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NJ SCR52
NJ SCR52Urges Congress and President to prohibit private financial institutions from penalizing individuals for exercise of free speech.
summary
Introduced
01/09/2024
01/09/2024
In Committee
01/09/2024
01/09/2024
Crossed Over
Passed
Dead
01/12/2026
01/12/2026
Introduced Session
2024-2025 Regular Session
Bill Summary
This resolution urges Congress and the President of the United States to enact legislation prohibiting private financial institutions from penalizing individuals for expression of constitutionally protected speech. A recent policy update notice from PayPal, Inc. indicated that its services could not be used, starting November 3, 2022, to promote misinformation, an infraction to be defined solely by PayPal, Inc. and to result in a fine of $2,500. Under the policy, PayPal, Inc. would have also been able to penalize users who would have violated other restrictions on expression, including on content that, in the sole discretion of PayPal, Inc., is unfit for publication. Public outrage led to the company retracting this change, but consumers remain vulnerable to the decisions of private financial institutions to implement similar policies going forward. Wide dependence upon financial institutions in daily life renders their ability to implement broad policies penalizing certain expressions inequitable. This resolution urges Congress and the President to enact legislation to protect consumers from such restrictions under federal law, which has the potential to more broadly protect consumers than state law alone.
AI Summary
This joint resolution urges Congress and the President to create legislation preventing financial institutions from penalizing individuals for exercising their constitutionally protected free speech rights. The resolution was prompted by a specific incident involving PayPal, which in September 2022 attempted to implement an Acceptable Use Policy that would have allowed the company to fine users up to $2,500 for posting content deemed as misinformation or unfit for publication, as determined solely by PayPal. Although PayPal ultimately retracted this policy following public backlash, the resolution highlights the broader concern that financial institutions, which are critical to daily life, could potentially restrict individuals' freedom of expression. The resolution emphasizes that federal law can provide more comprehensive consumer protections than state laws alone, and it draws attention to the First Amendment's protection of free speech. By formally requesting federal action, the resolution seeks to prevent financial institutions from arbitrarily penalizing users based on their expressed opinions, thereby safeguarding constitutional rights in the digital and financial landscape.
Committee Categories
Business and Industry
Sponsors (2)
Last Action
Introduced in the Senate, Referred to Senate Commerce Committee (on 01/09/2024)
Official Document
bill text
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://www.njleg.state.nj.us/bill-search/2024/SCR52 |
| BillText | https://pub.njleg.gov/Bills/2024/SCR/52_I1.HTM |
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