UNOFFICIAL COPY 23 RS BR 289 Page 1 of 3 XXXX 11/7/2022 2:47 PM Jacketed AN ACT relating to electronic literary products. 1 Be it enacted by the General Assembly of the Commonwealth of Kentucky: 2 ď˘SECTION 1. A NEW SECTION OF KRS CHAPTER 367 IS CREATED TO 3 READ AS FOLLOWS: 4 (1) As used in this section: 5 (a) "Contract terms" means the legal obligations of a financial transaction 6 between a library and a publisher to contract, license, or otherwise allow the 7 library to acquire rights to loan an electronic literary product to patrons of 8 the library; 9 (b) "Digital audiobook" means a published work that has been converted into a 10 voice recording and released in a digital audio file for listening on a 11 computer, tablet, smartphone, or any other electronic device; 12 (c) "Electronic book" means a text document that has been converted into or 13 published in a digital format that is read on a computer, tablet, smartphone, 14 or any other electronic device; 15 (d) "Electronic literary product" means a digital audiobook or an electronic 16 book; 17 (e) "Library" means a library: 18 1. Operating under KRS Chapter 173; 19 2. Established and maintained by a public postsecondary institution; 20 3. Established and maintained by a local school district or public charter 21 school; or 22 4. Of a city university or college operating under KRS Chapter 165; 23 (f) "Publisher" means a person whose business is the manufacture, 24 distribution, or sale of books, audiobooks, or other literary products, 25 including those in digital or electronic form consisting of text, narration, or 26 imagery; and 27 UNOFFICIAL COPY 23 RS BR 289 Page 2 of 3 XXXX 11/7/2022 2:47 PM Jacketed (g) "Reasonable technological protection measures" means any technology 1 that enhances the secure lending or circulation by a library of an electronic 2 literary product. 3 (2) Any publisher who sells or distributes for sale electronic literary products to the 4 public shall offer to sell electronic literary products to libraries under reasonable 5 contract terms and the use of reasonable technological protection measures that 6 permit libraries to provide their patrons with access to the electronic literary 7 products. 8 (3) (a) Reasonable contract terms may include limiting the number of: 9 1. Total circulations of an electronic literary product per license, in 10 which case the price to libraries shall be no more than one hundred 11 percent (100%) of the suggested retail price offered to consumers who 12 are not affiliated with libraries; 13 2. Patrons to whom libraries may simultaneously provide access to 14 electronic literary products; and 15 3. Days libraries may provide a patron with access to an electronic 16 literary product the patron has selected. 17 (b) Reasonable technological measures may include those which: 18 1. Prevent a patron from maintaining access to or providing others with 19 access to electronic literary products beyond the period established in 20 the license; 21 2. Limit to a single patron the access of an electronic literary product 22 subject to a license agreement; 23 3. Limit the number of days an electronic literary product subject to a 24 license agreement may be accessed by a patron; and 25 4. Prevent the reproduction of an electronic literary product while the 26 patron has access to the product. 27 UNOFFICIAL COPY 23 RS BR 289 Page 3 of 3 XXXX 11/7/2022 2:47 PM Jacketed (4) A contract or license executed between the publisher and a library for the use of 1 an electronic literary product shall contain no contract term that restricts or 2 limits: 3 (a) A library's right or ability to lend electronic literary products to patrons 4 using reasonable technological protection measures allowed in subsection 5 (3)(b) of this section; 6 (b) A library's rights to make nonpublic preservation copies of electronic 7 literary products; or 8 (c) The number of publicly available electronic literary products that libraries 9 may purchase on the day that the electronic literary product is first made 10 available to the public. 11 (5) A contract or license executed between the publisher and a library for the use of 12 an electronic literary product containing contract terms in violation of this 13 section shall be an unfair, false, misleading, or deceptive act or practice in the 14 conduct of trade or commerce in violation of KRS 367.170. Each contract or 15 license that contains contract terms in violation of this section shall constitute a 16 separate violation. 17