21.1044.01000
Sixty-seventh
Legislative Assembly SENATE BILL NO. 2333
of North Dakota
Introduced by
Senators Davison, Clemens
Representatives Bosch, Howe
1 A BILL for an Act to create and enact a new section to chapter 51-07 of the North Dakota
2 Century Code, relating to in-application payments for software applications and purchases.
3 BE IT ENACTED BY THE LEGISLATIVE ASSEMBLY OF NORTH DAKOTA:
4 SECTION 1. A new section to chapter 51-07 of the North Dakota Century Code is created
5 and enacted as follows:
6 Software applications - In-application payment - Prohibitions.
7 1. As used in this section:
8 a. "Developer" means a creator of a software application made available for
9 download by a user through a digital application distribution platform or other
10 digital distribution platform.
11 b. "Digital application distribution platform" means a digital distribution platform for
12 applications and services provided to a user on general-purpose hardware,
13 including a mobile phone, smartphone, tablet, personal computer, and other
14 general-purpose devices connected to the internet.
15 c. "In-application payment system" means an application, service, or user interface
16 used to process a payment from a user to a developer for a software application
17 and digital and physical product distributed through a software application.
18 d. "Special-purpose digital application distribution platform" means a digital
19 distribution platform for single or specialized categories of applications, software,
20 and services provided to a user on special-purpose hardware, including a gaming
21 console, music player, and other special-purpose devices connected to the
22 internet.
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Sixty-seventh
Legislative Assembly
1 2. A proprietor of a digital application distribution platform for which cumulative gross
2 receipts from sales on the digital application distribution platform to residents of this
3 state exceed ten million dollars in the previous or current calendar year may not:
4 a. Require a developer to use a digital application distribution platform or digital
5 transaction platform as the exclusive mode of distributing a digital product.
6 b. Require a developer to use an in-application payment system as the exclusive
7 mode of accepting payment from a user to download a software application or
8 purchase a digital or physical product through a software application.
9 c. Retaliate against a developer for choosing to use an alternative application store
10 or in-application payment system.
11 3. An agreement that violates this section is unenforceable and is deemed a violation of
12 this section.
13 4. This section does not apply to a proprietor of a special-purpose digital application
14 distribution platform.
15 5. The attorney general shall receive complaints and investigate violations of this section
16 and may bring an action in any court of competent jurisdiction to obtain the legal or
17 equitable relief on behalf of an individual aggrieved by the violation.
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