Bill Text: MS HB1447 | 2026 | Regular Session | Introduced
Bill Title: Mississippi Social Media Fraud Accountability and Consumer Protection Act; create.
Sponsorship: Partisan Bill (Republican 1)
Status: (Failed) 2026-02-03 - Died In Committee [HB1447 Detail]
Download: Mississippi-2026-HB1447-Introduced.html
MISSISSIPPI LEGISLATURE
2026 Regular Session
To: Technology; Judiciary A
By: Representative Ford (73rd)
House Bill 1447
AN ACT TO BE KNOWN AS THE MISSISSIPPI SOCIAL MEDIA FRAUD ACCOUNTABILITY AND CONSUMER PROTECTION ACT; TO PROVIDE THAT SOCIAL MEDIA PLATFORMS HAVE A DUTY OF CARE TO PROTECT USERS FROM FRAUDULENT ADVERTISERS; TO REQUIRE IDENTITY VERIFICATION, FRAUD DETECTION AND REPORTING MECHANISMS; TO MANDATE THE REMOVAL OF FRAUDULENT ADVERTISEMENTS WITHIN SEVENTY-TWO HOURS; TO REQUIRE QUARTERLY TRANSPARENCY REPORTS; TO ESTABLISH LIABILITY AND A SAFE HARBOR FOR COMPLIANT PLATFORMS; TO AUTHORIZE THE ATTORNEY GENERAL TO BRING CIVIL ACTION AGAINST SOCIAL MEDIA PLATFORMS THAT VIOLATE THIS ACT; TO PROVIDE INDIVIDUALS HARMED BY A PATTERN OR PRACTICE THAT VIOLATES THIS ACT A PRIVATE RIGHT OF ACTION; TO AMEND SECTION 75-24-5, MISSISSIPPI CODE OF 1972, TO PROVIDE THAT A VIOLATION OF THIS ACT IS AN UNFAIR OR DECEPTIVE BUSINESS PRACTICE UNDER CONSUMER PROTECTION LAWS; TO AMEND SECTIONS 77-3-803 AND 77-3-805, MISSISSIPPI CODE OF 1972, TO PROHIBIT CALLER ID SPOOFING IN ADVERTISEMENTS; TO AMEND SECTION 81-29-3, MISSISSIPPI CODE OF 1972, TO PROHIBIT THE UNAUTHORIZED USE OF BANK NAMES; AND FOR RELATED PURPOSES.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:
SECTION 1. (1) This act shall be known and may be cited as the "Mississippi Social Media Fraud Accountability and Consumer Protection Act".
(2) For the purposes of this section, the following words have the meanings as defined in this subsection, unless the context clearly requires otherwise:
(a) "Fraudulent advertisement" means any paid or promoted content disseminated through a social media platform that misrepresents material facts, including the identity of the advertiser or the nature of the goods or services, to induce a transaction.
(b) "Social media platform" means any interactive computer service that enables users to create, share or view content, and which accepts payment or compensation for advertising.
(3) A social media platform operating in this state shall exercise reasonable care to prevent the dissemination of fraudulent advertisements. To fulfill this duty, any social media platform that accepts payment, or any other form of compensation, for advertising, shall establish and implement procedures to provide and require:
(a) Robust identity verification protocols for all advertisers prior to the publication of any paid content;
(b) An active impersonation detection and mitigation program designed to identify and block accounts or advertisements that impersonate legitimate individuals or entities;
(c) Automated and manual fraud detection systems capable of flagging suspicious commercial activity; and
(d) A clear, conspicuous and user-friendly tool for users to report suspected fraud.
(4) (a) Upon receiving a report of suspected fraud from a user, financial institution or the Attorney General, a social media platform must, within seventy-two (72) hours, investigate and make a determination whether such reported activity violates this act.
(b) If the advertisement is determined to be fraudulent, the social media platform must immediately remove the reported fraudulent advertisement from its platform.
(c) Regardless of the outcome of its investigation and the action taken, the social media platform must notify the submitter regarding the status and result of the report upon the conclusion of its investigation.
(5) Each social media platform shall publish a comprehensive quarterly public report on its website containing, at a minimum, the following data elements:
(a) The percentage of total number of advertisements reported by users for fraud;
(b) The percentage of advertisements reported as fraudulent that were removed, and the average time between receipt of report and removal;
(c) Trend data comparing changes in the total number of reported advertisements and the total advertisements removed from quarter to quarter and year to year;
(d) The total dollar value of compensation received by the platform for advertisements that were reported and for advertisements that were removed each quarter; and
(e) The total number of impersonation reports received each quarter and the average time taken to resolve them.
(6) (a) A social media platform shall be liable for actual damages caused by a fraudulent advertisement if the platform:
(i) Violates the duty of care established in subsection (3) of this section;
(ii) Fails to investigate and remove a reported fraudulent advertisement within the seventy-two (72) hour period; or
(iii) Knowingly permits fraudulent advertisements on its platform or ignores credible reports of such fraud.
(b) A violation of this section shall be considered an unfair or deceptive practice under the Mississippi Consumer Protection Act, Section 75-24-5.
(c) (i) If the Attorney General has reason to believe that any person or social media platform is using or intends to use any method, act or practice declared by this section to be unlawful, the Attorney General may bring an action in a court of competent jurisdiction to enjoin such act or practice, to enforce compliance with this section and to seek damages, restitution or other compensation for individuals harmed by this act, or civil or criminal penalties.
(ii) A person or platform found to be in violation of this section shall be subject to a penalty of not less than Ten Thousand Dollars ($10,000.00) for each violation.
(iii) In addition to any other remedy available under the law, a person adversely affected by any pattern or practice that violates this section may bring a civil action in a court of competent jurisdiction if the amount in controversy exceeds the sum or value of Five Hundred Dollars ($500.00) in actual damages for each person adversely affected by such pattern or practice. An action under this subparagraph (iii) must be commenced within three (3) years of the discovery of the violation.
(d) A social media platform that maintains a certified fraud-prevention program that is consistent with the provisions of this act and approved by the Mississippi Attorney General's Office of Consumer Protection is presumed to be in compliance with the duty of care requirements of subsection (3) of this act, provided it has not acted with gross negligence or willful misconduct.
SECTION 2. Section 75-24-5, Mississippi Code of 1972, is amended as follows:
75-24-5. (1) Unfair methods of competition affecting commerce and unfair or deceptive trade practices in or affecting commerce are prohibited. Action may be brought under Section 75-24-5(1) only under the provisions of Section 75-24-9.
(2) Without limiting the scope of subsection (1) of this section, the following unfair methods of competition and unfair or deceptive trade practices or acts in the conduct of any trade or commerce are hereby prohibited:
(a) Passing off goods or services as those of another;
(b) Misrepresentation of the source, sponsorship, approval, or certification of goods or services;
(c) Misrepresentation of affiliation, connection, or association with, or certification by another;
(d) Misrepresentation of designations of geographic origin in connection with goods or services;
(e) Representing that goods or services have sponsorship, approval, characteristics, ingredients, uses, benefits, or quantities that they do not have or that a person has a sponsorship, approval, status, affiliation, or connection that he does not have;
(f) Representing that goods are original or new if they are reconditioned, reclaimed, used, or secondhand;
(g) Representing that goods or services are of a particular standard, quality, or grade, or that goods are of a particular style or model, if they are of another;
(h) Disparaging the goods, services, or business of another by false or misleading representation of fact;
(i) Advertising goods or services with intent not to sell them as advertised;
(j) Advertising goods or services with intent not to supply reasonably expectable public demand, unless the advertisement discloses a limitation of quantity;
(k) Misrepresentations of fact concerning the reasons for, existence of, or amounts of price reductions;
(l) Advertising by or on behalf of any licensed or regulated health care professional which does not specifically describe the license or qualifications of the licensed or regulated health care professional;
(m) Charging an increased premium for reinstating a motor vehicle insurance policy that was cancelled or suspended by the insured solely for the reason that he was transferred out of this state while serving in the United States Armed Forces or on active duty in the National Guard or United States Armed Forces Reserve. It is also an unfair practice for an insurer to charge an increased premium for a new motor vehicle insurance policy if the applicant for coverage or his covered dependents were previously insured with a different insurer and canceled that policy solely for the reason that he was transferred out of this state while serving in the United States Armed Forces or on active duty in the National Guard or United States Armed Forces Reserve. For purposes of determining premiums, an insurer shall consider such persons as having maintained continuous coverage. The provisions of this paragraph (m) shall apply only to such instances when the insured does not drive the vehicle during the period of cancellation or suspension of his policy;
(n) Violating the provisions of Section 75-24-8;
(o) Violating the provisions of Section 73-3-38;
(p) Violating any of
the provisions of Title 41, Chapter 149, Mississippi Code of 1972; * * *
(q) Violating any of
the provisions of Title 45, Chapter 38, Mississippi Code of 1972 * * *;
(r) Violating any of
the provisions of Title 41, Chapter 151, Mississippi Code of 1972 * * *; and
(s) Violating any of the provisions of Section 1 of this act.
SECTION 3. Section 77-3-803, Mississippi Code of 1972, is amended as follows:
77-3-803. As used in this article:
(a) "Automatic number identification" means a system that identifies the billing account for a call and includes an enhanced 911 service capability that enables the automatic display of the ten-digit number used to place a 911 call from a wire line, wireless, interconnected VoIP or nontraditional telephone service.
(b) "Caller identification information" means information provided by a caller identification service regarding the telephone number, or other origination information, of a call or facsimile transmission made using a telecommunications service or an interconnected VoIP service, or of a text message sent using a text-messaging service.
(c) "Caller identification service" means any service or device designed to provide the user of the service or device with the telephone number of, or other information regarding the origination of, a call made using a telecommunications service or interconnected VoIP service. The term includes automatic number identification services.
(d) "Interconnected VoIP service" means an interconnected Voice over Internet Protocol service that:
(i) Enables real-time, two-way voice communications;
(ii) Requires a broadband Internet connection from the user's location;
(iii) Requires Internet protocol-compatible customer premises equipment; and
(iv) Permits users generally to receive calls that originate on the public switched telephone network and to terminate calls to the public switched telephone network.
(e) "Place of primary use" means the street address where a subscriber's use of a telecommunications service or interconnected VoIP service primarily occurs, which shall be:
(i) The residential street address or the primary business street address of the subscriber or, in the case of a subscriber of interconnected VoIP service, the subscriber's registered location; and
(ii) Within the licensed service area of the provider.
(f) "Provider" means a person or entity that offers telecommunications service or interconnected VoIP service.
(g) "Registered location" means the most recent information obtained by an interconnected VoIP service provider that identifies the physical location of an end user.
(h) "Subscriber" means a person:
(i) Who subscribes to a caller identification service in connection with a telecommunications service or an interconnected VoIP service; and
(ii) Whose place of primary use for the service described in paragraph (h)(i) is located in Mississippi.
(i) "Telecommunications service" means the offering of telecommunications for a fee directly to the public, or to classes of users so as to be effectively available directly to the public, regardless of the facilities used.
(j) "Electronic advertisement" means a read, written, visual, oral, watched or heard bid for, or call to attention, of property, goods or services through a telephone call, text message, e-mail or other electronic communication.
(k) "Electronic solicitation" means the initiation of a telephone call, text message, e-mail or other electronic communication for the purpose or apparent purpose of encouraging the purchase or rental of, or investment in, property, goods or services, which is transmitted to any person.
SECTION 4. Section 77-3-805, Mississippi Code of 1972, is amended as follows:
77-3-805. (1) Except as provided in Section 77-3-807, a person shall not, in connection with any telecommunications service or interconnected VoIP service, knowingly and with the intent to defraud or cause harm to another person or to wrongfully obtain anything of value, cause any caller identification service to transmit misleading or inaccurate caller identification information to a subscriber.
(2) No person or business shall take any action which originates, facilitates the transmission of, or delivers to a recipient a call that falsely identifies the caller's name or telephone number when the equipment or service used by the person or business is capable of transmitting the caller's true name or telephone number.
(3) It shall be unlawful to block, spoof or otherwise circumvent caller identification services or call screening products in connection with any electronic advertisement or electronic solicitation.
SECTION 5. Section 81-29-3, Mississippi Code of 1972, is amended as follows:
81-29-3. (1) A person other than the owner of the trade name or trademark may not use a trade name or trademark of a lender or a trade name or trademark confusingly similar to that of a lender in a solicitation for the offering of services or products without the written consent of the lender, unless the solicitation clearly and conspicuously states in boldfaced type on the front page of the correspondence containing the solicitation all of the following:
(a) The name, address and telephone number of the person making the solicitation.
(b) That the person making the solicitation is not affiliated with the lender.
(c) That the solicitation is not authorized or sponsored by the lender.
(d) That the loan information referenced was not provided by the lender.
(2) A person may not use a loan number, loan amount or other specific loan information that is not publicly available in a solicitation for the purchase of services or products. However, the prohibition does not apply to the use by a lender or its affiliates in communications with a current or former customer of the lender of a loan number, loan amount or other specific loan information derived from the business relationship between the lender and the current or former customer.
(3) (a) A person other than the lender may not use a loan number, loan amount or other specific loan information that is publicly available in a solicitation for the purchase of services or products unless the solicitation clearly and conspicuously states in boldfaced type on the front page of the correspondence containing the solicitation all of the following:
(i) The name, address and telephone number of the person making the solicitation.
(ii) That the person making the solicitation is not affiliated with the lender.
(iii) That the solicitation is not authorized or sponsored by the lender.
(iv) That the loan information referenced was not provided by the lender.
(b) The prohibition in paragraph (a) does not apply to the use by a lender or its affiliates in communications with a current or former customer of the lender of a loan number, loan amount or other specific loan information derived from the business relationship between the lender and the current or former customer.
(4) Any reference to a lender without consent of the lender as required by this chapter and any reference to a loan number, loan amount or other specific loan information appearing on the outside of an envelope, visible through the envelope window, or on a postcard, in connection with any written communication that includes or contains a solicitation for services or products is prohibited.
(5) It is not a violation of this chapter for a person to use the trade name of another lender in an advertisement for services or products to compare the services or products offered by the other lender.
(6) A lender or owner of a
trade name or trademark may seek an injunction against a person who violates
this section to stop the unlawful use of the trade name, trademark or loan
information. The person seeking the injunction shall not be required to prove
actual damage as a result of the violation. Irreparable harm to the lender or
owner shall be presumed. The lender or owner seeking the injunction may seek
to recover actual damages and any profits the defendant has accrued as a result
of the violation. The prevailing party in any action brought under this
subsection is entitled to recover costs associated with the action and
reasonable * * *
attorney's fees from the other party.
(7) No person or business shall use the name, trade name, trademark, logo, phone number or Internet address of any bank, credit union, trust company or financial institution, or any subsidiary thereof, in any electronic advertisement or electronic solicitation without the express written consent of such entity. A violation of this subsection (7) constitutes a "fraudulent advertisement" under Section 1 of this act.
SECTION 6. This act shall take effect and be in force from and after July 1, 2026.
