Bill > HB1237

This bill requires that "manufacturers," which are entities that create, own, or control an "application store" (a platform for distributing applications), take reasonable steps to verify the age of individuals trying to get an "application" (software or electronic service). If an individual is determined or estimated to be a "child" (under sixteen years old), the manufacturer must get consent from a parent or guardian before allowing them to get the application. Manufacturers also need to signal to developers whether parental consent has been given and provide parents with options for supervision tools, including the ability to restrict a child's app usage time and visibility. Developers, in turn, must offer features for parents to oversee their child's app use, such as time limits, account linking reviews, and notification of reports made by the child. The bill also prohibits manufacturers from using data collected from third parties in an anticompetitive way and mandates that they apply the same age verification standards to their own applications as they do to those from other developers. Violations by manufacturers or developers can result in injunctions and civil penalties of up to $5,000 per incident per affected child, with the Attorney General or state's attorney responsible for enforcement, though a 90-day notice period is provided for manufacturers and developers to correct violations before penalties are sought.

Government Affairs

https://sdlegislature.gov/#/Session/Bill/26415