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[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 10364 Introduced in House (IH)]

<DOC>

118th CONGRESS
  2d Session
                               H. R. 10364

To safeguard children from harmful app services accessible through app 
   stores across the United States, to provide parents with parental 
controls, to provide parents clear and accurate information about apps 
 and their services to ensure proper parental consent is achieved, and 
                          for other purposes.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                           December 11, 2024

  Mr. James introduced the following bill; which was referred to the 
                    Committee on Energy and Commerce

_______________________________________________________________________

                                 A BILL

 
To safeguard children from harmful app services accessible through app 
   stores across the United States, to provide parents with parental 
controls, to provide parents clear and accurate information about apps 
 and their services to ensure proper parental consent is achieved, and 
                          for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``App Store 
Accountability Act''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Findings; sense of Congress.
Sec. 3. Definitions.
Sec. 4. App store obligations.
Sec. 5. Developer obligations.
Sec. 6. App age ratings transparency advisory committee.
Sec. 7. Compliance.
Sec. 8. Enforcement.
Sec. 9. Preemption.
Sec. 10. Severability.
Sec. 11. Effective date.

SEC. 2. FINDINGS; SENSE OF CONGRESS.

    (a) Findings.--Congress finds the following:
            (1) Minors do not have the same capacity to consent to a 
        contract as adults.
            (2) Many apps allow in-app purchases without confirming 
        that an adult has consented to such a purchase.
            (3) Many apps contain content or features inappropriate for 
        minors, such as obscene or explicitly sexual content, addictive 
        features, and adult themes.
            (4) 95 percent of teenagers in the United States own a 
        smart phone and have access to apps through an app store.
            (5) The leading app stores provide some ability for parents 
        to oversee a minor's use of apps, but those abilities are 
        incomplete to appropriately protect minors.
            (6) The leading app stores provide some age rating for 
        apps, but those ratings can be inaccurate, vague, deceptive, or 
        otherwise unhelpful to parents.
            (7) Some developers claim to limit or prohibit the use of 
        their app by minors but too often fail to enforce those 
        policies.
            (8) Several online services provide the capability to 
        verify the age of a user.
            (9) App stores have the ability to, but too often do not, 
        verify the age of a user.
            (10) Requiring age verification by the largest app store 
        providers may empower parental oversight of minors' use of apps 
        while minimizing the burden on developers, entrepreneurs, 
        parents, and other adult users of apps.
            (11) Two app stores, the Apple App Store and the Google 
        Play Store, almost entirely control the app distribution market 
        in the United States, and these 2 stores provide methods for 
        parents to oversee a minor's use of apps, but those methods are 
        incomplete to appropriately protect minors.
    (b) Sense of Congress.--It is the sense of Congress that--
            (1) requiring age verification by the largest app store 
        providers may empower parental oversight of minors' use of apps 
        while minimizing the burden on developers, entrepreneurs, 
        parents, and other adult users of apps;
            (2) mobile device usage depends on access to certain apps;
            (3) mobile devices have evolved to command a uniquely 
        pervasive presence as a medium of expression, are impossible to 
        completely avoid, and are foundational to both public and 
        private life; and
            (4) disclosure of offensive content within apps--
                    (A) empowers parents to better understand what apps 
                their children are using and exercise their parental 
                oversight; and
                    (B) ensures that minors are better able to avoid 
                content they are instructed against accessing or would 
                otherwise desire to personally avoid.

SEC. 3. DEFINITIONS.

    In this Act:
            (1) Age category.--The term ``age category'' means the 
        category of an individual based on their age, including the 
        following categories:
                    (A) Adult.--An ``adult'' is such an individual who 
                has attained 18 years of age.
                    (B) Teenager.--A ``teenager'' is such an individual 
                who has attained 16 years of age but has not attained 
                18 years of age.
                    (C) Child.--A ``child'' is such an individual who 
                has attained 13 years of age but has not attained 16 
                years of age.
                    (D) Young child.--A ``young child'' is such an 
                individual who has not attained 13 years of age.
            (2) Age rating.--The term ``age rating'' means a public 
        display that indicates the appropriateness of an app for 
        different age categories.
            (3) App.--The term ``app'' means a software application or 
        electronic service that may be run or directed by a user on a 
        computer, mobile device, or any other general purpose computing 
        device.
            (4) App store.--The term ``app store'' means a publicly 
        available website, software application, or other electronic 
        service that distributes and facilitates the download of an app 
        from a third-party developer by a user of a computer, mobile 
        device, or any other general purpose computing device.
            (5) Commission.--The term ``Commission'' means the Federal 
        Trade Commission.
            (6) Covered app store provider.--The term ``covered app 
        store provider'' means any person that owns or controls an app 
        store available in the United States and for which users in the 
        United States exceed 5,000,000.
            (7) Developer.--The term ``developer'' means any person 
        that owns or controls an app on the app store of a covered app 
        store provider and available in the United States.
            (8) Know.--The term ``know'' means to have actual knowledge 
        or knowledge fairly inferred based on objective circumstances.
            (9) Minor.--The term ``minor'' means an individual who has 
        not attained 18 years of age.
            (10) Mobile device.--The term ``mobile device'' means a 
        tablet or smart phone that is capable of running a mobile 
        operating system.
            (11) Mobile operating system.--The term ``mobile operating 
        system'' means a set of software that manages mobile device 
        hardware resources and provides common services for mobile 
        device programs.
            (12) Parent.--The term ``parent'', with respect to a minor, 
        means an adult with the legal right to make decisions on behalf 
        of the minor, including--
                    (A) a natural parent;
                    (B) an adoptive parent;
                    (C) a legal guardian; or
                    (D) an individual with legal custody over the 
                minor.
            (13) Signal.--The term ``signal'' means age bracketed data 
        sent by a real-time secure application programming interface or 
        operating system that is likely to be accessed by minors.
            (14) Verifiable parental consent.--The term ``verifiable 
        parental consent'' means authorization that is provided--
                    (A) by a parent who a covered app store provider 
                has verified is an adult;
                    (B) in response to a disclosure from a covered app 
                store provider that identifies what is specifically 
                being consented to, including the age rating for the 
                app or in-app purchase at issue; and
                    (C) in response to a clear choice to consent or to 
                decline to consent to the request from the covered app 
                store provider.

SEC. 4. APP STORE OBLIGATIONS.

    (a) In General.--Each covered app store provider shall do the 
following:
            (1) Age verification.--Determine the age category for each 
        individual in the United States that uses the app store of such 
        provider and verify such individual's age using commercially 
        reasonable methods.
            (2) Parental oversight of app store usage.--Obtain 
        verifiable parental consent prior to allowing a minor to use 
        the app store of such provider, including by providing a 
        mechanism for a parent to block a minor from downloading any 
        app that is not suitable for the age category of the minor.
            (3) Parental oversight of app downloads.--Obtain verifiable 
        parental consent, on a download-by-download basis, prior to 
        allowing a minor to download an app from the app store of such 
        provider, including by providing an easily accessible mechanism 
        for a parent to consent to the download of an app.
            (4) Parental oversight of app purchases.--Obtain verifiable 
        parental consent, on a purchase-by-purchase basis, prior to 
        allowing a minor to purchase any app through the app store of 
        such provider, and such consent shall be valid for up to 7 
        days.
            (5) Parental oversight of in-app purchases.--Obtain 
        verifiable parental consent, on a purchase-by-purchase basis, 
        prior to allowing a minor to make an in-app purchase through 
        the app store of such provider.
            (6) Parental oversight of app usage.--With respect to any 
        covered app store provider that owns or controls a mobile 
        device's mobile operating system, to the extent practicable, 
        provide to parents a clear and easy mechanism to set--
                    (A) filters that prevent a minor from accessing any 
                adult website on the web browser of the mobile device; 
                and
                    (B) usage limits, including daily limits and 
                limitations during school and evening hours.
            (7) App age rating display.--To the extent the covered app 
        store provider displays age ratings or descriptions of content, 
        clearly and prominently display the age rating or description 
        of content for each app available in the app store of the 
        provider, including information regarding the minimum age 
        category suitable for usage of an app.
            (8) Age category signal to developers.--Provide to 
        developers the ability to determine, in real time, the age 
        category of any user and, with respect to any user that is a 
        minor, whether the covered app store provider has obtained 
        verifiable parental consent in accordance with this section.
    (b) Rules of Construction.--Nothing in this section shall be 
construed--
            (1) to prevent a covered app store provider from taking 
        reasonable measures to block, detect, or prevent the 
        distribution of unlawful, obscene, or other harmful material to 
        minors, to block or filter spam, to prevent criminal activity, 
        or to protect the security of an app store or app;
            (2) to require a covered app store provider to disclose to 
        a developer any information about a user other than such user's 
        age category and, with respect to any user that is a minor, 
        whether the covered app store provider has obtained verifiable 
        parental consent in accordance with this section;
            (3) to allow a covered app store provider to use any 
        measures required by this section in a way that is arbitrary, 
        capricious, anti-competitive, or unlawful; or
            (4) to affect or restrict the expression of political, 
        religious, or other viewpoints.

SEC. 5. DEVELOPER OBLIGATIONS.

    (a) App Age Rating.--To the extent that a developer provides age 
ratings or descriptions of content to users, the developer shall--
            (1) clearly provide the description of content and clearly 
        identify the age category eligible for usage of an app 
        consistent with the rating system developed in accordance with 
        the best practices established by the Advisory Committee under 
        section 6; and
            (2) provide such information to each app store available in 
        the United States.
    (b) Parental Oversight of App Usage.--To the extent technically 
feasible, each developer shall use the application programming 
interface of a covered app store provider to verify--
            (1) the age category of its users; and
            (2) in the case of a minor, whether verifiable parental 
        consent has been obtained before allowing the use of the app or 
        in-app purchases.
    (c) Time Restrictions.--Each developer shall provide readily 
available features for a parent to implement time restrictions with 
respect to the app of such developer, including the ability to view 
metrics reflecting the amount of time that a minor is using the app and 
set daily time limits on a minor's use of such app.
    (d) Use of App Store Provider Signal.--Each developer shall use a 
covered app store provider's signal to determine the age category of a 
user.

SEC. 6. APP AGE RATINGS TRANSPARENCY ADVISORY COMMITTEE.

    (a) Establishment.--Not later than 60 days after the date of 
enactment of this Act, the Commission shall establish and convene the 
App Age Ratings Transparency Advisory Committee (in this section 
referred to as the ``Advisory Committee'') to recommend best practices 
regarding the age rating of apps offered on the app store of any 
covered app store provider for different age categories.
    (b) Participation.--The Advisory Committee shall include members 
from--
            (1) content creators;
            (2) developers;
            (3) public interest groups focused on child welfare;
            (4) parents; and
            (5) any other representatives deemed appropriate by the 
        Commission.
    (c) Report.--Not later than 1 year after the date on which the 
Advisory Committee is established, and every 3 years thereafter until 
the date described in subsection (d), the Advisory Committee shall 
submit to Congress, and publish in a publicly available manner, a 
report that includes recommendations for best practices regarding the 
age rating of apps offered on the app store of any covered app store 
provider.
    (d) Termination.--The Advisory Committee shall terminate on the 
date that is 15 years after the date on which the Advisory Committee is 
established, unless the Commission determines that the continued 
involvement and guidance of the Advisory Committee is in the public 
interest.
    (e) Non-Applicability of FACA.--Chapter 10 of title 5, United 
States Code, other than section 1009 of such Chapter, shall not apply 
to the Advisory Committee established under this section.

SEC. 7. COMPLIANCE.

    Not later than 1 year after the date of enactment of this Act, the 
Commission shall issue guidance to assist covered app store providers 
and developers in complying with the requirements of this Act.

SEC. 8. ENFORCEMENT.

    (a) Unfair or Deceptive Acts or Practice.--A violation of this Act 
or a regulation promulgated thereunder shall be treated as a violation 
of a rule defining an unfair or deceptive act or practice under section 
18(a)(1)(B) of the Federal Trade Commission Act (15 U.S.C. 
57a(a)(1)(B)).
    (b) Powers of the Commission.--
            (1) In general.--Subject to subsection (c), the Commission 
        shall enforce this Act in the same manner, by the same means, 
        and with the same jurisdiction, powers, and duties as though 
        all applicable terms and provisions of the Federal Trade 
        Commission Act (15 U.S.C. 41 et seq.) were incorporated into 
        and made a part of this Act.
            (2) Privileges and immunities.--Any person who violates 
        this Act or a regulation promulgated thereunder shall be 
        subject to the penalties and entitled to the privileges and 
        immunities provided in the Federal Trade Commission Act (15 
        U.S.C. 41 et seq.).
            (3) Authority preserved.--Nothing in this Act shall be 
        construed to limit the authority of the Commission under any 
        other provision of law.
    (c) Additional Penalties and Authority.--In addition to the 
authority and penalties provided in the Federal Trade Commission Act 
(15 U.S.C. 41 et seq.), the following authority and penalties shall 
apply with respect to a violation of this Act:
            (1) Specific civil penalties.--
                    (A) Knowing misstatement of content.--Any covered 
                app store provider or developer who knowingly and 
                willfully misstates the content of an app as required 
                under section 4(a)(7) or 5(a) shall be subject to a 
                civil penalty of $500 for each user as determined by 
                the Commission.
                    (B) Negligent misstatements of content.--Any 
                covered app store provider or developer who negligently 
                misstates the content of an app as required under 
                section 4(a)(7) or 5(a) shall be subject to a civil 
                penalty of $250 for each user as determined by the 
                Commission.
                    (C) Failure to verify parental consent.--Any 
                covered app store provider or developer who knowingly 
                or negligently fails to comply with parental consent 
                verification as required under this Act shall be 
                subject to a civil penalty of $1,000 for each user as 
                determined by the Commission.
                    (D) Maximum penalty.--The amount of any civil 
                penalty under this paragraph shall not exceed a total 
                of $4,000,000,000 per violation.
                    (E) Construing specific civil penalties.--Each 
                instance of misstatement of content or failure to 
                obtain verifiable parental consent shall be defined by 
                the number of individual downloads or purchases of an 
                app that occurred in noncompliance with this Act.
            (2) General civil penalties.--
                    (A) In general.--Any covered app store provider or 
                developer who violates any provision of this Act or any 
                regulation promulgated under this Act, other than 
                violations described in paragraph (1), shall be subject 
                to a civil penalty for each violation.
                    (B) Maximum penalty.--The amount of any civil 
                penalty under this paragraph shall not exceed 
                $2,000,000,000 per violation.
            (3) Injunctive relief.--
                    (A) In general.--The Commission may seek a 
                temporary restraining order, preliminary injunction, or 
                permanent injunction to prevent any violation of this 
                Act or any regulation promulgated thereunder.
                    (B) Additional relief.--The Commission may seek 
                other forms of equitable relief, including rescission 
                or reformation of contracts, restitution, the refund of 
                money, and the return of property.
            (4) Consumer redress.--The Commission may seek monetary 
        redress for consumers affected by a violation of this Act or 
        any regulation promulgated thereunder, including through a 
        refund, reimbursement, or other form of compensation.
            (5) Cease and desist orders.--
                    (A) In general.--The Commission may issue a cease 
                and desist order to prohibit further violation of this 
                Act or any regulation promulgated thereunder.
                    (B) Compliance requirements.--Cease and desist 
                orders issued under this paragraph may include specific 
                compliance requirements such as changes to business 
                practices, disclosures, and record-keeping.
            (6) Maximum penalties.--The maximum penalty described in 
        paragraph (1)(D) or paragraph (2)(B) shall be doubled upon a 
        finding by the Commission that the covered app store provider 
        or developer in violation of this Act or a regulation 
        promulgated thereunder has repeatedly or flagrantly violated 
        this Act or a regulation promulgated thereunder.

SEC. 9. PREEMPTION.

    Any law, regulation, or other requirement of a State or political 
subdivision of a State with respect to imposing substantially similar 
or the same obligations on app store providers and developers as laid 
out in this Act is hereby preempted by this Act.

SEC. 10. SEVERABILITY.

    If any provision of this Act, or the application thereof to any 
person or circumstance, is held invalid, the remainder of this Act, and 
the application of such provision to other persons not similarly 
situated or to other circumstances, shall not be affected by the 
invalidation.

SEC. 11. EFFECTIVE DATE.

    Except as otherwise provided in this Act, this Act shall take 
effect on the date that is 1 year after the date of enactment of this 
Act.
                                 <all>
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