Receive" means, with respect to an expression, to read, hear, look at, access, or
 gain access to the expression.
        (7) (a) "Social media platform" means an Internet website or application:
        (i) that is open to the public;
        (ii) that allows users to create an account; and
        (iii) whose primary purpose is to enable users to disseminate information to and
 communicate with other users through the posting of comments, messages, video, images, or
 other media.
        (b) "Social media platform" does not include:
        (i) an Internet service provider;
        (ii) electronic mail; or
        (iii) an online service, application, or website:
        (A) that consists primarily of content that is not user generated but is preselected by the
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        H.B. 385                                                                  01-24-24 12:16 PM
 provider, regardless of the type of content; and
        (B) for which any chat, comment, or interactive functionality is incidental to, directly
 related to, or dependent on the provider's content described in Subsection (7)(b)(iii)(A).
        (8) "Unlawful expression" means an expression that is unlawful under state or federal
 law, including expression that constitutes a tort under state or federal law.
        (9) (a) "User" means a Utah resident who posts, uploads, transmits, shares, or
 otherwise publishes or receives content through a social media platform.
        (b) "User" includes a person who has a social media platform account that the social
 media platform has disabled or locked.
        (10) "Utah resident" means a person who resides or operates in Utah and:
        (a) if the person is an individual, has their primary residence in Utah; or
        (b) if the person is a business entity or organization, has a principal place of business or
 principal location in Utah.
        (11) "Viewpoint" means a specific motivating ideology, opinion, or perspective.
        Section 4. Section 13-70-201 is enacted to read:
                               Part 2. Disclosure and Acceptable Use Policy
        13-70-201. Public disclosures.
        (1) In accordance with this section, a social media platform shall publicly disclose
 accurate information regarding the social media platform's content management, data
 management, and business practices, including specific information regarding the manner in
 which the social media platform:
        (a) curates and targets content to users;
        (b) places and promotes content, services, and products, including the social media
 platform's own content, services, and products;
        (c) moderates content;
        (d) uses search, ranking, or other algorithms or procedures that determine results on the
 social media platform; and
        (e) provides users with performance data on the use of the platform and the social
 media platform's products and services.
        (2) A social media platform is not required to include in a public disclosure trade
 secrets and commercial or financial information that is protected from disclosure by federal
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        01-24-24 12:16 PM                                                                      H.B. 385
 law.
        (3) A social media platform shall ensure that a public disclosure:
        (a) is sufficient to enable users to make an informed choice regarding the purchase or
 use of access to or services from the platform; and
        (b) is made available on an Internet website that is easily accessible to the public.
        Section 5. Section 13-70-202 is enacted to read:
        13-70-202. Acceptable use policy.
        (1) A social media platform shall publish an acceptable use policy in a location on the
 social media platform that is easily accessible to a user.
        (2) A social media platform shall ensure that an acceptable use policy:
        (a) reasonably informs a user about the types of content that the social media platform
 prohibits;
        (b) explains the steps the social media platform takes to ensure content complies with
 the policy;
        (c) explains the process by which a user may submit a complaint under Section
 13-70-301; and
        (d) includes a copy of the biannual transparency report as described in Section
 13-70-302, including a description of any adverse action the social media platform has taken to
 enforce the policy.
        Section 6. Section 13-70-301 is enacted to read:
                                   Part 3. Complaints and Reporting
        13-70-301. Illegal activity or content -- Adverse actions -- Complaint system and
 procedures - Appeals.
        (1) A social media platform shall:
        (a) provide an easily accessible complaint system that enables a user to submit a
 complaint about the social media platform; and
        (b) track the status of the complaint, including a complaint regarding:
        (i) content that potentially violates the social media platform's acceptable use policy;
        (ii) illegal activity or illegal content; and
        (iii) the social media platform's decision to take an adverse action.
        (2) (a) If a social media platform receives a complaint of illegal content or illegal
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        H.B. 385                                                                   01-24-24 12:16 PM
 activity, the social media platform shall, no later than two business days after the date on which
 the social media platform receives the complaint, make a good faith effort to evaluate the
 legality of the content or activity.
         (b) If the social media platform determines that the alleged illegal content or illegal
 activity suggests that the user who posted the content or conducted the activity poses an
 imminent threat to themselves or others, the social media platform shall immediately notify an
 appropriate law enforcement agency.
         (3) Except as provided in Subsection (5), if a social media platform takes an adverse
 action based on a violation of the platform's acceptable use policy under Section 13-70-202, the
 social media platform shall, concurrently with the action:
         (a) notify the user who posted the content of any content removal and explain the
 reason for the adverse action;
         (b) allow the user to appeal the decision; and
         (c) provide written notice to the user of the right to appeal the action and the process
 for an appeal.
         (4) Within 30 days after receiving an appeal of an adverse action taken by a social
 media platform, a social media platform shall:
         (a) review the appeal;
         (b) make a determination regarding the appeal; and
         (c) provide the written notice, that includes:
         (i) the determination the social media platform reached regarding the appeal; and
         (ii) in the case of a reversal of the social media platform's decision, the reason for the
 reversal.
         (5) A social media platform is not required to provide a user with notice or an
 opportunity to appeal under Subsection (3) if the social media platform:
         (a) is unable to contact the user after taking reasonable steps to make contact;
         (b) reports the user's content or activity to a law enforcement agency; or
         (c) knows the user's content relates to an ongoing law enforcement agency
 investigation.
         (6) If a social media platform receives a user complaint regarding an adverse action,
 the social media platform shall, no later than 14 business days after the date on which the social
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        01-24-24 12:16 PM                                                                          H.B. 385
 media platform receives the complaint:
         (a) review the content that is subject to the adverse action;
         (b) determine whether the content adheres to the platform's acceptable use policy;
         (c) take appropriate steps based on the determination; and
         (d) notify the user regarding the determination and steps taken under this Subsection
 (6).
         Section 7. Section 13-70-302 is enacted to read:
         13-70-302. Biannual transparency report.
         (1) A social media platform shall publish a biannual transparency report that includes,
 with respect to the preceding six-month period:
         (a) the total number of instances in which the social media platform was informed of
 illegal content, illegal activity, or policy-violating content by means of:
         (i) a user complaint;<