Bill Text: NY A08835 | 2023-2024 | General Assembly | Introduced

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Bill Title: Prohibits digital application distribution platforms from requiring digital application developers to exclusively make their product available on such platform, or from requiring such developer to exclusively use such platform's digital payment system on such developer's digital application.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2024-01-18 - referred to consumer affairs and protection [A08835 Detail]

Download: New_York-2023-A08835-Introduced.html

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                STATE OF NEW YORK
        ________________________________________________________________________

                                          8835

                   IN ASSEMBLY

                                    January 18, 2024
                                       ___________

        Introduced by M. of A. KELLES -- read once and referred to the Committee
          on Consumer Affairs and Protection

        AN  ACT  to  amend  the general business law, in relation to prohibiting
          certain exclusivity policies imposed by digital  application  distrib-
          ution platforms on digital application developers

          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:

     1    Section 1. The general business law is amended by adding a new article
     2  45 to read as follows:
     3                                 ARTICLE 45
     4                            DIGITAL APPLICATIONS
     5  Section 1500. Definitions.
     6          1501. Digital application distribution platforms.
     7    § 1500. Definitions. As used in  this  article,  the  following  terms
     8  shall have the following meanings:
     9    1.  "Digital  application"  means  any application software program or
    10  group of programs designed to be downloaded or accessed on an electronic
    11  device including, but not limited to a computer, smartphone, tablet,  or
    12  other similar device by an end-user.
    13    2.  "Developer" means the creator of a digital application made avail-
    14  able for download by end-users through a  digital  application  distrib-
    15  ution platform or other digital distribution platform.
    16    3.   "Digital  application  distribution  platform"  means  a  digital
    17  distribution platform for applications and services provided to  a  user
    18  on  an  electronic  device  including, but not limited to, a smartphone,
    19  tablet, computer, or other similar device.
    20    4. "Special-purpose digital application distribution platform" means a
    21  digital distribution platform for single or  specialized  categories  of
    22  digital  applications, software, and services provided to an end-user on
    23  special-purpose  hardware  including,  but  not  limited  to,  a  gaming
    24  console, music player, or other similar special-purpose device.
    25    5. "Digital payment application" means a digital application, service,
    26  or  user  interface  used to process a payment or money transfer from an
    27  individual or entity to another individual or entity.

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD14060-01-4
        A. 8835                             2

     1    § 1501. Digital application distribution platforms. 1. A proprietor of
     2  a digital application distribution platform for which  cumulative  gross
     3  receipts from sales on such digital application distribution platform to
     4  residents  of  this  state exceed ten million dollars in the previous or
     5  current calendar year shall not:
     6    (a) Require a developer to use a specific digital application distrib-
     7  ution  platform as the exclusive mode of distributing a digital applica-
     8  tion or other digital product;
     9    (b) Require a developer to use a specific digital payment  application
    10  as  the  exclusive  mode  of accepting payment from a user to download a
    11  digital application or purchase a digital or  physical  product  through
    12  such digital application; or
    13    (c)  Retaliate  against a developer for choosing to use an alternative
    14  digital application distribution platform or  digital  payment  applica-
    15  tion.
    16    2. Any contract or agreement that violates this section shall be unen-
    17  forceable and shall be deemed a violation of this section.
    18    3.  This  section shall not apply to a proprietor of a special-purpose
    19  digital application distribution platform.
    20    4. The attorney  general  shall  receive  complaints  and  investigate
    21  violations  of  this  section  and  may  bring an action in any court of
    22  competent jurisdiction to obtain legal or equitable relief on behalf  of
    23  an individual aggrieved by a violation of this section.
    24    § 2. This act shall take effect immediately.