EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
Underlining indicates amendments to bill.
Strike out indicates matter stricken from the bill by amendment or deleted from the law by
amendment.
Italics indicate opposite chamber/conference committee amendments.
*hb0208*
HOUSE BILL 208
I3, S1 (5lr1358)
ENROLLED BILL
— Economic Matters/Finance —
Introduced by Delegate Fraser–Hidalgo Delegate Pruski
Read and Examined by Proofreaders:
_______________________________________________
Proofreader.
_______________________________________________
Proofreader.
Sealed with the Great Seal and presented to the Governor, for his approval this
_______ day of _______________ at __ ______________________ o’clock, ________M.
______________________________________________
Speaker.
CHAPTER ______
AN ACT concerning 1
Consumer Protection – False Advertising – Digital Goods 2
FOR the purpose of prohibiting a certain person from advertising or offering for sale a 3
digital good using certain terminology or alongside an option for a time–limited 4
rental unless a certain acknowledgments are acknowledgment is received from the 5
purchaser and or a certain statements are statement is provided by the seller; 6
establishing that a person is guilty of a misdemeanor and subject to a certain 7
penalties penalty for a violation of this Act is an unfair, abusive, or deceptive trade 8
practice; and generally relating to the advertising and offering of digital goods for 9
sale. 10
BY repealing and reenacting, with amendments, 11
Article – Commercial Law 12
Section 13–301(14)(xlii) and 14–2901 13
Annotated Code of Maryland 14 2 HOUSE BILL 208
(2013 Replacement Volume and 2024 Supplement) 1
BY repealing and reenacting, without amendments, 2
Article – Commercial Law 3
Section 13–301(14)(xliii) 4
Annotated Code of Maryland 5
(2013 Replacement Volume and 2024 Supplement) 6
BY adding to 7
Article – Commercial Law 8
Section 13–301(14)(xliv) and 14–2904 9
Annotated Code of Maryland 10
(2013 Replacement Volume and 2024 Supplement) 11
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 12
That the Laws of Maryland read as follows: 13
Article – Commercial Law 14
13–301. 15
Unfair, abusive, or deceptive trade practices include any: 16
(14) Violation of a provision of: 17
(xlii) Section 12–6C–09.1 of the Health Occupations Article; [or] 18
(xliii) Title 14, Subtitle 48 of this article; or 19
(XLIV) SECTION 14–2904 OF THIS ARTICLE; OR 20
14–2901. 21
(a) In this subtitle the following words have the meanings indicated. 22
(b) “Advertise” means: 23
(1) To publish, circulate, disseminate, or place before the public in any way 24
or through any medium for the purpose of selling merchandise; and 25
(2) Advertising by: 26
(i) Exterior or interior signs, including neon or other electrical signs; 27
(ii) Radio, telephone, or television; and 28
HOUSE BILL 208 3
(iii) Newspaper, magazine, book, notice, or any other method or 1
material. 2
(C) “CLEAR AND CONSPICUOUS ” MEANS IN A MANNER TH AT CLEARLY 3
CALLS ATTENTION TO T HE LANGUAGE, INCLUDING TEXT THAT IS: 4
(1) IN LARGER TYPE THAN T HE SURROUNDING TEXT ; 5
(2) IN A CONTRASTING TYPE , FONT, OR COLOR TO THE SURR OUNDING 6
TEXT; OR 7
(3) SET OFF FROM THE SURR OUNDING TEXT BY SYMB OLS OR OTHER 8
MARKS. 9
(D) “DIGITAL APPLICATION O R GAME” MEANS ANY APPLICATIO N OR GAME 10
THAT A PERSON ACCESS ES AND MANIPULATES U SING A SPECIALIZED E LECTRONIC 11
GAMING DEVICE , COMPUTER , MOBILE DEVICE , TABLET, OR OTHER DEVICE WITH A 12
DISPLAY SCREEN , INCLUDING ANY ADD –ONS OR ADDITIONAL CO NTENT FOR THE 13
APPLICATION OR GAME. 14
(E) “DIGITAL AUDIO WORK ” MEANS A WORK THAT RE SULTS FROM THE 15
FIXATION OF A SERIES OF MUSICAL, SPOKEN, OR OTHER SOUNDS THAT ARE 16
TRANSFERRED ELECTRON ICALLY, INCLUDING: 17
(1) PRERECORDED OR LIVE S ONGS; 18
(2) MUSIC; 19
(3) READINGS OF BOOKS OR OTHER WRITTEN MATERI ALS; 20
(4) SPEECHES; 21
(5) RINGTONES; OR 22
(6) OTHER SOUND RECORDING S. 23
(F) (1) “DIGITAL AUDIOVISUAL W ORK” MEANS A SERIES OF RE LATED 24
IMAGES THAT, WHEN SHOWN IN SUCCES SION, IMPART AN IMPRESSION OF MOTION, 25
TOGETHER WITH ACCOMPANYI NG SOUNDS. 26
(2) “DIGITAL AUDIOVISUAL W ORK” INCLUDES MOTION PICT URES, 27
MUSICALS, VIDEOS, NEWS AND ENTERTAINME NT PROGRAMS , AND LIVE EVENTS . 28
4 HOUSE BILL 208
(G) “DIGITAL BOOK” MEANS A WORK THAT IS GENERALLY RECOGNIZED AS 1
A BOOK AND IS TRANSF ERRED ELEC TRONICALLY, INCLUDING A WORK OF FICTION 2
OR NONFICTION . 3
(H) (1) “DIGITAL CODE” MEANS A CODE THAT GR ANTS THE PERSON 4
HOLDING THE CODE A R IGHT TO OBTAIN AN AD DITIONAL DIGITAL GOO D THAT MAY 5
BE OBTAINED BY ANY M EANS, INCLUDING TANGIBLE F ORMS AND ELECTRONIC MAIL, 6
REGARDLESS OF WHETHE R THE CODE IS DESIGN ATED AS A SONG CODE , VIDEO 7
CODE, OR BOOK CODE . 8
(2) “DIGITAL CODE” INCLUDES: 9
(I) A A CODE USED TO ACCESS OR OBTAIN ANY SPECIF IED 10
DIGITAL GOODS , OR ANY ADDITIONAL DI GITAL GOODS THAT HAV E BEEN 11
PREVIOUSLY P URCHASED; AND 12
(II) PROMOTION CARDS OR CO DES THAT ARE PURCHAS ED BY A 13
RETAILER OR OTHER BU SINESS ENTITY FOR US E BY THE RETAILER ’S OR ENTITY’S 14
CUSTOMERS . 15
(I) (1) “DIGITAL GOOD ” MEANS A DIGITAL APPL ICATION OR GAME , 16
DIGITAL AUDIO WORK , DIGITAL AUDIOVISUAL WORK , DIGITAL BOOK, OR DIGITAL 17
CODE, WHETHER ELECTRONICAL LY OR DIGITALLY DELI VERED OR ACCESSED . 18
(2) “DIGITAL GOOD ” DOES NOT INCLUDE A C ABLE TELEVISION 19
SERVICE, SATELLITE RELAY TELE VISION SERVICE, OR ANY OTHER DISTRIB UTION OF 20
TELEVISION, VIDEO, OR RADIO SERVICE . 21
[(c)] (J) “Person” includes an association, firm, partnership, corporation, or an 22
agent or employee of any of these entities. 23
[(d)] (K) “Property”, as used in § 14–2902(a) through (c) of this subtitle, includes: 24
(1) Merchandise; 25
(2) Real estate; 26
(3) Securities; 27
(4) Employment; 28
(5) A loan made at interest; 29
(6) Any contract relating to real estate, securities, service, employment, or 30
the making of loans at interest; or 31 HOUSE BILL 208 5
(7) Anything else of value. 1
14–2904. 2
(A) A PERSON THAT IS A SELLER MAY NOT ADVERTISE OR OFFER FOR SALE 3
A DIGITAL GOOD USING TERMINOLOGY THAT A R EASONABLE PERSON WOU LD 4
UNDERSTAND TO CONFER AN UNRESTRICTED OWNE RSHIP INTEREST IN TH E 5
DIGITAL GOOD, UNLESS, AT THE TIME OF BEFORE EXECUTING THE SALE: 6
(1) THE SELLER RECEIVES A N AFFIRMATIVE ACKNOW LEDGMENT 7
FROM THE PURCHASER O F THE FOLLOWING : 8
(I) THAT THE PURCHASER IS RECEIVING A LICENSE TO ACCESS 9
A DIGITAL GOOD; 10
(II) A COMPLETE LIST OF RES TRICTIONS AND CONDIT IONS OF 11
THE LICENSE; AND 12
(III) THAT ACCESS TO THE DI GITAL GOOD MAY BE 13
UNILATERALLY REVOKED BY THE SELLER IF THE PURCHASER NO LONGER HOLDS A 14
RIGHT TO THE DIGITAL GOOD; AND OR 15
(2) THE SELLER PROVIDES T O THE PURCHASER A CL EAR AND 16
CONSPICUOUS STATEMEN T THAT: 17
(I) STATES IN PLAIN LANGUAGE THAT THE PU RCHASER IS 18
BUYING A LICENSE FOR THE DIGITAL GOOD ; AND 19
(II) INCLUDES A DIGITAL ME THOD TO ACCESS THE L ICENSE 20
DETAILS, TERMS, AND CONDITIONS . 21
(B) A PERSON MAY NOT ADVER TISE OR OFFER FOR SA LE A DIGITAL GOOD 22
ALONGSIDE AN OPTION FOR A TIME–LIMITED RENTAL , UNLESS, AT THE TIME OF 23
SALE: 24
(1) THE SELLER RECEIVES A N AFFIRMATIVE ACKNOW LEDGMENT 25
FROM THE PURCHASER O F THE FOLLOWING : 26
(I) THAT THE PURCHASER IS RECEIVING A LICENSE TO ACCESS 27
A DIGITAL GOOD; 28
(II) A COMPLETE LIST OF RES TRICTIONS AND CONDITIONS O F 29
THE LICENSE; AND 30 6 HOUSE BILL 208
(III) THAT ACCESS TO THE DI GITAL GOOD MAY BE 1
UNILATERALLY REVOKED BY THE SELLER IF THE PURCHASER NO LONGER HOLDS A 2
RIGHT TO THE DIGITAL GOOD; AND 3
(2) THE SELLER PROVIDES T O THE PURCHASER A CL EAR AND 4
CONSPICUOUS STATEMENT THAT : 5
(I) STATES IN PLAIN LANGU AGE THAT THE PURCHAS ER IS 6
BUYING A LICENSE FOR THE DIGITAL GOOD ; AND 7
(II) INCLUDES A DIGITAL ME THOD TO ACCESS THE L ICENSE 8
DETAILS, TERMS, AND CONDITIONS . 9
(C) (B) THE AFFIRMATIVE ACKNOWLEDGMENTS ACKNOWLEDGMENT 10
REQUIRED UNDER SUBSECTIONS SUBSECTION (A)(1) AND (B)(1) OF THIS SECTION 11
SHALL BE DISTINCT AN D SEPARATE FROM ANY OTHER STATEMENT THAT THE 12
PURCHASER ACKNOWLEDG ES. 13
(D) (C) THE CLEAR AND CONSPIC UOUS STATEMENTS STATEMENT 14
REQUIRED UNDER SUBSECTIONS SUBSECTION (A)(2) AND (B)(2) OF THIS SECTION 15
SHALL BE DISTINCT AN D SEPARATE FROM ANY OTHER STATEMENTS , DETAILS, 16
TERMS, OR CONDITIONS . 17
(E) (D) THIS SECTION DOES NOT : 18
(1) REQUIRE A PERSON TO D OWNLOAD A DIGITAL GO OD; OR 19
(2) PROHIBIT A P ERSON FROM STORING A DIGITAL GOOD ON A 20
SERVER THAT CAN BE A CCESSED THROUGH THE INTERNET. 21
(F) (E) THIS SECTION DOES NOT APPLY TO A PERSON WH O ADVERTISES 22
OR OFFERS FOR SALE : 23
(1) A SUBSCRIPTION –BASED SERVICE THAT P ROVIDES ACCESS TO A 24
DIGITAL GOOD ONLY F OR THE DURATION OF T HE SUBSCRIPTION ; 25
(2) ACCESS TO A DIGITAL G OOD WITHOUT THE REQU IREMENT FOR 26
MONETARY CONSIDERATI ON; OR 27
(3) A DIGITAL GOOD FOR WHI CH THE SELLER IS UNA BLE TO REVOKE 28
ACCESS AFTER COMPLET ION OF THE SALE, INCLUDING A DIGITAL GOOD THAT IS, AT 29
THE TIME OF PURCHASE , AVAILABLE FOR PERMAN ENT OFFLINE DOWNLOAD TO AN 30 HOUSE BILL 208 7
EXTERNAL STORAGE SOU RCE TO BE USED WITHO UT A CONNECTION TO T HE 1
INTERNET. 2
(G) (F) A PERSON WHO VIOLATES THIS SECTION IS GUIL TY OF A 3
MISDEMEANOR AND ON C ONVICTION IS SUBJECT TO A FINE NOT EXCEEDING $1,000 4
VIOLATION OF THIS SE CTION IS: 5
(1) AN UNFAIR, ABUSIVE, OR DECEPTIVE TRADE P RACTICE WITHIN 6
THE MEANING OF TITLE 13 OF THIS ARTICLE; AND 7
(2) SUBJECT TO THE ENFORC EMENT AND PENALTY PR OVISIONS 8
CONTAINED IN TITLE 13 OF THIS ARTICLE, EXCEPT §§ 13–408 AND 13–411 OF THIS 9
ARTICLE OR IMPRISONMENT NOT EXC EEDING 1 YEAR OR BOTH. 10
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 11
October 1, 2025. 12
Approved:
________________________________________________________________________________
Governor.
________________________________________________________________________________
Speaker of the House of Delegates.
________________________________________________________________________________
President of the Senate.