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A BILL TO BE ENTITLED
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AN ACT
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relating to the regulation of platforms for the sale and |
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distribution of software applications for mobile devices. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subtitle C, Title 5, Business & Commerce Code, is |
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amended by adding Chapter 121 to read as follows: |
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CHAPTER 121. SOFTWARE APPLICATIONS |
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SUBCHAPTER A. GENERAL PROVISIONS |
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Sec. 121.001. DEFINITIONS. In this chapter: |
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(1) "Age category" means information collected by the |
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owner of an app store to designate a user based on the age |
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categories described by Section 121.021(b). |
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(2) "App store" means a publicly available Internet |
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website, software application, or other electronic service that |
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distributes software applications from the owner or developer of a |
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software application to the user of a mobile device. |
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(3) "Minor" means a child who is younger than 18 years |
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of age who has not had the disabilities of minority removed for |
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general purposes. |
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(4) "Mobile device" means a portable, wireless |
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electronic device, including a tablet or smartphone, capable of |
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transmitting, receiving, processing, and storing information |
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wirelessly that runs an operating system designed to manage |
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hardware resources and perform common services for software |
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applications on handheld electronic devices. |
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(5) "Personal data" means any information, including |
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sensitive data, that is linked or reasonably linkable to an |
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identified or identifiable individual. The term includes |
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pseudonymous data when the data is used by a person who processes or |
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determines the purpose and means of processing the data in |
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conjunction with additional information that reasonably links the |
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data to an identified or identifiable individual. The term does not |
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include deidentified data or publicly available information. |
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SUBCHAPTER B. DUTIES OF APP STORES |
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Sec. 121.021. DUTY TO VERIFY AGE OF USER; AGE CATEGORIES. |
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(a) When an individual in this state creates an account with an app |
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store, the owner of the app store shall: |
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(1) request the individual's age; |
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(2) use a commercially reasonable method of |
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verification to verify the individual's age; and |
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(3) assign to the individual a designation described |
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by Subsection (b). |
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(b) The owner of an app store shall use the following age |
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categories for assigning a designation: |
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(1) an individual who is younger than 13 years of age |
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is considered a "child"; |
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(2) an individual who is at least 13 years of age but |
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younger than 16 years of age is considered a "younger teenager"; |
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(3) an individual who is at least 16 years of age but |
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younger than 18 years of age is considered an "older teenager"; and |
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(4) an individual who is at least 18 years of age is |
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considered an "adult." |
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Sec. 121.022. PARENTAL CONSENT REQUIRED. (a) If the owner |
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of the app store determines under Section 121.021 that an |
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individual is a minor, the owner shall require that the minor's |
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account be affiliated with the account of an individual determined |
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to be: |
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(1) at least 18 years of age; and |
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(2) the minor's parent or guardian. |
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(b) The owner of an app store must obtain consent from the |
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minor's parent or guardian before allowing the minor to: |
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(1) download a software application; |
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(2) purchase a software application; or |
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(3) make a purchase in or using a software |
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application. |
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(c) The owner of an app store must obtain consent for each |
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individual download or purchase sought by the minor. |
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(d) To obtain consent from a minor's parent or guardian |
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under Subsection (b), the owner of an app store may use any |
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reasonable means to: |
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(1) disclose to the parent or guardian: |
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(A) the specific software application or |
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purchase for which consent is sought; |
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(B) the rating under Section 121.052 assigned to |
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the software application or purchase; |
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(C) the specific content or other elements that |
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led to the rating assigned under Section 121.052; |
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(D) the nature of any collection, use, or |
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distribution of personal data that would occur because of the |
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software application or purchase; and |
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(E) any measures taken by the developer of the |
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software application or purchase to protect the personal data of |
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users; |
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(2) give the parent or guardian a clear choice to give |
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or withhold consent for the download or purchase; and |
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(3) ensure that the consent is given: |
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(A) by the parent or guardian; and |
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(B) through the account affiliated with a minor's |
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account under Subsection (a). |
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(e) If a software developer provides the owner of an app |
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store with notice of a change under Section 121.053, the owner of |
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the app store shall: |
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(1) notify any individual who has given consent under |
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this section for a minor's use or purchase relating to a previous |
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version of the changed software application; and |
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(2) obtain consent from the individual for the minor's |
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continued use or purchase of the software application. |
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Sec. 121.023. DISPLAY OF AGE RATING FOR SOFTWARE |
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APPLICATION. (a) The owner of an app store that operates in this |
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state shall display for each software application available for |
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download and purchase on the app store: |
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(1) the rating under Section 121.052 assigned to the |
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software application; and |
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(2) the specific content or other elements that led to |
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the rating assigned under Section 121.052. |
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(b) The information displayed under this section must be |
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clear, accurate, and conspicuous. |
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Sec. 121.024. INFORMATION FOR SOFTWARE APPLICATION |
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DEVELOPERS. The owner of an app store that operates in this state |
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shall, using a commercially available method, allow the developer |
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of a software application to access current information related to: |
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(1) the age category assigned to each user under |
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Section 121.021(b); and |
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(2) whether consent has been obtained for each minor |
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user under Section 121.022. |
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Sec. 121.025. PROTECTION OF PERSONAL DATA. The owner of an |
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app store that operates in this state shall protect the personal |
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data of users by: |
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(1) limiting the collection and processing of personal |
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data to the minimum amount necessary for: |
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(A) verifying the age of an individual; |
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(B) obtaining consent under Section 121.022; and |
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(C) maintaining compliance records; |
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(2) transmitting personal data using |
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industry-standard encryption protocols that ensure data integrity |
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and confidentiality; and |
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(3) deleting personal data obtained for purposes of |
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Sections 121.021 and 121.022 once a user's age is verified and, if |
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applicable, consent has been obtained. |
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Sec. 121.026. VIOLATION. The owner of an app store that |
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operates in this state violates this subchapter if the owner: |
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(1) enforces a contract or a provision of a terms of |
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service agreement against a minor that the minor entered into or |
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agreed to without consent under Section 121.022; |
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(2) knowingly misrepresents information disclosed |
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under Section 121.022(d)(1); |
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(3) obtains a blanket consent to authorize multiple |
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downloads or purchases; or |
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(4) shares or discloses personal data obtained for |
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purposes of Section 121.021, except as required by Section 121.024 |
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or other law. |
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Sec. 121.027. CONSTRUCTION OF SUBCHAPTER. Nothing in this |
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subchapter may be construed to: |
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(1) prevent the owner of an app store that operates in |
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this state from taking reasonable measures to block, detect, or |
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prevent the distribution of: |
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(A) obscene material, as that term is defined by |
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Section 43.21, Penal Code; or |
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(B) other material that may be harmful to minors; |
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(2) require the owner of an app store that operates in |
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this state to disclose a user's personal data to the developer of a |
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software application except as provided by this subchapter; |
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(3) allow the owner of an app store that operates in |
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this state to use a measure required by this chapter in a manner |
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that is arbitrary, capricious, anticompetitive, or unlawful; |
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(4) block or filter spam; |
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(5) prevent criminal activity; or |
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(6) protect the security of an app store or software |
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application. |
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SUBCHAPTER C. DUTIES OF SOFTWARE APPLICATION DEVELOPERS |
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Sec. 121.051. APPLICABILITY OF SUBCHAPTER. This subchapter |
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applies only to the developer of a software application that the |
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developer makes available to users in this state through an app |
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store. |
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Sec. 121.052. DESIGNATION OF AGE RATING. (a) The developer |
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of a software application shall assign to each software application |
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and to each purchase that can be made through the software |
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application an age rating based on the age categories described by |
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Section 121.021(b). |
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(b) The developer of a software application shall provide to |
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each app store through which the developer makes the software |
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application available: |
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(1) each rating assigned under Subsection (a); and |
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(2) the specific content or other elements that led to |
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each rating provided under Subdivision (1). |
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Sec. 121.053. CHANGES TO SOFTWARE APPLICATIONS. The |
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developer of a software application shall provide notice to each |
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app store through which the developer makes the software |
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application available before making any change to the terms of |
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service or privacy policy of the software application that: |
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(1) changes the type or category of personal data |
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collected, stored, or shared by the developer; |
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(2) affects or changes the rating assigned to the |
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software application under Section 121.052 or the content or |
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elements that led to that rating; |
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(3) adds new monetization features to the software |
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application, including: |
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(A) new opportunities to make a purchase in or |
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using the software application; or |
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(B) new advertisements in the software |
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application; or |
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(4) materially changes the functionality or user |
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experience of the software application. |
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Sec. 121.054. AGE VERIFICATION. (a) The developer of a |
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software application shall create and implement a system to verify: |
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(1) for each user of the software application, the age |
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category assigned to that user under Section 121.021(b); and |
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(2) for each minor user of the software application, |
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whether consent has been obtained under Section 121.022. |
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(b) The developer of a software application shall use |
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information provided by the owner of an app store under Section |
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121.024 to perform the verification required by this section. |
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Sec. 121.055. USE OF PERSONAL DATA. (a) The developer of a |
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software application may use personal data provided to the |
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developer under Section 121.024 only to: |
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(1) enforce restrictions and protections on the |
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software application related to age; |
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(2) ensure compliance with applicable laws and |
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regulations; and |
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(3) implement safety-related features and default |
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settings. |
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(b) The developer of a software application shall delete |
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personal data provided by the owner of an app store under Section |
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121.024 on completion of the verification required by Section |
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121.054. |
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Sec. 121.056. VIOLATION. The developer of a software |
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application violates this subchapter if the developer: |
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(1) enforces a contract or a provision of a terms of |
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service agreement against a minor that the minor entered into or |
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agreed to without consent under Section 121.054; |
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(2) knowingly misrepresents an age rating or reason |
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for that rating under Section 121.052; or |
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(3) shares or discloses the personal data of a user |
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that was acquired under this subchapter. |
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SUBCHAPTER D. ENFORCEMENT |
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Sec. 121.101. CIVIL ACTION; LIABILITY. (a) The parent or |
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guardian of a minor may bring an action against the owner of an app |
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store or the developer of a software application for a violation of |
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this chapter. |
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(b) Notwithstanding Sections 41.003 and 41.004, Civil |
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Practice and Remedies Code, a parent or guardian who prevails in an |
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action under this section is entitled to receive: |
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(1) injunctive relief; |
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(2) actual damages; |
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(3) punitive damages; |
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(4) reasonable attorney's fees; |
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(5) court costs; and |
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(6) any other relief the court considers appropriate. |
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(c) A violation of this chapter constitutes an injury in |
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fact to a minor. |
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Sec. 121.102. DECEPTIVE TRADE PRACTICE. A violation of |
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this chapter is a false, misleading, or deceptive act or practice as |
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defined by Section 17.46(b). In addition to any remedy under this |
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chapter, a remedy under Subchapter E, Chapter 17, is also available |
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for a violation of this chapter. |
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SECTION 2. This Act takes effect September 1, 2025. |