Representative Ken Ivory proposes the following substitute bill:


1     
SOCIAL MEDIA USAGE MODIFICATIONS

2     
2023 GENERAL SESSION

3     
STATE OF UTAH

4     
Chief Sponsor: Ken Ivory

5     
Senate Sponsor: ____________

6     

7     LONG TITLE
8     General Description:
9          This bill establishes the Utah Digital Expression Act.
10     Highlighted Provisions:
11          This bill:
12          ▸     authorizes the Division of Consumer Protection to administer and enforce the Utah
13     Digital Expression Act;
14          ▸     provides definitions;
15          ▸     requires a social media company to publicly disclose information regarding its
16     information management and its content moderation practices;
17          ▸     requires a social media company to publish an acceptable use policy on prohibited
18     material and content compliance;
19          ▸     requires a social media company to have an easily accessible complaint and appeal
20     process for complaint resolution;
21          ▸     prohibits a social media company from taking certain adverse actions against a user
22     in certain circumstances, including:
23               •     suspending, locking, or disabling a user account;
24               •     banning a user;
25               •     removing, demonetizing, or deprioritizing content; and

26               •     adding an assessment to user content, including fact or accuracy checks;
27          ▸     establishes a complaint and enforcement process through the Division of Consumer
28     Protection;
29          ▸     requires a social media company to collect data for and publish a biannual
30     transparency report;
31          ▸     prohibits a social medal company from censoring user expression, with certain
32     exceptions;
33          ▸     details the Division of Consumer Protection's investigative and enforcement powers
34     in enforcing the act;
35          ▸     permits a private right of action for enforcement of the act;
36          ▸     prohibits requirements of the act from being waived by a contract or choice-of-law
37     provision; and
38          ▸     provides for severability.
39     Money Appropriated in this Bill:
40          None
41     Other Special Clauses:
42          This bill provides a special effective date.
43     Utah Code Sections Affected:
44     AMENDS:
45          13-2-1 (Superseded 12/31/23), as last amended by Laws of Utah 2022, Chapter 201
46          13-2-1 (Effective 12/31/23), as last amended by Laws of Utah 2022, Chapters 201, 462
47     ENACTS:
48          13-63-101, Utah Code Annotated 1953
49          13-63-201, Utah Code Annotated 1953
50          13-63-202, Utah Code Annotated 1953
51          13-63-301, Utah Code Annotated 1953
52          13-63-302, Utah Code Annotated 1953
53          13-63-401, Utah Code Annotated 1953
54          13-63-501, Utah Code Annotated 1953
55          13-63-502, Utah Code Annotated 1953
56          13-63-503, Utah Code Annotated 1953

57          13-63-504, Utah Code Annotated 1953
58          13-63-505, Utah Code Annotated 1953
59          13-63-601, Utah Code Annotated 1953
60     

61     Be it enacted by the Legislature of the state of Utah:
62          Section 1. Section 13-2-1 (Superseded 12/31/23) is amended to read:
63     
TITLE 13. COMMERCE AND TRADE

64          13-2-1 (Superseded 12/31/23). Consumer protection division established --
65     Functions.
66          (1) There is established within the Department of Commerce the Division of Consumer
67     Protection.
68          (2) The division shall administer and enforce the following:
69          (a) Chapter 5, Unfair Practices Act;
70          (b) Chapter 10a, Music Licensing Practices Act;
71          (c) Chapter 11, Utah Consumer Sales Practices Act;
72          (d) Chapter 15, Business Opportunity Disclosure Act;
73          (e) Chapter 20, New Motor Vehicle Warranties Act;
74          (f) Chapter 21, Credit Services Organizations Act;
75          (g) Chapter 22, Charitable Solicitations Act;
76          (h) Chapter 23, Health Spa Services Protection Act;
77          (i) Chapter 25a, Telephone and Facsimile Solicitation Act;
78          (j) Chapter 26, Telephone Fraud Prevention Act;
79          (k) Chapter 28, Prize Notices Regulation Act;
80          (l) Chapter 32a, Pawnshop, Secondhand Merchandise, and Catalytic Converter
81     Transaction Information Act;
82          (m) Chapter 34, Utah Postsecondary Proprietary School Act;
83          (n) Chapter 34a, Utah Postsecondary School State Authorization Act;
84          (o) Chapter 41, Price Controls During Emergencies Act;
85          (p) Chapter 42, Uniform Debt-Management Services Act;
86          (q) Chapter 49, Immigration Consultants Registration Act;
87          (r) Chapter 51, Transportation Network Company Registration Act;

88          (s) Chapter 52, Residential Solar Energy Disclosure Act;
89          (t) Chapter 53, Residential, Vocational and Life Skills Program Act;
90          (u) Chapter 54, Ticket Website Sales Act;
91          (v) Chapter 56, Ticket Transferability Act; [and]
92          (w) Chapter 57, Maintenance Funding Practices Act; and
93          (x) Chapter 63, Utah Digital Expression Act.
94          Section 2. Section 13-2-1 (Effective 12/31/23) is amended to read:
95          13-2-1 (Effective 12/31/23). Consumer protection division established --
96     Functions.
97          (1) There is established within the Department of Commerce the Division of Consumer
98     Protection.
99          (2) The division shall administer and enforce the following:
100          (a) Chapter 5, Unfair Practices Act;
101          (b) Chapter 10a, Music Licensing Practices Act;
102          (c) Chapter 11, Utah Consumer Sales Practices Act;
103          (d) Chapter 15, Business Opportunity Disclosure Act;
104          (e) Chapter 20, New Motor Vehicle Warranties Act;
105          (f) Chapter 21, Credit Services Organizations Act;
106          (g) Chapter 22, Charitable Solicitations Act;
107          (h) Chapter 23, Health Spa Services Protection Act;
108          (i) Chapter 25a, Telephone and Facsimile Solicitation Act;
109          (j) Chapter 26, Telephone Fraud Prevention Act;
110          (k) Chapter 28, Prize Notices Regulation Act;
111          (l) Chapter 32a, Pawnshop, Secondhand Merchandise, and Catalytic Converter
112     Transaction Information Act;
113          (m) Chapter 34, Utah Postsecondary Proprietary School Act;
114          (n) Chapter 34a, Utah Postsecondary School State Authorization Act;
115          (o) Chapter 41, Price Controls During Emergencies Act;
116          (p) Chapter 42, Uniform Debt-Management Services Act;
117          (q) Chapter 49, Immigration Consultants Registration Act;
118          (r) Chapter 51, Transportation Network Company Registration Act;

119          (s) Chapter 52, Residential Solar Energy Disclosure Act;
120          (t) Chapter 53, Residential, Vocational and Life Skills Program Act;
121          (u) Chapter 54, Ticket Website Sales Act;
122          (v) Chapter 56, Ticket Transferability Act;
123          (w) Chapter 57, Maintenance Funding Practices Act; [and]
124          (x) Chapter 61, Utah Consumer Privacy Act; and
125          (y) Chapter 63, Utah Digital Expression Act.
126          Section 3. Section 13-63-101 is enacted to read:
127     
CHAPTER 63. UTAH DIGITAL EXPRESSION ACT

128     
Part 1. General Provisions

129          13-63-101. Definitions.
130          As used in this chapter:
131          (1) "Adverse action" means a social media platform's decision:
132          (a) to suspend, lock, or disable a user's account;
133          (b) to ban a user from the social media platform;
134          (c) to remove content;
135          (d) to demonetize content;
136          (e) to deprioritize content;
137          (f) to add an assessment to content, such as a fact check or other disclaimer regarding
138     the accuracy of the content; or
139          (g) to take any other action related to a user's account or content in accordance with the
140     social media platform's acceptable use policy.
141          (2) "Censor" or "censorship" means to block, ban, remove, deplatform, de-boost,
142     restrict, deny equal access or visibility to, or otherwise discriminate against expression.
143          (3) "Director" means the director of the Division of Consumer Protection created in
144     Section 13-2-1.
145          (4) "Division" means the Division of Consumer Protection created in Section 13-2-1.
146          (5) "Expression" means any word, music, sound, still or moving image, number, or
147     other perceivable communication.
148          (6) "Receive" means, with respect to an expression, to read, hear, look at, access, or
149     gain access to the expression.

150          (7) (a) "Social media platform" means an Internet website or application:
151          (i) that has at least 50 million active users in a calendar month;
152          (ii) that is open to the public;
153          (iii) that allows users to create an account; and
154          (iv) whose primary purpose is to enable users to disseminate information to and
155     communicate with other users through the posting of comments, messages, video, images, or
156     other media.
157          (b) "Social media platform" does not include:
158          (i) an Internet service provider;
159          (ii) electronic mail; or
160          (iii) an online service, application, or website:
161          (A) that consists primarily of news, sports, entertainment, or other information content
162     that is not user generated but is preselected by the provider; and
163          (B) for which any chat, comment, or interactive functionality is incidental to, directly
164     related to, or dependent on the provider's content described in Subsection (7)(b)(iii)(A).
165          (8) "Unlawful expression" means an expression that is unlawful under state or federal
166     law, including expression that constitutes a tort under state or federal law.
167          (9) (a) "User" means a Utah resident who posts, uploads, transmits, shares, or
168     otherwise publishes or receives content through a social media platform.
169          (b) "User" includes a person who has a social media platform account that the social
170     media platform has disabled or locked.
171          (10) "Utah resident" means a person who resides or operates in Utah and:
172          (a) if the person is an individual, has their primary residence in Utah; or
173          (b) if the person is a business entity or organization, has a principal place of business or
174     principal location in Utah.
175          Section 4. Section 13-63-201 is enacted to read:
176     
Part 2. Disclosure and Acceptable Use Policy

177          13-63-201. Public disclosures.
178          (1) In accordance with this section, a social media platform shall publicly disclose
179     accurate information regarding the social media platform's content management, data
180     management, and business practices, including specific information regarding the manner in

181     which the social media platform:
182          (a) curates and targets content to users;
183          (b) places and promotes content, services, and products, including the social media
184     platform's own content, services, and products;
185          (c) moderates content;
186          (d) uses search, ranking, or other algorithms or procedures that determine results on the
187     social media platform; and
188          (e) provides users with performance data on the use of the platform and the social
189     media platform's products and services.
190          (2) A social media platform is not required to include in a public disclosure trade
191     secrets and commercial or financial information that is protected from disclosure by federal
192     law.
193          (3) A social media platform shall ensure that a public disclosure:
194          (a) is sufficient to enable users to make an informed choice regarding the purchase or
195     use of access to or services from the platform; and
196          (b) is made available on an Internet website that is easily accessible to the public.
197          Section 5. Section 13-63-202 is enacted to read:
198          13-63-202. Acceptable use policy.
199          (1) A social media platform shall publish an acceptable use policy in a location on the
200     social media platform that is easily accessible to a user.
201          (2) A social media platform shall ensure that an acceptable use policy:
202          (a) reasonably informs a user about the types of content that the social media platform
203     prohibits;
204          (b) explains the steps the social media platform takes to ensure content complies with
205     the policy;
206          (c) explains the process by which a user can submit a complaint under Section
207     13-63-301; and
208          (d) includes a copy of the biannual transparency report as described in Section
209     13-63-302, including a description of any adverse action the social media platform has taken to
210     enforce the policy.
211          Section 6. Section 13-63-301 is enacted to read:

212     
Part 3. Complaints and Reporting

213          13-63-301. Illegal activity or content -- Adverse actions -- Complaint system and
214     procedures - Appeals.
215          (1) A social media platform shall:
216          (a) provide an easily accessible complaint system that enables a user to submit a
217     complaint about the social media platform; and
218          (b) track the status of the complaint, including a complaint regarding:
219          (i) content that potentially violates the social media platform's acceptable use policy;
220          (ii) illegal activity or illegal content; and
221          (iii) the social media platform's decision to take an adverse action.
222          (2) (a) If a social media platform receives a complaint of illegal content or illegal
223     activity, the social media platform shall, no later than two business days after the date on which
224     the social media platform receives the complaint, make a good faith effort to evaluate the
225     legality of the content or activity.
226          (b) If the social media platform determines that the alleged illegal content or illegal
227     activity suggests that the user who posted the content or conducted the activity poses an
228     imminent threat to themselves or others, the social media platform shall immediately notify the
229     appropriate law enforcement agency.
230          (3) Except as provided in Subsection (4), if a social media platform takes an adverse
231     action based on a violation of the platform's acceptable use policy under Section 13-63-202, the
232     social media platform shall, concurrently with the action:
233          (a) notify the user who posted the content of the removal and explain the reason for the
234     adverse action;
235          (b) allow the user to appeal the decision; and
236          (c) provide written notice to the user of:
237          (i) the determination regarding an appeal requested under Subsection (3)(b); and
238          (ii) in the case of a reversal of the social media platform's decision, the reason for the
239     reversal.
240          (4) A social media platform is not required to provide a user with notice or an
241     opportunity to appeal under Subsection (3) if the social media platform:
242          (a) is unable to contact the user after taking reasonable steps to make contact;

243          (b) reports the user's content or activity to a law enforcement agency; or
244          (c) knows the user's content relates to an ongoing law enforcement agency
245     investigation.
246          (5) If a social media platform receives a user complaint regarding an adverse action,
247     the social media platform shall, no later than 14 business days after the date on which the social
248     media platform receives the complaint:
249          (a) review the content that is subject to the adverse action;
250          (b) determine whether the content adheres to the platform's acceptable use policy;
251          (c) take appropriate steps based on the determination; and
252          (d) notify the user regarding the determination and steps taken under this Subsection
253     (5).
254          Section 7. Section 13-63-302 is enacted to read:
255          13-63-302. Biannual transparency report.
256          (1) A social media platform shall publish a biannual transparency report that includes,
257     with respect to the preceding six-month period:
258          (a) the total number of instances in which the social media platform was informed of
259     illegal content, illegal activity, or policy-violating content by means of:
260          (i) a user complaint;
261          (ii) an employee of or a person contracting with the social media platform; or
262          (iii) an internal automated detection tool;
263          (b) the number of instances in which the social media platform took adverse action
264     with respect to illegal content, illegal activity, or potentially policy-violating content, each
265     instance of which shall be categorized by:
266          (i) the rule violated;
267          (ii) the source for the alert of illegal content, illegal activity, or potentially
268     policy-violating content, including:
269          (A) a government;
270          (B) a user;
271          (C) an internal automated detection tool;
272          (D) coordination with other social media platforms; or
273          (E) persons employed by or contracting with the platform; and

274          (iii) the country of the user who is responsible for the content;
275          (c) the number of coordinated efforts related to illegal content, illegal activity, or
276     policy-violating content, if applicable;
277          (d) (i) the number of instances in which a user appealed an adverse action under
278     Section 13-63-301; and
279          (ii) the percentage of appeals that resulted in the social media platform restoring
280     content; and
281          (e) a description of each tool, practice, action, or technique the social media platform
282     uses to enforce the acceptable use policy.
283          (2) A social media platform shall publish each biannual transparency report:
284          (a) with an open license;
285          (b) in a machine-readable and open format; and
286          (c) in a location that is easily accessible to users.
287          Section 8. Section 13-63-401 is enacted to read:
288     
Part 4. Censorship Prohibited

289          13-63-401. Censorship Prohibited.
290          (1) This section only applies to moderation and censorship decisions for which a social
291     media company is claiming protection from liability under 47 U.S.C. Sec. 230.
292          (2) (a) Except as provided in Subsection (3), and to the extent that a social media
293     platform allows users to engage in expression regarding certain content, the social media
294     platform may not censor a user, a user's expression, or a user's ability to receive the expression
295     of another user based on:
296          (i) the user's particular viewpoint; or
297          (ii) the user's particular viewpoint represented in the user's expression.
298          (b) Censorship based on viewpoint shall be considered an action taken in bad faith.
299          (3) A social media platform may censor expression that:
300          (a) the social media platform is specifically authorized to censor under state or federal
301     law;
302          (b) is the subject of a referral or request from an organization with the purpose of
303     preventing the sexual exploitation of children and protecting survivors of sexual abuse from
304     ongoing harassment;

305          (c) directly incites criminal activity or consists of direct threats of violence or illegal
306     activity targeted against a specific individual or group;
307          (d) is unlawful expression; or
308          (e) a court of competent jurisdiction has ordered the social media platform to remove.
309          (4) Nothing in this section shall prohibit a social media platform from prohibiting
310     entire categories of content, provided that the prohibition of the category does not constitute
311     viewpoint discrimination.
312          (5) This section may not be construed to prohibit or restrict a social media platform
313     from authorizing or facilitating a user's ability to censor specific expression on the user's
314     platform or page at the request of that user.
315          (6) This section apples only to expression that is shared or received in this state.
316          (7) This section applies to the maximum extent permitted by the United States
317     Constitution and the laws of the United States, but no further than the maximum extent
318     permitted by the United States Constitution and the laws of the United States.
319          Section 9. Section 13-63-501 is enacted to read:
320     
Part 5. Enforcement by Division

321          13-63-501. Investigative powers of the division.
322          (1) The division shall receive consumer complaints alleging a failure to comply with a
323     requirement of this chapter.
324          (2) A person may file a consumer complaint with the division that alleges a person's
325     failure to comply with a requirement of this chapter.
326          (3) The division shall investigate a consumer complaint to determine whether a person
327     subject to the requirements of this chapter has failed to comply with a requirement of this
328     chapter.
329          Section 10. Section 13-63-502 is enacted to read:
330          13-63-502. Enforcement powers of the division.
331          (1) Except for a private right of action under Section 13-63-503, the division has the
332     exclusive authority to administer and enforce the requirements of this chapter.
333          (2) The attorney general, upon request, shall give legal advice to, and act as counsel
334     for, the division in the exercise of the division's responsibilities under this chapter.
335          (3) (a) Subject to the ability to cure an alleged failure to comply with a provision of this

336     chapter under Subsection (4):
337          (i) the division director may impose an administrative fine of up to $2,500 for each
338     instance of a failure to comply with a provision of this chapter; and
339          (ii) the division may bring an action in a court of competent jurisdiction to enforce a
340     provision of this chapter.
341          (b) In a court action by the division to enforce a provision of this chapter, the court
342     may:
343          (i) declare that the act or practice violates a provision of this chapter;
344          (ii) issue an injunction against a person who has failed to comply with a provision of
345     this chapter;
346          (iii) order disgorgement of any money received as a result of failure to comply with a
347     provision of this chapter;
348          (iv) order payment of disgorged money to an injured purchaser or consumer;
349          (v) impose a civil penalty of up to $2,500 for each instance of a failure to comply with
350     a provision of this chapter;
351          (vi) award actual damages to an injured purchaser or consumer; and
352          (vii) award any other relief that the court deems reasonable and necessary.
353          (4) (a) At least 30 days before the day on which the division initiates an enforcement
354     action against a person that is subject to the requirements of this chapter, the division shall
355     provide the person with:
356          (i) written notice that identifies each alleged failure to comply with a requirement of
357     this chapter; and
358          (ii) an explanation of the basis for each allegation.
359          (b) Except as provided under Subsection (4)(c), the division may not initiate an action
360     if the person:
361          (i) cures the noticed failure to comply within 30 days after the day on which the person
362     receives the notice described in Subsection (4)(a); and
363          (ii) provides the division with a written statement that the person:
364          (A) is now in compliance with the applicable provision of this chapter; and
365          (B) will remain in compliance with the applicable provision.
366          (c) The division may initiate a civil action against a person that:

367          (i) fails to remedy the person's failure to comply with a requirement of this chapter
368     after receiving the notice described in Subsection (4)(a); or
369          (ii) after coming into compliance and providing a written statement in accordance with
370     Subsection (4)(b), fails to comply with the same provision again.
371          (5) If a court of competent jurisdiction grants judgment or injunctive relief to the
372     division, the court shall award the division:
373          (a) reasonable attorney fees;
374          (b) court costs; and
375          (c) investigative fees.
376          (6) (a) A person who violates an administrative or court order issued for failure to
377     comply with a provision of this chapter is subject to a civil penalty of no more than $5,000 for
378     each incident of noncompliance.
379          (b) A civil penalty authorized under this chapter may be imposed in any civil action
380     brought by the division, or by the attorney general on behalf of the division.
381          (7) All money received for the payment of a fine or civil penalty imposed under this
382     section shall be deposited into the Consumer Protection Education and Training Fund
383     established in Section 13-2-8.
384          Section 11. Section 13-63-503 is enacted to read:
385          13-63-503. Private right of action.
386          (1) A user may bring an action against a person that does not comply with the
387     requirements of this chapter.
388          (2) A suit filed under the authority of this section shall be filed in the district court for
389     the district in which a user bringing the action resides.
390          (3) If a court finds that a person has failed to comply with a provision of this chapter,
391     the user who brings an action under this section is entitled to:
392          (a) injunctive relief; and
393          (b) an amount equal to the greater of:
394          (i) $2,500 per each incident of noncompliance; or
395          (ii) declaratory relief, including costs of court and reasonable and necessary attorney
396     fees, if the user proves that the social media platform failed to comply with a provision of this
397     chapter.

398          (4) A user may bring an action under this section regardless of whether another court
399     has enjoined the division or the attorney general from enforcing this chapter or declared any
400     provision of this chapter unconstitutional, unless that court decision is binding on the court in
401     which the action is brought.
402          (5) Nonmutual issue preclusion and nonmutual claim preclusion are not defenses to an
403     action brought under this section.
404          Section 12. Section 13-63-504 is enacted to read:
405          13-63-504. Waiver prohibited.
406          A waiver or purported waiver of any of the following is void as unlawful, is against
407     public policy, and a court or arbitrator may not enforce or give effect to the waiver,
408     notwithstanding any contract or choice-of-law provision in a contract:
409          (1) a waiver of any protection or requirement provided under this chapter; and
410          (2) a waiver of the right to cooperate with the division or to file a complaint with the
411     division.
412          Section 13. Section 13-63-505 is enacted to read:
413          13-63-505. Limitation of effect of chapter -- Damages and remedies.
414          This chapter does not subject a social media platform to damages or other legal
415     remedies to the extent that the social media platform is protected from those remedies under
416     federal law.
417          Section 14. Section 13-63-601 is enacted to read:
418     
Part 6. Severability

419          13-63-601. Severability.
420          If any provision of this chapter or the application of any provision to any person or
421     circumstance is held invalid by a final decision of a court of competent jurisdiction, the
422     remainder of this chapter shall be given effect without the invalid provision or application.
423          Section 15. Effective date.
424          (1) Except as provided in Subsection (2), this bill takes effect on May 3, 2023.
425          (2) The actions affecting Section 13-2-21 (Effective 12/31/23) take effect on December
426     31, 2023.