*SB0011.2* Reprinted January 22, 2025 SENATE BILL No. 11 _____ DIGEST OF SB 11 (Updated January 21, 2025 2:04 pm - DI 149) Citations Affected: IC 24-4; IC 24-4.9; IC 24-5. Synopsis: Minor access and use of social media. Requires a social media operator to restrict a minor user's viewing of social media without first obtaining verifiable parental consent for the minor user. Defines a "minor user" as an individual who is less than 16 years of age. Allows the attorney general to: (1) bring an action against a social media operator that fails to implement a verifiable parental consent method; and (2) issue a civil investigative demand if the attorney general has reasonable cause to believe that any person is engaged in a violation. Effective: July 1, 2025. Bohacek, Brown L, Garten, Johnson T, Deery, Randolph Lonnie M, Schmitt January 8, 2025, read first time and referred to Committee on Judiciary. January 16, 2025, amended, reported favorably — Do Pass. January 21, 2025, read second time, amended, ordered engrossed. SB 11—LS 6058/DI 149 Reprinted January 22, 2025 First Regular Session of the 124th General Assembly (2025) PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana Constitution) is being amended, the text of the existing provision will appear in this style type, additions will appear in this style type, and deletions will appear in this style type. Additions: Whenever a new statutory provision is being enacted (or a new constitutional provision adopted), the text of the new provision will appear in this style type. Also, the word NEW will appear in that style type in the introductory clause of each SECTION that adds a new provision to the Indiana Code or the Indiana Constitution. Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts between statutes enacted by the 2024 Regular Session of the General Assembly. SENATE BILL No. 11 A BILL FOR AN ACT to amend the Indiana Code concerning trade regulation. Be it enacted by the General Assembly of the State of Indiana: 1 SECTION 1. IC 24-4-24 IS ADDED TO THE INDIANA CODE AS 2 A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE JULY 3 1, 2025]: 4 Chapter 24. Verifiable Parental Consent for Social Media 5 Sec. 1. As used in this chapter, "minor user" means an 6 individual less than sixteen (16) years of age. 7 Sec. 2. As used in this chapter, "person" has the meaning set 8 forth in IC 24-4-23-6. 9 Sec. 3. (a) As used in this chapter, "social media" means a 10 website or other Internet-based application that allows a person to 11 create an account or profile to communicate or interact with other 12 users and: 13 (1) create content; 14 (2) share content and information; or 15 (3) view content and information that is shared by other users. 16 (b) The term does not include a website or other Internet-based 17 application that: SB 11—LS 6058/DI 149 2 1 (1) a user accesses for the sole purpose of interactive gaming; 2 (2) is designed to facilitate communication and operations 3 between employees, affiliates, or contractors of a business, 4 governmental entity, or nonprofit organization; 5 (3) facilitates only electronic mail; 6 (4) consists of content that is: 7 (A) preselected by the entity that owns, operates, or hosts 8 the website or other Internet-based application; and 9 (B) not user generated; or 10 (5) facilitates crowdsourcing of content to create visual aids 11 such as charts, graphs, diagrams, and infographics. 12 Sec. 4. (a) As used in this chapter, "social media operator" 13 means a person that owns, operates, or hosts social media that is 14 accessible in Indiana. 15 (b) The term does not include a device manufacturer. 16 Sec. 5. As used in this chapter, "verifiable parental consent" 17 means consent of a minor user's parent or legal guardian that is 18 obtained through a method that is reasonably designed to ensure 19 that the person providing the consent is a parent or legal guardian 20 of the minor user. 21 Sec. 6. (a) A social media operator must not allow a minor user 22 to view social media without obtaining verifiable parental consent 23 allowing the minor user to view the social media. 24 (b) A social media operator must identify if an account or 25 profile is created by a minor user without verifiable parental 26 consent and must require that verifiable parental consent is 27 obtained before social media is accessed through an account or 28 profile described in this subsection. 29 (c) A social media operator must: 30 (1) provide notice to the parent or legal guardian who has 31 provided verifiable parental consent under this section that 32 consent may be revoked at any time; and 33 (2) establish a procedure to allow a parent or legal guardian 34 to revoke an executed verifiable parental consent. 35 (d) A licensed application end user license agreement executed 36 between a device manufacturer and an application developer may 37 incorporate the requirements of subsection (b). 38 Sec. 7. A social media operator must use commercially 39 reasonable methods to secure all information collected and 40 transmitted under this chapter. Any information collected and 41 retained by a social media operator under this chapter must be 42 encrypted (as defined by IC 24-4-14-4). SB 11—LS 6058/DI 149 3 1 Sec. 8. (a) Except as provided in subsection (b), the attorney 2 general may bring an action against a social media operator if the 3 social media operator violates section 6 of this chapter. 4 (b) If the attorney general has not previously: 5 (1) brought an action against; or 6 (2) sent a notice of violation to; 7 a social media operator under this section, the attorney general 8 shall send a notice of violation. The notice sent under this 9 subsection must describe the violation of section 6 of this chapter. 10 The social media operator then has ninety (90) days from the date 11 on the notice to cure the violation and provide documentation to 12 prove that the violation has been remedied. 13 (c) If the social media operator does not remedy the violation 14 described in the notice required under subsection (b), the attorney 15 general may bring an action to obtain any of the following relief 16 against the social media operator: 17 (1) Injunctive relief. 18 (2) A civil penalty of not more than two hundred fifty 19 thousand dollars ($250,000). 20 (3) The attorney general's reasonable costs of: 21 (A) the investigation of the violation; and 22 (B) maintaining the action. 23 Sec. 9. If the attorney general has reasonable cause to believe 24 that any person has violated this chapter, the attorney general may 25 issue a civil investigative demand under IC 4-6-3-3. 26 Sec. 10. In an action filed under section 8 of this chapter, any 27 information collected about a minor user is confidential. The clerk 28 of the court shall place all records of the minor user in an envelope 29 marked "confidential" inside the court's file pertaining to the 30 minor user. Records placed in the confidential envelope may only 31 be released to: 32 (1) the judge or any authorized staff member; 33 (2) a party and the party's attorney; 34 (3) the parent or legal guardian of a minor user who accessed 35 the social media; or 36 (4) any person having a legitimate interest in the work of the 37 court or in a particular case as determined by the presiding 38 judge or the judge's successor who shall consider the best 39 interests, safety, and welfare of the minor user. 40 Sec. 11. The provisions of this chapter are severable in the 41 manner provided by IC 1-1-1-8(b). 42 SECTION 2. IC 24-4.9-2-10, AS AMENDED BY P.L.98-2024, SB 11—LS 6058/DI 149 4 1 SECTION 2, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE 2 JULY 1, 2025]: Sec. 10. "Personal information" means: 3 (1) a Social Security number that is not encrypted or redacted; 4 (2) an individual's first and last names, or first initial and last 5 name, and one (1) or more of the following data elements that are 6 not encrypted or redacted: 7 (A) A driver's license number. 8 (B) A state identification card number. 9 (C) A credit card number. 10 (D) A financial account number or debit card number in 11 combination with a security code, password, or access code 12 that would permit access to the person's account; or 13 (3) information collected by an adult oriented website operator, 14 or their designee, under IC 24-4-23; or 15 (4) information collected by a social media operator, or their 16 designee, under IC 24-4-24. 17 The term does not include information that is lawfully obtained from 18 publicly available information or from federal, state, or local 19 government records lawfully made available to the general public. 20 SECTION 3. IC 24-5-0.5-3, AS AMENDED BY P.L.104-2024, 21 SECTION 42, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE 22 JULY 1, 2025]: Sec. 3. (a) A supplier may not commit an unfair, 23 abusive, or deceptive act, omission, or practice in connection with a 24 consumer transaction. Such an act, omission, or practice by a supplier 25 is a violation of this chapter whether it occurs before, during, or after 26 the transaction. An act, omission, or practice prohibited by this section 27 includes both implicit and explicit misrepresentations. 28 (b) Without limiting the scope of subsection (a), the following acts, 29 and the following representations as to the subject matter of a 30 consumer transaction, made orally, in writing, or by electronic 31 communication, by a supplier, are deceptive acts: 32 (1) That such subject of a consumer transaction has sponsorship, 33 approval, performance, characteristics, accessories, uses, or 34 benefits it does not have which the supplier knows or should 35 reasonably know it does not have. 36 (2) That such subject of a consumer transaction is of a particular 37 standard, quality, grade, style, or model, if it is not and if the 38 supplier knows or should reasonably know that it is not. 39 (3) That such subject of a consumer transaction is new or unused, 40 if it is not and if the supplier knows or should reasonably know 41 that it is not. 42 (4) That such subject of a consumer transaction will be supplied SB 11—LS 6058/DI 149 5 1 to the public in greater quantity than the supplier intends or 2 reasonably expects. 3 (5) That replacement or repair constituting the subject of a 4 consumer transaction is needed, if it is not and if the supplier 5 knows or should reasonably know that it is not. 6 (6) That a specific price advantage exists as to such subject of a 7 consumer transaction, if it does not and if the supplier knows or 8 should reasonably know that it does not. 9 (7) That the supplier has a sponsorship, approval, or affiliation in 10 such consumer transaction the supplier does not have, and which 11 the supplier knows or should reasonably know that the supplier 12 does not have. 13 (8) That such consumer transaction involves or does not involve 14 a warranty, a disclaimer of warranties, or other rights, remedies, 15 or obligations, if the representation is false and if the supplier 16 knows or should reasonably know that the representation is false. 17 (9) That the consumer will receive a rebate, discount, or other 18 benefit as an inducement for entering into a sale or lease in return 19 for giving the supplier the names of prospective consumers or 20 otherwise helping the supplier to enter into other consumer 21 transactions, if earning the benefit, rebate, or discount is 22 contingent upon the occurrence of an event subsequent to the time 23 the consumer agrees to the purchase or lease. 24 (10) That the supplier is able to deliver or complete the subject of 25 the consumer transaction within a stated period of time, when the 26 supplier knows or should reasonably know the supplier could not. 27 If no time period has been stated by the supplier, there is a 28 presumption that the supplier has represented that the supplier 29 will deliver or complete the subject of the consumer transaction 30 within a reasonable time, according to the course of dealing or the 31 usage of the trade. 32 (11) That the consumer will be able to purchase the subject of the 33 consumer transaction as advertised by the supplier, if the supplier 34 does not intend to sell it. 35 (12) That the replacement or repair constituting the subject of a 36 consumer transaction can be made by the supplier for the estimate 37 the supplier gives a customer for the replacement or repair, if the 38 specified work is completed and: 39 (A) the cost exceeds the estimate by an amount equal to or 40 greater than ten percent (10%) of the estimate; 41 (B) the supplier did not obtain written permission from the 42 customer to authorize the supplier to complete the work even SB 11—LS 6058/DI 149 6 1 if the cost would exceed the amounts specified in clause (A); 2 (C) the total cost for services and parts for a single transaction 3 is more than seven hundred fifty dollars ($750); and 4 (D) the supplier knew or reasonably should have known that 5 the cost would exceed the estimate in the amounts specified in 6 clause (A). 7 (13) That the replacement or repair constituting the subject of a 8 consumer transaction is needed, and that the supplier disposes of 9 the part repaired or replaced earlier than seventy-two (72) hours 10 after both: 11 (A) the customer has been notified that the work has been 12 completed; and 13 (B) the part repaired or replaced has been made available for 14 examination upon the request of the customer. 15 (14) Engaging in the replacement or repair of the subject of a 16 consumer transaction if the consumer has not authorized the 17 replacement or repair, and if the supplier knows or should 18 reasonably know that it is not authorized. 19 (15) The act of misrepresenting the geographic location of the 20 supplier by listing an alternate business name or an assumed 21 business name (as described in IC 23-0.5-3-4) in a local telephone 22 directory if: 23 (A) the name misrepresents the supplier's geographic location; 24 (B) the listing fails to identify the locality and state of the 25 supplier's business; 26 (C) calls to the local telephone number are routinely forwarded 27 or otherwise transferred to a supplier's business location that 28 is outside the calling area covered by the local telephone 29 directory; and 30 (D) the supplier's business location is located in a county that 31 is not contiguous to a county in the calling area covered by the 32 local telephone directory. 33 (16) The act of listing an alternate business name or assumed 34 business name (as described in IC 23-0.5-3-4) in a directory 35 assistance data base if: 36 (A) the name misrepresents the supplier's geographic location; 37 (B) calls to the local telephone number are routinely forwarded 38 or otherwise transferred to a supplier's business location that 39 is outside the local calling area; and 40 (C) the supplier's business location is located in a county that 41 is not contiguous to a county in the local calling area. 42 (17) The violation by a supplier of IC 24-3-4 concerning SB 11—LS 6058/DI 149 7 1 cigarettes for import or export. 2 (18) The act of a supplier in knowingly selling or reselling a 3 product to a consumer if the product has been recalled, whether 4 by the order of a court or a regulatory body, or voluntarily by the 5 manufacturer, distributor, or retailer, unless the product has been 6 repaired or modified to correct the defect that was the subject of 7 the recall. 8 (19) The violation by a supplier of 47 U.S.C. 227, including any 9 rules or regulations issued under 47 U.S.C. 227. 10 (20) The violation by a supplier of the federal Fair Debt 11 Collection Practices Act (15 U.S.C. 1692 et seq.), including any 12 rules or regulations issued under the federal Fair Debt Collection 13 Practices Act (15 U.S.C. 1692 et seq.). 14 (21) A violation of IC 24-5-7 (concerning health spa services), as 15 set forth in IC 24-5-7-17. 16 (22) A violation of IC 24-5-8 (concerning business opportunity 17 transactions), as set forth in IC 24-5-8-20. 18 (23) A violation of IC 24-5-10 (concerning home consumer 19 transactions), as set forth in IC 24-5-10-18. 20 (24) A violation of IC 24-5-11 (concerning real property 21 improvement contracts), as set forth in IC 24-5-11-14. 22 (25) A violation of IC 24-5-12 (concerning telephone 23 solicitations), as set forth in IC 24-5-12-23. 24 (26) A violation of IC 24-5-13.5 (concerning buyback motor 25 vehicles), as set forth in IC 24-5-13.5-14. 26 (27) A violation of IC 24-5-14 (concerning automatic 27 dialing-announcing devices), as set forth in IC 24-5-14-13. 28 (28) A violation of IC 24-5-15 (concerning credit services 29 organizations), as set forth in IC 24-5-15-11. 30 (29) A violation of IC 24-5-16 (concerning unlawful motor 31 vehicle subleasing), as set forth in IC 24-5-16-18. 32 (30) A violation of IC 24-5-17 (concerning environmental 33 marketing claims), as set forth in IC 24-5-17-14. 34 (31) A violation of IC 24-5-19 (concerning deceptive commercial 35 solicitation), as set forth in IC 24-5-19-11. 36 (32) A violation of IC 24-5-21 (concerning prescription drug 37 discount cards), as set forth in IC 24-5-21-7. 38 (33) A violation of IC 24-5-23.5-7 (concerning real estate 39 appraisals), as set forth in IC 24-5-23.5-9. 40 (34) A violation of IC 24-5-26 (concerning identity theft), as set 41 forth in IC 24-5-26-3. 42 (35) A violation of IC 24-5.5 (concerning mortgage rescue fraud), SB 11—LS 6058/DI 149 8 1 as set forth in IC 24-5.5-6-1. 2 (36) A violation of IC 24-8 (concerning promotional gifts and 3 contests), as set forth in IC 24-8-6-3. 4 (37) A violation of IC 21-18.5-6 (concerning representations 5 made by a postsecondary credit bearing proprietary educational 6 institution), as set forth in IC 21-18.5-6-22.5. 7 (38) A violation of IC 24-5-15.5 (concerning collection actions of 8 a plaintiff debt buyer), as set forth in IC 24-5-15.5-6. 9 (39) A violation of IC 24-14 (concerning towing services), as set 10 forth in IC 24-14-10-1. 11 (40) A violation of IC 24-5-14.5 (concerning misleading or 12 inaccurate caller identification information), as set forth in 13 IC 24-5-14.5-12. 14 (41) A violation of IC 24-5-27 (concerning intrastate inmate 15 calling services), as set forth in IC 24-5-27-27. 16 (42) A violation of IC 15-21 (concerning sales of dogs by retail 17 pet stores), as set forth in IC 15-21-7-4. 18 (43) A violation of IC 24-4-23 (concerning the security of 19 information collected and transmitted by an adult oriented website 20 operator), as set forth in IC 24-4-23-14. 21 (44) A violation of IC 24-4-24 (concerning the security of 22 information collected and transmitted by a social media 23 operator), as set forth in IC 24-4-24-7. 24 (c) Any representations on or within a product or its packaging or 25 in advertising or promotional materials which would constitute a 26 deceptive act shall be the deceptive act both of the supplier who places 27 such representation thereon or therein, or who authored such materials, 28 and such other suppliers who shall state orally or in writing that such 29 representation is true if such other supplier shall know or have reason 30 to know that such representation was false. 31 (d) If a supplier shows by a preponderance of the evidence that an 32 act resulted from a bona fide error notwithstanding the maintenance of 33 procedures reasonably adopted to avoid the error, such act shall not be 34 deceptive within the meaning of this chapter. 35 (e) It shall be a defense to any action brought under this chapter that 36 the representation constituting an alleged deceptive act was one made 37 in good faith by the supplier without knowledge of its falsity and in 38 reliance upon the oral or written representations of the manufacturer, 39 the person from whom the supplier acquired the product, any testing 40 organization, or any other person provided that the source thereof is 41 disclosed to the consumer. 42 (f) For purposes of subsection (b)(12), a supplier that provides SB 11—LS 6058/DI 149 9 1 estimates before performing repair or replacement work for a customer 2 shall give the customer a written estimate itemizing as closely as 3 possible the price for labor and parts necessary for the specific job 4 before commencing the work. 5 (g) For purposes of subsection (b)(15) and (b)(16), a telephone 6 company or other provider of a telephone directory or directory 7 assistance service or its officer or agent is immune from liability for 8 publishing the listing of an alternate business name or assumed 9 business name of a supplier in its directory or directory assistance data 10 base unless the telephone company or other provider of a telephone 11 directory or directory assistance service is the same person as the 12 supplier who has committed the deceptive act. 13 (h) For purposes of subsection (b)(18), it is an affirmative defense 14 to any action brought under this chapter that the product has been 15 altered by a person other than the defendant to render the product 16 completely incapable of serving its original purpose. SB 11—LS 6058/DI 149 10 COMMITTEE REPORT Mr. President: The Senate Committee on Judiciary, to which was referred Senate Bill No. 11, has had the same under consideration and begs leave to report the same back to the Senate with the recommendation that said bill be AMENDED as follows: Page 1, delete lines 5 through 17, begin a new paragraph and insert: "Sec. 1. As used in this chapter, "minor user" means an individual less than sixteen (16) years of age. Sec. 2. As used in this chapter, "person" has the meaning set forth in IC 24-4-23-6. Sec. 3. (a) As used in this chapter, "social media" means a website or other Internet-based application that allows a person to create an account or profile to communicate or interact with other users and: (1) create content; (2) share content and information; or (3) view content and information that is shared by other users. (b) The term does not include a website or other Internet-based application that: (1) a user accesses for the sole purpose of interactive gaming; (2) is designed to facilitate communication and operations between employees, affiliates, or contractors of a business, governmental entity, or nonprofit organization; (3) facilitates only electronic mail; or (4) consists of content that is: (A) preselected by the entity that owns, operates, or hosts the website or other Internet-based application; and (B) not user generated. Sec. 4. (a) As used in this chapter, "social media operator" means a person that owns, operates, or hosts social media that is accessible in Indiana. (b) The term does not include a device manufacturer. Sec. 5. As used in this chapter, "verifiable parental consent" means consent of a minor user's parent or legal guardian that is obtained through a method that is reasonably designed to ensure that the person providing the consent is a parent or legal guardian of the minor user. Sec. 6. (a) A social media operator must not allow a minor user to view social media without obtaining verifiable parental consent allowing the minor user to view the social media. (b) A social media operator must identify if an account or profile is created by a minor user without verifiable parental SB 11—LS 6058/DI 149 11 consent and must require that verifiable parental consent is obtained before social media is accessed through an account or profile described in this subsection. (c) A social media operator must: (1) provide notice to the parent or legal guardian who has provided verifiable parental consent under this section that consent may be revoked at any time; and (2) establish a procedure to allow a parent or legal guardian to revoke an executed verifiable parental consent. (d) A licensed application end user license agreement executed between a device manufacturer and an application developer may incorporate the requirements of subsection (b). Sec. 7. A social media operator must use commercially reasonable methods to secure all information collected and transmitted under this chapter. Any information collected and retained by a social media operator under this chapter must be encrypted (as defined by IC 24-4-14-4). Sec. 8. (a) Except as provided in subsection (b), the attorney general may bring an action against a social media operator if the social media operator violates section 6 of this chapter. (b) If the attorney general has not previously: (1) brought an action against; or (2) sent a notice of violation to; a social media provider under this section, the attorney general shall send a notice of violation. The notice sent under this subsection must describe the violation of section 6 of this chapter. The social media operator then has ninety (90) days from the date on the notice to cure the violation and provide documentation to prove that the violation has been remedied. (c) If the social media operator does not remedy the violation described in the notice required under subsection (b), the attorney general may bring an action to obtain any of the following relief against the social media operator: (1) Injunctive relief. (2) A civil penalty of not more than two hundred fifty thousand dollars ($250,000). (3) The attorney general's reasonable costs of: (A) the investigation of the violation; and (B) maintaining the action. Sec. 9. If the attorney general has reasonable cause to believe that any person has violated this chapter, the attorney general may issue a civil investigative demand under IC 4-6-3-3. SB 11—LS 6058/DI 149 12 Sec. 10. In an action filed under section 8 of this chapter, any information collected about a minor user is confidential. The clerk of the court shall place all records of the minor user in an envelope marked "confidential" inside the court's file pertaining to the minor user. Records placed in the confidential envelope may only be released to: (1) the judge or any authorized staff member; (2) a party and the party's attorney; (3) the parent or legal guardian of a minor user who accessed the social media; or (4) any person having a legitimate interest in the work of the court or in a particular case as determined by the presiding judge or the judge's successor who shall consider the best interests, safety, and welfare of the minor user. Sec. 11. The provisions of this chapter are severable in the manner provided by IC 1-1-1-8(b).". Delete pages 2 through 3. Page 4, delete lines 1 through 2. Page 8, line 26, delete "IC 24-4-24-10." and insert "IC 24-4-24-7.". Page 9, delete lines 20 through 42. Delete page 10. Renumber all SECTIONS consecutively. and when so amended that said bill do pass. (Reference is to SB 11 as introduced.) BROWN L, Chairperson Committee Vote: Yeas 10, Nays 1. _____ SENATE MOTION Mr. President: I move that Senate Bill 11 be amended to read as follows: Page 2, line 5, delete "or". Page 2, line 9, delete "generated." and insert "generated; or (5) facilitates crowdsourcing of content to create visual aids such as charts, graphs, diagrams, and infographics.". SB 11—LS 6058/DI 149 13 Page 3, line 5, delete "provider" and insert "operator". (Reference is to SB 11 as printed January 17, 2025.) BROWN L SB 11—LS 6058/DI 149