[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3875 Introduced in House (IH)]
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119th CONGRESS
1st Session
H. R. 3875
To require online service providers to disclose their acceptable use
policies, provide users with written notice before the termination of a
user's account, and publish an annual report detailing actions taken to
enforce their acceptable use policies, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
June 10, 2025
Mr. Goldman of Texas (for himself and Mr. Weber of Texas) introduced
the following bill; which was referred to the Committee on Energy and
Commerce
_______________________________________________________________________
A BILL
To require online service providers to disclose their acceptable use
policies, provide users with written notice before the termination of a
user's account, and publish an annual report detailing actions taken to
enforce their acceptable use policies, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Transparency in Enforcement,
Restricting, and Monitoring of Services Act'' or the ``TERMS Act''.
SEC. 2. PURPOSE.
The purpose of this Act is to ensure that consumers, businesses,
and organizations seeking to use the products or services of an online
service provider have sufficient information regarding the online
service provider's commercial business standards, processes, and
policies with respect to the unilateral termination, suspension, or
cancellation of user accounts or ability to use the online service
provider's products or services. Such information allows consumers to
make informed choices regarding their decision to use or purchase the
services or products of an online service provider and promotes a
competitive marketplace for such products or services.
SEC. 3. DEFINITIONS.
In this Act:
(1) Commission.--The term ``Commission'' means the Federal
Trade Commission.
(2) Nonprofit organization.--The term ``nonprofit
organization'' has the meaning given such term in section
201(i) of title 35, United States Code.
(3) Online service provider.--The term ``online service
provider''--
(A) means the provider of a public-facing website,
online service, or online application directed to a
consumer or organization that--
(i) requires any person who wishes to use
the website, online service, or online
application to create a unique account or
profile for such website, service, or
application;
(ii) provides an internet-based product or
service that is accessible through the website,
online service, or online application; and
(iii) is engaged in interstate or foreign
commerce; and
(B) includes any entity described in subparagraph
(A), regardless of whether--
(i) offering a product or service to the
general public is the sole source of income or
principal business of such entity; or
(ii) the entity earns a profit on a product
or service.
(4) Restrict.--The term ``restrict'', with respect to a
user, means an online service provider's termination or
suspension of a user's account or profile on the online service
provider's website, online service, or online application, or
limitation of the user's access thereto based on a
determination that the user violated the online service
provider's acceptable use policy.
(5) User.--The term ``user'' means, with respect to an
online service provider, a person who registers an account or
creates a profile on the website, online service, or online
application of the online service provider.
SEC. 4. DISCLOSURE OF ACCEPTABLE USE POLICIES.
(a) In General.--Not later than 180 days after the date of
enactment of this Act and subject to subsection (b), an online service
provider shall publicly disclose in an easily accessible manner, such
as within terms of service available on the online service provider's
website, an acceptable use policy that concisely and accurately
describes, in clear language, information regarding the standards,
processes, and policies of the online service provider with respect to
any decision by the online service provider to restrict a user.
(b) Required Information.--For purposes of subsection (a), an
online service provider shall include the following information in an
acceptable use policy:
(1) An explanation of what specific acts or practices are
prohibited by the online service provider that could lead to a
decision by the online service provider to restrict a user.
(2) An explanation of how the online service provider
enforces the acceptable use policy, including any third party
the online service provider relies upon, in whole or in part,
to assist in the enforcement of the acceptable use policy by
the online service provider.
(3) Either--
(A) an explanation of how a user can appeal, if
applicable, a decision by an online service provider to
restrict a user; or
(B) if the online service provider does not permit
an appeal or reconsideration of a decision to restrict
a user, a statement that such decision is not
appealable or subject to reconsideration.
(4) An explanation of whether acts or practices a user
commits entirely outside of the website, online service, or
online application of the online service provider, such as
social media posts, public statements, media publications, and
third-party resources, may be a sufficient basis alone or in
combination with other information to restrict a user.
(5) An explanation of the online service provider's
standards, processes, and policies with respect to the notice
requirement described in section 5.
(c) Changes to Acceptable Use Policies.--If an online service
provider makes a material change to its acceptable use policy that
would result in a material change to any information described in
subsection (b), the online service provider shall, taking into account
available technology, provide advance notice to each user.
SEC. 5. ADVANCE WRITTEN NOTICE PRIOR TO TERMINATION OR SUSPENSION.
(a) Notice Requirement.--
(1) In general.--Except as described in subsection (b), an
online service provider shall provide advance written notice to
a user in violation of the online service provider's acceptable
use policy prior to restricting the user.
(2) Required information.--The advance written notice
required under paragraph (1) shall include the following
information:
(A) The specific act or practice of the user that
led to the decision to restrict the user.
(B) A description of how the act or practice
identified in subparagraph (A) violated the acceptable
use policy.
(C) Whether the user has an option to appeal the
decision, and, if so, a description of the process for
how the user can appeal the online service provider's
decision, consistent with the acceptable use policy.
(D) A description of the option for the user to
elect that the online service provider publicly
disclose such written notice as described in paragraph
(4).
(3) Advance written notice.--
(A) In general.--For the purposes of this section,
an online service provider will be deemed to have
provided an advance written notice to a user if such
provider makes a good faith effort to notify the user
not later than 7 days prior to restricting the user.
(B) Good faith effort.--For the purposes of
subparagraph (A), a good faith effort may include--
(i) a notification to the most recent email
address or other contact information the user
provided to the online service provider; or
(ii) if the online service provider does
not have any contact information for the user,
a prominent notice that is displayed to the
user on the online service provider's website,
service, or application when the user next
accesses the user's account or profile on such
website, service, or application.
(4) Public disclosure.--An online service provider shall--
(A) provide to any user issued a written notice
under paragraph (1) an option for the online service
provider to publicly disclose such notice; and
(B) if such user chooses to have such notice
publicly disclosed, publish such notice on the website
of the online service provider.
(b) Exceptions for Court Action or Imminent Risk of Harm.--An
online service provider may restrict a user without advance written
notice if--
(1) such restriction was done to--
(A) comply with a lawful order of a court of
competent jurisdiction; or
(B) protect against an imminent risk of--
(i) death;
(ii) a serious physical injury; or
(iii) a serious health risk; and
(2) the online service provider provides the user the
information required by subsection (a)(2) and publicly
discloses the written notice at the same time that the provider
restricts the user or as soon as practicable thereafter.
(c) Effective Date.--The requirements of this section shall take
effect on the date that is 180 days after the date of enactment of this
Act.
SEC. 6. REPORTING REQUIREMENTS.
(a) Annual Report.--Not later than 1 year after the date of
enactment of this Act and annually thereafter on a date to be
determined by each online service provider, an online service provider
shall publish, with an open license, in both a format easily read by
humans and a machine-readable format, in a location on its public
website that is easily accessible to users and visitors of such
website, and consistent with the requirements described in subsections
(b) and (c), a report detailing actions taken to enforce the online
service provider's acceptable use policy.
(b) Report Requirements.--The report required under subsection (a)
shall include the following information with respect to the applicable
reporting period:
(1) The total number of instances in which the online
service provider was alerted of a potential violation of the
acceptable use policy by--
(A) a user complaint;
(B) an employee of, or a person contracting with,
the online service provider;
(C) an internal automated detection tool of the
online service provider;
(D) a government entity, including the specific
office or entity that alerted the online service
provider;
(E) a nonprofit organization; or
(F) any other person.
(2) Subject to subsection (c), the number of instances in
which the online service provider took steps to restrict a
user, including the number of instances in which the online
service provider--
(A) terminated a user's account or profile on the
online service provider's website, online service, or
online application or otherwise permanently limited
access to or use of the product or service of the
online service provider;
(B) suspended a user's account or profile on the
online service provider's website, online service, or
online application;
(C) limited a user's access to the online service
provider's website, online service, or online
application; or
(D) took any other action, such as issuing a
warning, in response to a violation of the acceptable
use policy.
(3) The number of instances in which a user appealed the
online service provider's decision.
(4) The number of appeals that resulted in a reversal of
the online service provider's decision.
(c) Categorization of Actions Taken.--The information described in
subsection (b)(2) shall be categorized by--
(1) the exact provision of the acceptable use policy that
was violated by a user; and
(2) the source of the alert of the potential violation of
the acceptable use policy as described in subsection (b)(1).
SEC. 7. ENFORCEMENT.
(a) Enforcement by the Commission.--
(1) Unfair or deceptive acts or practices.--A violation of
this Act shall be treated as a violation of a rule defining an
unfair or deceptive act or practice under section 18(a)(1)(B)
of the Federal Trade Commission Act (15 U.S.C. 57a(a)(1)(B)).
(2) Powers of the commission.--
(A) In general.--Except as provided in subparagraph
(C), the Commission shall enforce this Act in the same
manner, by the same means, and with the same
jurisdiction, powers, and duties as though all
applicable terms and provisions of the Federal Trade
Commission Act (15 U.S.C. 41 et seq.) were incorporated
into and made a part of this Act.
(B) Privileges and immunities.--Except as provided
in subparagraph (C), any online service provider who
violates this Act or a regulation promulgated under
this Act shall be subject to the penalties and entitled
to the privileges and immunities provided in the
Federal Trade Commission Act (15 U.S.C. 41 et seq.).
(C) Nonprofit organizations.--Notwithstanding
section 4, 5(a)(2), or 6 of the Federal Trade
Commission Act (15 U.S.C. 44, 45(a)(2), 46) or any
jurisdictional limitation of the Commission, the
Commission shall also enforce this Act, in the same
manner provided in subparagraphs (A) and (B), with
respect to organizations not organized to carry on
business for their own profit or that of their members.
(D) Authority preserved.--Nothing in this
subsection shall be construed to limit the authority of
the Commission under any other provision of law.
(b) Commission Guidance.--
(1) In general.--Not later than 180 days after the date of
enactment of this Act, the Commission shall issue guidance to
assist online service providers in complying with the
requirements of this Act, which shall include the provision of
best practices and examples.
(2) Limitation on guidance.--No guidance issued by the
Commission with respect to this Act shall--
(A) confer any rights on any person, State, or
locality; or
(B) operate to bind the Commission or any person to
the approach recommended in such guidance.
(3) Use in enforcement actions.--In any enforcement action
brought pursuant to this Act--
(A) the Commission--
(i) shall allege a specific violation of a
provision of this Act; and
(ii) may not base such enforcement on, or
execute a consent order based on, practices
that are alleged to be inconsistent with any
guidance issued by the Commission with respect
to this Act, unless the practices are alleged
to violate a provision of this Act; and
(B) a person may use compliance with any such
guidance as evidence of compliance with this Act.
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