-CITE-

15 USC CHAPTER 91 - CHILDREN'S ONLINE PRIVACY PROTECTION 01/06/03

-EXPCITE-

TITLE 15 - COMMERCE AND TRADE

CHAPTER 91 - CHILDREN'S ONLINE PRIVACY PROTECTION

.

-HEAD-

CHAPTER 91 - CHILDREN'S ONLINE PRIVACY PROTECTION

-MISC1-

Sec.

6501. Definitions.

6502. Regulation of unfair and deceptive acts and practices in

connection with collection and use of personal information from

and about children on the Internet.

(a) Acts prohibited.

(b) Regulations.

(c) Enforcement.

(d) Inconsistent State law.

6503. Safe harbors.

(a) Guidelines.

(b) Incentives.

(c) Appeals.

6504. Actions by States.

(a) In general.

(b) Intervention.

(c) Construction.

(d) Actions by Commission.

(e) Venue; service of process.

6505. Administration and applicability.

(a) In general.

(b) Provisions.

(c) Exercise of certain powers.

(d) Actions by Commission.

(e) Effect on other laws.

6506. Review.

-CITE-

15 USC Sec. 6501 01/06/03

-EXPCITE-

TITLE 15 - COMMERCE AND TRADE

CHAPTER 91 - CHILDREN'S ONLINE PRIVACY PROTECTION

-HEAD-

Sec. 6501. Definitions

-STATUTE-

In this chapter:

(1) Child

The term ''child'' means an individual under the age of 13.

(2) Operator

The term ''operator'' -

(A) means any person who operates a website located on the

Internet or an online service and who collects or maintains

personal information from or about the users of or visitors to

such website or online service, or on whose behalf such

information is collected or maintained, where such website or

online service is operated for commercial purposes, including

any person offering products or services for sale through that

website or online service, involving commerce -

(i) among the several States or with 1 or more foreign

nations;

(ii) in any territory of the United States or in the

District of Columbia, or between any such territory and -

(I) another such territory; or

(II) any State or foreign nation; or

(iii) between the District of Columbia and any State,

territory, or foreign nation; but

(B) does not include any nonprofit entity that would

otherwise be exempt from coverage under section 45 of this

title.

(3) Commission

The term ''Commission'' means the Federal Trade Commission.

(4) Disclosure

The term ''disclosure'' means, with respect to personal

information -

(A) the release of personal information collected from a

child in identifiable form by an operator for any purpose,

except where such information is provided to a person other

than the operator who provides support for the internal

operations of the website and does not disclose or use that

information for any other purpose; and

(B) making personal information collected from a child by a

website or online service directed to children or with actual

knowledge that such information was collected from a child,

publicly available in identifiable form, by any means including

by a public posting, through the Internet, or through -

(i) a home page of a website;

(ii) a pen pal service;

(iii) an electronic mail service;

(iv) a message board; or

(v) a chat room.

(5) Federal agency

The term ''Federal agency'' means an agency, as that term is

defined in section 551(1) of title 5.

(6) Internet

The term ''Internet'' means collectively the myriad of computer

and telecommunications facilities, including equipment and

operating software, which comprise the interconnected world-wide

network of networks that employ the Transmission Control

Protocol/Internet Protocol, or any predecessor or successor

protocols to such protocol, to communicate information of all

kinds by wire or radio.

(7) Parent

The term ''parent'' includes a legal guardian.

(8) Personal information

The term ''personal information'' means individually

identifiable information about an individual collected online,

including -

(A) a first and last name;

(B) a home or other physical address including street name

and name of a city or town;

(C) an e-mail address;

(D) a telephone number;

(E) a Social Security number;

(F) any other identifier that the Commission determines

permits the physical or online contacting of a specific

individual; or

(G) information concerning the child or the parents of that

child that the website collects online from the child and

combines with an identifier described in this paragraph.

(9) Verifiable parental consent

The term ''verifiable parental consent'' means any reasonable

effort (taking into consideration available technology),

including a request for authorization for future collection, use,

and disclosure described in the notice, to ensure that a parent

of a child receives notice of the operator's personal information

collection, use, and disclosure practices, and authorizes the

collection, use, and disclosure, as applicable, of personal

information and the subsequent use of that information before

that information is collected from that child.

(10) Website or online service directed to children

(A) In general

The term ''website or online service directed to children''

means -

(i) a commercial website or online service that is targeted

to children; or

(ii) that portion of a commercial website or online service

that is targeted to children.

(B) Limitation

A commercial website or online service, or a portion of a

commercial website or online service, shall not be deemed

directed to children solely for referring or linking to a

commercial website or online service directed to children by

using information location tools, including a directory, index,

reference, pointer, or hypertext link.

(11) Person

The term ''person'' means any individual, partnership,

corporation, trust, estate, cooperative, association, or other

entity.

(12) Online contact information

The term ''online contact information'' means an e-mail address

or another substantially similar identifier that permits direct

contact with a person online.

-SOURCE-

(Pub. L. 105-277, div. C, title XIII, Sec. 1302, Oct. 21, 1998,

112 Stat. 2681-728.)

-MISC1-

EFFECTIVE DATE

Pub. L. 105-277, div. C, title XIII, Sec. 1308, Oct. 21, 1998,

112 Stat. 2681-735, provided that: ''Sections 1303(a), 1305, and

1306 of this title (enacting sections 6502(a), 6504, and 6505 of

this title) take effect on the later of -

''(1) the date that is 18 months after the date of enactment of

this Act (Oct. 21, 1998); or

''(2) the date on which the Commission rules on the first

application filed for safe harbor treatment under section 1304

(enacting section 6503 of this title) if the Commission does not

rule on the first such application within one year after the date

of enactment of this Act, but in no case later than the date that

is 30 months after the date of enactment of this Act.''

SHORT TITLE

Pub. L. 105-277, div. C, title XIII, Sec. 1301, Oct. 21, 1998,

112 Stat. 2681-728, provided that: ''This title (enacting this

chapter) may be cited as the 'Children's Online Privacy Protection

Act of 1998'.''

-CITE-

15 USC Sec. 6502 01/06/03

-EXPCITE-

TITLE 15 - COMMERCE AND TRADE

CHAPTER 91 - CHILDREN'S ONLINE PRIVACY PROTECTION

-HEAD-

Sec. 6502. Regulation of unfair and deceptive acts and practices in

connection with collection and use of personal information from

and about children on the Internet

-STATUTE-

(a) Acts prohibited

(1) In general

It is unlawful for an operator of a website or online service

directed to children, or any operator that has actual knowledge

that it is collecting personal information from a child, to

collect personal information from a child in a manner that

violates the regulations prescribed under subsection (b) of this

section.

(2) Disclosure to parent protected

Notwithstanding paragraph (1), neither an operator of such a

website or online service nor the operator's agent shall be held

to be liable under any Federal or State law for any disclosure

made in good faith and following reasonable procedures in

responding to a request for disclosure of personal information

under subsection (b)(1)(B)(iii) of this section to the parent of

a child.

(b) Regulations

(1) In general

Not later than 1 year after October 21, 1998, the Commission

shall promulgate under section 553 of title 5 regulations that -

(A) require the operator of any website or online service

directed to children that collects personal information from

children or the operator of a website or online service that

has actual knowledge that it is collecting personal information

from a child -

(i) to provide notice on the website of what information is

collected from children by the operator, how the operator

uses such information, and the operator's disclosure

practices for such information; and

(ii) to obtain verifiable parental consent for the

collection, use, or disclosure of personal information from

children;

(B) require the operator to provide, upon request of a parent

under this subparagraph whose child has provided personal

information to that website or online service, upon proper

identification of that parent, to such parent -

(i) a description of the specific types of personal

information collected from the child by that operator;

(ii) the opportunity at any time to refuse to permit the

operator's further use or maintenance in retrievable form, or

future online collection, of personal information from that

child; and

(iii) notwithstanding any other provision of law, a means

that is reasonable under the circumstances for the parent to

obtain any personal information collected from that child;

(C) prohibit conditioning a child's participation in a game,

the offering of a prize, or another activity on the child

disclosing more personal information than is reasonably

necessary to participate in such activity; and

(D) require the operator of such a website or online service

to establish and maintain reasonable procedures to protect the

confidentiality, security, and integrity of personal

information collected from children.

(2) When consent not required

The regulations shall provide that verifiable parental consent

under paragraph (1)(A)(ii) is not required in the case of -

(A) online contact information collected from a child that is

used only to respond directly on a one-time basis to a specific

request from the child and is not used to recontact the child

and is not maintained in retrievable form by the operator;

(B) a request for the name or online contact information of a

parent or child that is used for the sole purpose of obtaining

parental consent or providing notice under this section and

where such information is not maintained in retrievable form by

the operator if parental consent is not obtained after a

reasonable time;

(C) online contact information collected from a child that is

used only to respond more than once directly to a specific

request from the child and is not used to recontact the child

beyond the scope of that request -

(i) if, before any additional response after the initial

response to the child, the operator uses reasonable efforts

to provide a parent notice of the online contact information

collected from the child, the purposes for which it is to be

used, and an opportunity for the parent to request that the

operator make no further use of the information and that it

not be maintained in retrievable form; or

(ii) without notice to the parent in such circumstances as

the Commission may determine are appropriate, taking into

consideration the benefits to the child of access to

information and services, and risks to the security and

privacy of the child, in regulations promulgated under this

subsection;

(D) the name of the child and online contact information (to

the extent reasonably necessary to protect the safety of a

child participant on the site) -

(i) used only for the purpose of protecting such safety;

(ii) not used to recontact the child or for any other

purpose; and

(iii) not disclosed on the site,

if the operator uses reasonable efforts to provide a parent

notice of the name and online contact information collected

from the child, the purposes for which it is to be used, and an

opportunity for the parent to request that the operator make no

further use of the information and that it not be maintained in

retrievable form; or

(E) the collection, use, or dissemination of such information

by the operator of such a website or online service necessary -

(i) to protect the security or integrity of its website;

(ii) to take precautions against liability;

(iii) to respond to judicial process; or

(iv) to the extent permitted under other provisions of law,

to provide information to law enforcement agencies or for an

investigation on a matter related to public safety.

(3) Termination of service

The regulations shall permit the operator of a website or an

online service to terminate service provided to a child whose

parent has refused, under the regulations prescribed under

paragraph (1)(B)(ii), to permit the operator's further use or

maintenance in retrievable form, or future online collection, of

personal information from that child.

(c) Enforcement

Subject to sections 6503 and 6505 of this title, a violation of a

regulation prescribed under subsection (a) of this section shall be

treated as a violation of a rule defining an unfair or deceptive

act or practice prescribed under section 57a(a)(1)(B) of this

title.

(d) Inconsistent State law

No State or local government may impose any liability for

commercial activities or actions by operators in interstate or

foreign commerce in connection with an activity or action described

in this chapter that is inconsistent with the treatment of those

activities or actions under this section.

-SOURCE-

(Pub. L. 105-277, div. C, title XIII, Sec. 1303, Oct. 21, 1998,

112 Stat. 2681-730.)

-MISC1-

EFFECTIVE DATE

For effective date of subsec. (a) of this section, see section

1308 of Pub. L. 105-277, set out as a note under section 6501 of

this title.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 6503, 6504, 6505, 6506 of

this title.

-CITE-

15 USC Sec. 6503 01/06/03

-EXPCITE-

TITLE 15 - COMMERCE AND TRADE

CHAPTER 91 - CHILDREN'S ONLINE PRIVACY PROTECTION

-HEAD-

Sec. 6503. Safe harbors

-STATUTE-

(a) Guidelines

An operator may satisfy the requirements of regulations issued

under section 6502(b) of this title by following a set of

self-regulatory guidelines, issued by representatives of the

marketing or online industries, or by other persons, approved under

subsection (b) of this section.

(b) Incentives

(1) Self-regulatory incentives

In prescribing regulations under section 6502 of this title,

the Commission shall provide incentives for self-regulation by

operators to implement the protections afforded children under

the regulatory requirements described in subsection (b) of that

section.

(2) Deemed compliance

Such incentives shall include provisions for ensuring that a

person will be deemed to be in compliance with the requirements

of the regulations under section 6502 of this title if that

person complies with guidelines that, after notice and comment,

are approved by the Commission upon making a determination that

the guidelines meet the requirements of the regulations issued

under section 6502 of this title.

(3) Expedited response to requests

The Commission shall act upon requests for safe harbor

treatment within 180 days of the filing of the request, and shall

set forth in writing its conclusions with regard to such

requests.

(c) Appeals

Final action by the Commission on a request for approval of

guidelines, or the failure to act within 180 days on a request for

approval of guidelines, submitted under subsection (b) of this

section may be appealed to a district court of the United States of

appropriate jurisdiction as provided for in section 706 of title 5.

-SOURCE-

(Pub. L. 105-277, div. C, title XIII, Sec. 1304, Oct. 21, 1998,

112 Stat. 2681-732.)

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 6502 of this title.

-CITE-

15 USC Sec. 6504 01/06/03

-EXPCITE-

TITLE 15 - COMMERCE AND TRADE

CHAPTER 91 - CHILDREN'S ONLINE PRIVACY PROTECTION

-HEAD-

Sec. 6504. Actions by States

-STATUTE-

(a) In general

(1) Civil actions

In any case in which the attorney general of a State has reason

to believe that an interest of the residents of that State has

been or is threatened or adversely affected by the engagement of

any person in a practice that violates any regulation of the

Commission prescribed under section 6502(b) of this title, the

State, as parens patriae, may bring a civil action on behalf of

the residents of the State in a district court of the United

States of appropriate jurisdiction to -

(A) enjoin that practice;

(B) enforce compliance with the regulation;

(C) obtain damage, restitution, or other compensation on

behalf of residents of the State; or

(D) obtain such other relief as the court may consider to be

appropriate.

(2) Notice

(A) In general

Before filing an action under paragraph (1), the attorney

general of the State involved shall provide to the Commission -

(i) written notice of that action; and

(ii) a copy of the complaint for that action.

(B) Exemption

(i) In general

Subparagraph (A) shall not apply with respect to the filing

of an action by an attorney general of a State under this

subsection, if the attorney general determines that it is not

feasible to provide the notice described in that subparagraph

before the filing of the action.

(ii) Notification

In an action described in clause (i), the attorney general

of a State shall provide notice and a copy of the complaint

to the Commission at the same time as the attorney general

files the action.

(b) Intervention

(1) In general

On receiving notice under subsection (a)(2) of this section,

the Commission shall have the right to intervene in the action

that is the subject of the notice.

(2) Effect of intervention

If the Commission intervenes in an action under subsection (a)

of this section, it shall have the right -

(A) to be heard with respect to any matter that arises in

that action; and

(B) to file a petition for appeal.

(3) Amicus curiae

Upon application to the court, a person whose self-regulatory

guidelines have been approved by the Commission and are relied

upon as a defense by any defendant to a proceeding under this

section may file amicus curiae in that proceeding.

(c) Construction

For purposes of bringing any civil action under subsection (a) of

this section, nothing in this chapter shall be construed to prevent

an attorney general of a State from exercising the powers conferred

on the attorney general by the laws of that State to -

(1) conduct investigations;

(2) administer oaths or affirmations; or

(3) compel the attendance of witnesses or the production of

documentary and other evidence.

(d) Actions by Commission

In any case in which an action is instituted by or on behalf of

the Commission for violation of any regulation prescribed under

section 6502 of this title, no State may, during the pendency of

that action, institute an action under subsection (a) of this

section against any defendant named in the complaint in that action

for violation of that regulation.

(e) Venue; service of process

(1) Venue

Any action brought under subsection (a) of this section may be

brought in the district court of the United States that meets

applicable requirements relating to venue under section 1391 of

title 28.

(2) Service of process

In an action brought under subsection (a) of this section,

process may be served in any district in which the defendant -

(A) is an inhabitant; or

(B) may be found.

-SOURCE-

(Pub. L. 105-277, div. C, title XIII, Sec. 1305, Oct. 21, 1998,

112 Stat. 2681-733.)

-MISC1-

EFFECTIVE DATE

For effective date of section, see section 1308 of Pub. L.

105-277, set out as a note under section 6501 of this title.

-CITE-

15 USC Sec. 6505 01/06/03

-EXPCITE-

TITLE 15 - COMMERCE AND TRADE

CHAPTER 91 - CHILDREN'S ONLINE PRIVACY PROTECTION

-HEAD-

Sec. 6505. Administration and applicability

-STATUTE-

(a) In general

Except as otherwise provided, this chapter shall be enforced by

the Commission under the Federal Trade Commission Act (15 U.S.C. 41

et seq.).

(b) Provisions

Compliance with the requirements imposed under this chapter shall

be enforced under -

(1) section 8 of the Federal Deposit Insurance Act (12 U.S.C.

1818), in the case of -

(A) national banks, and Federal branches and Federal agencies

of foreign banks, by the Office of the Comptroller of the

Currency;

(B) member banks of the Federal Reserve System (other than

national banks), branches and agencies of foreign banks (other

than Federal branches, Federal agencies, and insured State

branches of foreign banks), commercial lending companies owned

or controlled by foreign banks, and organizations operating

under section 25 or 25(a) (FOOTNOTE 1) of the Federal Reserve

Act (12 U.S.C. 601 et seq. and 611 et. seq.), by the Board; and

(FOOTNOTE 1) See References in Text note below.

(C) banks insured by the Federal Deposit Insurance

Corporation (other than members of the Federal Reserve System)

and insured State branches of foreign banks, by the Board of

Directors of the Federal Deposit Insurance Corporation;

(2) section 8 of the Federal Deposit Insurance Act (12 U.S.C.

1818), by the Director of the Office of Thrift Supervision, in

the case of a savings association the deposits of which are

insured by the Federal Deposit Insurance Corporation;

(3) the Federal Credit Union Act (12 U.S.C. 1751 et seq.) by

the National Credit Union Administration Board with respect to

any Federal credit union;

(4) part A of subtitle VII of title 49 by the Secretary of

Transportation with respect to any air carrier or foreign air

carrier subject to that part;

(5) the Packers and Stockyards Act, 1921 (7 U.S.C. 181 et.

seq.) (except as provided in section 406 of that Act (7 U.S.C.

226, 227)), by the Secretary of Agriculture with respect to any

activities subject to that Act; and

(6) the Farm Credit Act of 1971 (12 U.S.C. 2001 et seq.) by the

Farm Credit Administration with respect to any Federal land bank,

Federal land bank association, Federal intermediate credit bank,

or production credit association.

(c) Exercise of certain powers

For the purpose of the exercise by any agency referred to in

subsection (a) (FOOTNOTE 2) of this section of its powers under any

Act referred to in that subsection, a violation of any requirement

imposed under this chapter shall be deemed to be a violation of a

requirement imposed under that Act. In addition to its powers under

any provision of law specifically referred to in subsection (a)

(FOOTNOTE 2) of this section, each of the agencies referred to in

that subsection may exercise, for the purpose of enforcing

compliance with any requirement imposed under this chapter, any

other authority conferred on it by law.

(FOOTNOTE 2) So in original. Probably should be subsection

''(b)''.

(d) Actions by Commission

The Commission shall prevent any person from violating a rule of

the Commission under section 6502 of this title 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 chapter. Any entity that violates such

rule shall be subject to the penalties and entitled to the

privileges and immunities provided in the Federal Trade Commission

Act in the same manner, by the same means, and with the same

jurisdiction, power, and duties as though all applicable terms and

provisions of the Federal Trade Commission Act were incorporated

into and made a part of this chapter.

(e) Effect on other laws

Nothing contained in this chapter shall be construed to limit the

authority of the Commission under any other provisions of law.

-SOURCE-

(Pub. L. 105-277, div. C, title XIII, Sec. 1306, Oct. 21, 1998,

112 Stat. 2681-734.)

-REFTEXT-

REFERENCES IN TEXT

The Federal Trade Commission Act, referred to in subsecs. (a) and

(d), is act Sept. 26, 1914, ch. 311, 38 Stat. 717, as amended,

which is classified generally to subchapter I (Sec. 41 et seq.) of

chapter 2 of this title. For complete classification of this Act

to the Code, see section 58 of this title and Tables.

Section 25(a) of the Federal Reserve Act, referred to in subsec.

(b)(1)(B), which is classified to subchapter II (Sec. 611 et seq.)

of chapter 6 of Title 12, Banks and Banking, was renumbered section

25A of that act by Pub. L. 102-242, title I, Sec. 142(e)(2), Dec.

19, 1991, 105 Stat. 2281. Section 25 of the Federal Reserve Act is

classified to subchapter I (Sec. 601 et seq.) of chapter 6 of Title

12.

The Federal Credit Union Act, referred to in subsec. (b)(3), is

act June 26, 1934, ch. 750, 48 Stat. 1216, as amended, which is

classified generally to chapter 14 (Sec. 1751 et seq.) of Title 12,

Banks and Banking. For complete classification of this Act to the

Code, see section 1751 of Title 12 and Tables.

The Packers and Stockyards Act, 1921, referred to in subsec.

(b)(5), is act Aug. 15, 1921, ch. 64, 42 Stat. 159, as amended,

which is classified generally to chapter 9 (Sec. 181 et seq.) of

Title 7, Agriculture. For complete classification of this Act to

the Code, see section 181 of Title 7 and Tables.

The Farm Credit Act of 1971, referred to in subsec. (b)(6), is

Pub. L. 92-181, Dec. 10, 1971, 85 Stat. 583, as amended, which is

classified generally to chapter 23 (Sec. 2001 et seq.) of Title 12,

Banks and Banking. For complete classification of this Act to the

Code, see Short Title note set out under section 2001 of Title 12

and Tables.

This chapter, referred to in subsec. (e), was in the original

''Act'' and ''the Act'', respectively, and was translated as

reading ''this title'' to reflect the probable intent of Congress.

-MISC2-

EFFECTIVE DATE

For effective date of section, see section 1308 of Pub. L.

105-277, set out as a note under section 6501 of this title.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 6502 of this title.

-CITE-

15 USC Sec. 6506 01/06/03

-EXPCITE-

TITLE 15 - COMMERCE AND TRADE

CHAPTER 91 - CHILDREN'S ONLINE PRIVACY PROTECTION

-HEAD-

Sec. 6506. Review

-STATUTE-

Not later than 5 years after the effective date of the

regulations initially issued under section 6502 of this title, the

Commission shall -

(1) review the implementation of this chapter, including the

effect of the implementation of this chapter on practices

relating to the collection and disclosure of information relating

to children, children's ability to obtain access to information

of their choice online, and on the availability of websites

directed to children; and

(2) prepare and submit to Congress a report on the results of

the review under paragraph (1).

-SOURCE-

(Pub. L. 105-277, div. C, title XIII, Sec. 1307, Oct. 21, 1998,

112 Stat. 2681-735.)

-CITE-