This bill, called the TERMS Act, requires many online service providers to be more open about how they restrict users. Within 180 days after the law is enacted, covered providers must post an "acceptable use" statement that explains what behavior can get a user suspended or removed, how the provider enforces those rules, whether outside information (like a post on another site) can be used to restrict a user, and whether users can appeal restrictions. If a provider makes a material change to that statement, it must give advance notice to users.
The bill also requires providers to give advance written notice to a user before suspending or terminating the user's account, normally at least 7 days before the restriction. That notice must say what specific act led to the restriction, how it violated the provider's rules, whether an appeal is available and how to appeal, and offer the user the choice to have that notice published publicly. Providers may restrict a user without advance notice to comply with a court order, federal law, or to stop an imminent risk of death, serious injury, or serious health risk; in those cases the provider must provide the required information to the user and publicly disclose the notice when restricting the user or as soon as possible.
One year after enactment and annually after that, each covered provider must publish a report (in both human- and machine-readable form) showing enforcement activity. The reports must list how many alerts the provider received (for example from users, employees, automated tools, government entities, or nonprofits), how many times the provider restricted users and what type of restriction was used, how many appeals were filed, and how many appeals resulted in a reversal. The report must also break down restrictions by the specific rule violated and by the source of the alert.
The Federal Trade Commission (FTC) will enforce the bill. Violations are treated as unfair or deceptive acts or practices under the FTC Act. The FTC must issue guidance with best practices within 180 days of enactment.
No publicly available information. The bill text does not include cost estimates or budgetary figures for implementation, compliance, or enforcement.
The bill text states its purpose is to give consumers, businesses, and organizations enough information about a provider's standards, processes, and policies for restricting users so people can make informed choices and to promote a competitive marketplace for online products and services.
No publicly available information. The bill text does not include statements of opposition or specific counterarguments.