TOTS Act

To establish requirements for the labeling and user agreements of internet-connected toys for children, and for other purposes. 1. Short title This Act may be cited as the Transparency Over Toys Spying Act TOTS Act 2. Labeling and user agreement requirements for internet-connected toys (a) Regulations Not later than 1 year after the date of the enactment of this Act, the Commission shall promulgate under section 553 of title 5, United States Code, regulations that require a manufacturer introducing into interstate commerce an internet-connected toy to include— (1) on the packaging associated with the toy, a label that clearly indicates— (A) that the toy has the ability to— (i) connect to the internet; and (ii) collect and transmit the personal information of a user of the toy; and (B) whether personal information collected by the toy is retained— (i) in the toy; or (ii) by the manufacturer or another entity; and (2) in any user agreement or privacy policy associated with the toy, highlighted information that is easy to read, is the first text presented by the agreement or policy, and describes— (A) how personal information may be collected by the toy and what personal information may be collected; (B) what personal information may be retained in the toy; (C) what personal information may be transmitted from the toy and to whom the personal information may be transmitted; (D) how transmitted personal information may be provided to, retained, and used by the manufacturer or another entity; (E) any actions taken by the manufacturer to minimize the collection, retention, or transmission of personal information; (F) the protections available to the user with respect to collected, retained, or transmitted personal information, including protections under Federal law; and (G) whether the toy can be used in a manner that prevents the collection, retention, or transmission of personal information, including without connection to the internet or another internet-connected device. (b) Enforcement by Federal Trade Commission (1) Unfair or deceptive acts or practices A violation of a regulation promulgated under subsection (a) shall be treated as a violation of a regulation under section 18(a)(1)(B) of the Federal Trade Commission Act ( 15 U.S.C. 57a(a)(1)(B) (2) Powers of Commission The Commission shall enforce the regulations promulgated under subsection (a) 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. (c) Definitions In this section: (1) Internet-connected toy The term internet-connected toy (A) introduced into interstate commerce and targeted to a child or likely to be operated by a child; (B) the purpose of which is entertainment or amusement; (C) that is able to be connected to the internet, directly or through another internet-connected device; and (D) through which the personal information of a child may be collected and transmitted to a person other than the child or the parent of the child. (2) Personal information The term personal information (A) a first and last name; (B) a home or other physical address, including street name and name of a city or town; (C) an e-mail address; (D) a telephone number; (E) a Social Security number; (F) a photo, video, or audio recording; (G) any other identifier that the Commission determines permits the physical or online contacting of a specific individual; or (H) information concerning a child or the parents of that child collected from the child and combined with an identifier described in this paragraph. (3) Terms defined in Children's Online Privacy Protection Act of 1998 The terms child Commission parent person 15 U.S.C. 6501

Summary: Transparency Over Toys Spying Act or the TOTS Act This bill requires the Federal Trade Commission to issue rules requiring internet-connected toys to include a label indicating that the toy has the ability to connect to the internet and collect and transmit personal information of the user. The label must also indicate whether personal information collected by the toy is retained in the toy or by the manufacturer or another entity. Further, any user agreement or privacy policy associated with the toy must prominently state specified information about how personal information may be collected and used by the manufacturer or other entity. Internet-connected toys include entertainment devices that are targeted to, or likely to be operated by, children and are able to connect to the internet and collect and transmit personal information. The bill also authorizes the commission to enforce these rules.