ASSEMBLY AGING AND HUMAN SERVICES COMMITTEE

STATEMENT TO

ASSEMBLY, No. 4101

with committee amendments

STATE OF NEW JERSEY

DATED:  FEBRUARY 13, 2025

      The Assembly Aging and Human Services Committee reports favorably and with committee amendments Assembly Bill No. 4101.

      This bill, as amended, requires a social media company to provide a 24-hour toll-free telephone number by which an account holder may contact a live customer service representative of the social media company for the purpose of reporting fraudulent activity, including, but not limited to, unauthorized access to a social media account.  A social media company is also required to publish the toll-free telephone number and an explanation of the purpose of the toll-free telephone number on any email notifications of account security sent to a New Jersey account holder and in a prominent location on the social media platform’s homepage or help page.

      It is an unlawful practice and a violation of the consumer fraud act for a social media company to fail to comply with any provision of this bill.  An unlawful practice under the consumer fraud act is punishable by a monetary penalty of not more than $10,000 for a first offense and not more than $20,000 for any subsequent offense.  In addition, a violation can result in cease and desist orders issued by the Attorney General, the assessment of punitive damages, and the awarding of treble damages and costs to the injured party.

COMMITTEE AMENDMENTS

      The committee amended the bill to:

      (1) clarify that the definition of “social media platform” or “platform” does not include online services, applications, or websites that consist primarily of news, sports, entertainment, or other information or content that is not user generated but is preselected by the provider and for which any chat, comments, or interactive functionality is incidental to, directly related to, or dependent on the provision of the content; and

      (2) make certain technical corrections.