Bill Text: NY S04822 | 2021-2022 | 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 - Dead) 2022-01-05 - REFERRED TO INTERNET AND TECHNOLOGY [S04822 Detail]

Download: New_York-2021-S04822-Introduced.html

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                STATE OF NEW YORK
        ________________________________________________________________________

                                          4822

                               2021-2022 Regular Sessions

                    IN SENATE

                                    February 12, 2021
                                       ___________

        Introduced  by  Sen.  MAY  --  read  twice and ordered printed, and when
          printed to be committed to the Committee on Internet and Technology

        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.

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD09768-01-1
        S. 4822                             2

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