I 

115TH CONGRESS 

2D SESSION H. R. 7160 

To prohibit the circumvention of control measures used by Internet retailers 

to ensure equitable consumer access to products, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

NOVEMBER 16, 2018 

Mr. TONKO introduced the following bill; which was referred to the Committee 

on Energy and Commerce 

A BILL 

To prohibit the circumvention of control measures used by 

Internet retailers to ensure equitable consumer access 

to products, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Stopping Grinch Bots 

5 Act of 2018’’. 

6 SEC. 2. UNFAIR AND DECEPTIVE ACTS AND PRACTICES RE7 LATING TO CIRCUMVENTION OF ONLINE AC8 CESS CONTROL MEASURES. 

9 (a) CONDUCT PROHIBITED.— 


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1 (1) IN GENERAL.—Except as provided in para2 graph (2), it shall be unlawful for any person— 

3 (A) to circumvent a security measure, ac4 cess control system, or other technological con5 trol or measure on an Internet website or online 

6 service to enforce posted purchasing limits or to 

7 manage inventory; or 

8 (B) to sell or offer to sell any product or 

9 service in interstate commerce obtained in viola10 tion of subparagraph (A) if the person selling 

11 or offering to sell the product or service— 

12 (i) participated directly in or had the 

13 ability to control the conduct in violation of 

14 subparagraph (A); or 

15 (ii) knew or should have known that 

16 the product or service was acquired in vio17 lation of subparagraph (A). 

18 (2) EXCEPTION.—It shall not be unlawful 

19 under this section for a person to create or use any 

20 computer software or system— 

21 (A) to investigate, or further the enforce22 ment or defense, of any alleged violation of this 

23 section or other statute or regulation; or 

24 (B) to engage in research necessary to 

25 identify and analyze flaws and vulnerabilities of 


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1 measures, systems, or controls described in 

2 paragraph (1)(A), if these research activities 

3 are conducted— 

4 (i) to advance the state of knowledge 

5 in the field of computer system security; or 

6 (ii) to assist in the development of 

7 computer security product. 

8 (b) ENFORCEMENT BY THE FEDERAL TRADE COM9 MISSION.— 

10 (1) UNFAIR OR DECEPTIVE ACTS OR PRAC11 TICES.—A violation of subsection (a) shall be treated 

12 as a violation of a rule defining an unfair or a de13 ceptive act or practice under section 18(a)(1)(B) of 

14 the Federal Trade Commission Act (15 U.S.C. 

15 57a(a)(1)(B)). 

16 (2) POWERS OF COMMISSION.— 

17 (A) IN GENERAL.—The Commission shall 

18 enforce this section in the same manner, by the 

19 same means, and with the same jurisdiction, 

20 powers, and duties as though all applicable 

21 terms and provisions of the Federal Trade 

22 Commission Act (15 U.S.C. 41 et seq.) were in23 corporated into and made a part of this section. 

24 (B) PRIVILEGES AND IMMUNITIES.—Any 

25 person who violates subsection (a) shall be subVerDate Sep 11 2014 03:45 Nov 20, 2018 Jkt 089200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H7160.IH H7160

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1 ject to the penalties and entitled to the privi2 leges and immunities provided in the Federal 

3 Trade Commission Act (15 U.S.C. 41 et seq.). 

4 (C) AUTHORITY PRESERVED.—Nothing in 

5 this Act shall be construed to limit the author6 ity of the Commission under any other provi7 sion of law. 

8 (c) ENFORCEMENT BY STATES.— 

9 (1) IN GENERAL.—In any case in which the at10 torney general of a State has reason to believe that 

11 an interest of the residents of the State has been or 

12 is threatened or adversely affected by the engage13 ment of any person subject to subsection (a) in a 

14 practice that violates such subsection, the attorney 

15 general of the State may, as parens patriae, bring 

16 a civil action on behalf of the residents of the State 

17 in an appropriate district court of the United 

18 States— 

19 (A) to enjoin further violation of such sub20 section by such person; 

21 (B) to compel compliance with such sub22 section; and 

23 (C) to obtain damages, restitution, or other 

24 compensation on behalf of such residents. 


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1 (2) RIGHTS OF FEDERAL TRADE COMMIS2 SION.— 

3 (A) NOTICE TO FEDERAL TRADE COMMIS4 SION.— 

5 (i) IN GENERAL.—Except as provided 

6 in clause (iii), the attorney general of a 

7 State shall notify the Commission in writ8 ing that the attorney general intends to 

9 bring a civil action under paragraph (1) 

10 not later than 10 days before initiating the 

11 civil action. 

12 (ii) CONTENTS.—The notification re13 quired by clause (i) with respect to a civil 

14 action shall include a copy of the complaint 

15 to be filed to initiate the civil action. 

16 (iii) EXCEPTION.—If it is not feasible 

17 for the attorney general of a State to pro18 vide the notification required by clause (i) 

19 before initiating a civil action under para20 graph (1), the attorney general shall notify 

21 the Commission immediately upon insti22 tuting the civil action. 

23 (B) INTERVENTION BY FEDERAL TRADE

24 COMMISSION.—The Commission may— 


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1 (i) intervene in any civil action 

2 brought by the attorney general of a State 

3 under paragraph (1); and 

4 (ii) upon intervening— 

5 (I) be heard on all matters aris6 ing in the civil action; and 

7 (II) file petitions for appeal of a 

8 decision in the civil action. 

9 (3) INVESTIGATORY POWERS.—Nothing in this 

10 subsection may be construed to prevent the attorney 

11 general of a State from exercising the powers con12 ferred on the attorney general by the laws of the 

13 State to conduct investigations, to administer oaths 

14 or affirmations, or to compel the attendance of wit15 nesses or the production of documentary or other 

16 evidence. 

17 (4) ACTION BY FEDERAL TRADE COMMIS18 SION.—If the Commission institutes a civil action or 

19 an administrative action with respect to a violation 

20 of subsection (a), the attorney general of a State 

21 may not, during the pendency of such action, bring 

22 a civil action under paragraph (1) against any de23 fendant named in the complaint of the Commission 

24 for the violation with respect to which the Commis25 sion instituted such action. 


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1 (5) VENUE; SERVICE OF PROCESS.— 

2 (A) VENUE.—Any action brought under 

3 paragraph (1) may be brought in— 

4 (i) the district court of the United 

5 States that meets applicable requirements 

6 relating to venue under section 1391 of 

7 title 28, United States Code; or 

8 (ii) another court of competent juris9 diction. 

10 (B) SERVICE OF PROCESS.—In an action 

11 brought under paragraph (1), process may be 

12 served in any district in which the defendant— 

13 (i) is an inhabitant; or 

14 (ii) may be found. 

15 (6) ACTIONS BY OTHER STATE OFFICIALS.— 

16 (A) IN GENERAL.—In addition to civil ac17 tions brought by attorneys general under para18 graph (1), any other consumer protection offi19 cer of a State who is authorized by the State 

20 to do so may bring a civil action under para21 graph (1), subject to the same requirements 

22 and limitations that apply under this subsection 

23 to civil actions brought by attorneys general. 

24 (B) SAVINGS PROVISION.—Nothing in this 

25 subsection may be construed to prohibit an auVerDate Sep 11 2014 03:45 Nov 20, 2018 Jkt 089200 PO 00000 Frm 00007 Fmt 6652 Sfmt 6201 E:\BILLS\H7160.IH H7160

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1 thorized official of a State from initiating or 

2 continuing any proceeding in a court of the 

3 State for a violation of any civil or criminal law 

4 of the State. 

5 SEC. 3. DEFINITIONS. 

6 In this Act: 

7 (1) COMMISSION.—The term ‘‘Commission’’ 

8 means the Federal Trade Commission. 

9 (2) POSTED.—The term ‘‘posted’’ means clearly 

10 and conspicuously published on an Internet website. 

Æ 


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