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A10712 Summary:

BILL NOA10712
 
SAME ASNo Same As
 
SPONSORSteck
 
COSPNSR
 
MLTSPNSR
 
Add §396-kkk, Gen Bus L
 
Enacts the "no gambling ads for kids act" under which certain covered platforms and social media platforms are prohibited from advertising a service permitting gaming-related gambling, predictive market wagering, online sweepstakes gaming, sports-related gambling, and/or traditional online gambling to minors.
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A10712 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                          10712
 
                   IN ASSEMBLY
 
                                     March 26, 2026
                                       ___________
 
        Introduced  by M. of A. STECK -- read once and referred to the Committee
          on Consumer Affairs and Protection
 
        AN ACT to amend the general business law, in relation  to  enacting  the
          "no gambling ads for kids act"
 
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:

     1    Section 1. Short title. This act shall be known and may  be  cited  as
     2  the "no gambling ads for kids act".
     3    §  2. The general business law is amended by adding a new section 396-
     4  kkk to read as follows:
     5    § 396-kkk. Unlawful gambling advertisements for  minors.  1.  For  the
     6  purposes  of  this section, the following terms shall have the following
     7  meanings:
     8    (a) "Add-on transaction" means a payment made to  the  operator  of  a
     9  covered  platform of either money or an in-game proxy for money, includ-
    10  ing but not limited, to virtual currency which  can  be  purchased  with
    11  money that:
    12    (i) unlocks a feature of the product; or
    13    (ii) adds to or enhances the entertainment value of the product.
    14    (b)  "Covered  platform" means a public or semi-public website, online
    15  service, online application, or mobile application that allows users  to
    16  construct a public or semi-public profile for the purposes of using such
    17  website,  service, online or mobile application. The term "covered plat-
    18  form" may include a social gaming platform.
    19    (c) "Loot box" means an add-on transaction to a covered platform  that
    20  through a process of total or partial randomization:
    21    (i) unlocks a feature of the product;
    22    (ii) enhances the entertainment value of the product; or
    23    (iii)  allows  the  user  to make one or more additional add-on trans-
    24  actions that such user could not have  made  without  making  the  first
    25  add-on transaction and the content of which is unknown to the user until
    26  after such user has made the first add-on transaction.
    27    (d)  "Minor"  means  an  individual  less  than  eighteen years of age
    28  located in the state of New York.
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD15219-01-6

        A. 10712                            2
 
     1    (e) "Online gaming-related gambling" means activities that occur with-
     2  in video game environments or involve game-related items  and  currency,
     3  including but not limited to:
     4    (i)  exchanging  real money for random, chance-based rewards in games,
     5  such as loot boxes and other add-on transactions; and
     6    (ii) trading or betting using in-game items acquired with real  money,
     7  such as buying and trading skins or other pay-to-win microtransactions.
     8    (f)  "Online  sweepstakes  gaming" means a game, contest, or promotion
     9  meeting all of the following conditions:
    10    (i) available on the internet or accessible on a mobile phone, comput-
    11  er terminal, or similar device;
    12    (ii) utilizes a dual-currency system of payment that allows a user  to
    13  play or participate with direct consideration or indirect consideration,
    14  and  for which the user playing or participating may become eligible for
    15  a prize, award, cash, or cash equivalents or a chance to  win  a  prize,
    16  award, cash, or cash equivalents; and
    17    (iii)  simulates  gambling,  which,  for  purposes  of  this  section,
    18  includes, but is not limited to, any of the following:
    19    (A) slot machines;
    20    (B) video poker;
    21    (C) table games, including, but not limited to,  blackjack,  roulette,
    22  craps, and poker;
    23    (D) lotteries;
    24    (E) bingo;
    25    (F) sports wagering; and
    26    (G) awards cash or cash equivalents.
    27    (g)  "Operator"  means any person, business, or other legal entity who
    28  operates or provides a covered platform or social media platform.
    29    (h) "Pay-to-win microtransaction" means an  add-on  transaction  to  a
    30  covered  platform  that from the perspective of a reasonable user of the
    31  covered platform is a game offering a scoring system, a set of goals  to
    32  achieve, a set of rewards, or a sense of interactive progression through
    33  the  covered  platform's  content including but not limited to narrative
    34  progression that:
    35    (i) eases a user's progression through content  otherwise  unavailable
    36  within the game without the purchase of such transaction;
    37    (ii)  assists  a  user in accomplishing an achievement within the game
    38  that can otherwise be accomplished without the purchase of  such  trans-
    39  action;
    40    (iii)  assists  a  user in receiving an award associated with the game
    41  that is otherwise unavailable in association with the game  without  the
    42  purchase of such transaction;
    43    (iv) permits a user to continue to access content of the game that had
    44  previously  been  accessible  to the user but has been made inaccessible
    45  after the expiration of a timer or a number of gameplay attempts; or
    46    (v) with respect to an interactive digital entertainment product that,
    47  from the perspective of a reasonable user of  the  product,  is  a  game
    48  featuring  competition  with  other  users  and  provides  a user with a
    49  competitive advantage with respect to  the  game's  competitive  aspects
    50  over users who do not make such a transaction.
    51    (i) "Predictive market wagering" means betting, speculating, or wager-
    52  ing  by  means of a prediction market whereby participants are permitted
    53  to place wagers, trades, or financial positions on the outcome of future
    54  events, including, but not limited to, political, economic, weather,  or
    55  other eventualities, with payouts tied to event outcomes.

        A. 10712                            3
 
     1    (j)  "Skins"  means in-game virtual reward systems where users utilize
     2  real or virtual  currency  to  purchase  loot  boxes  containing  random
     3  cosmetic  items or skins for characters or weapons. Such skins can range
     4  widely in value and can often be sold or traded for  real-world  use  on
     5  third-party sites.
     6    (k)  "Sports  wagering"  shall  have  the same meaning as such term is
     7  defined by section thirteen  hundred  one  of  the  racing,  pari-mutuel
     8  wagering and breeding law.
     9    (l)  "Social  gaming  platform"  means an immersive digital space that
    10  integrates gameplay, social connection, and in-game purchasing, allowing
    11  users to create customizable avatars and interact  with  others  through
    12  real-time  collaboration  and  competition.  A social gaming platform is
    13  accessible across consoles,  computers,  mobile  devices,  tablets,  and
    14  virtual reality systems.
    15    (m)  "Social  media platform" shall have the same meaning as such term
    16  is defined by section eleven hundred of this chapter.
    17    (n) "Sports-related gambling" means  gambling  activities  related  to
    18  sporting events, including but not limited to:
    19    (i)  season  or  tournament-length  contests  for money, such as March
    20  Madness brackets and fantasy leagues;
    21    (ii) sports betting, daily fantasy sports,  or  e-sports  betting  for
    22  real  money,  such  as  predicting  whether a team will win, or how many
    23  points a player will score;
    24    (iii) in-game betting for real money wherein bets are placed  after  a
    25  game has started; and
    26    (iv) sports wagering.
    27    (o)  "Traditional  online gambling" means conventional gambling activ-
    28  ities that exist online independently of video game platforms, including
    29  but not limited to:
    30    (i) online gambling sites with real money, such  as  slots,  roulette,
    31  blackjack, and poker with strangers;
    32    (ii)  lottery  or  scratch-off tickets purchased with one's own money,
    33  including digital lottery apps; and
    34    (iii) entertainment gambling sites.
    35    (p) "User" means a user of a covered platform or social media platform
    36  in the state of New York not acting as an operator, or agent  or  affil-
    37  iate of such operator, of such platform or any portion thereof.
    38    2.  It  shall  be unlawful for the operator of a covered platform or a
    39  social media platform to display to a user a paid  advertisement,  spon-
    40  sored  content,  influencer  marketing, affiliate marketing, algorithmic
    41  promotion, targeted amplification or cross-platform  promotional  place-
    42  ments for a service that permits online gaming-related gambling, predic-
    43  tive  market  wagering, online sweepstakes gaming, sports-related gambl-
    44  ing,  and/or  traditional  online  gambling  unless  such  operator  has
    45  reasonably  determined  that such user is not a minor in accordance with
    46  age determination and  age  assurance  regulations  promulgated  by  the
    47  attorney general pursuant to this section.
    48    3.  Information  collected for the purpose of determining a user's age
    49  under subdivision two of this section shall not be used for any  purpose
    50  other  than  age determination and shall be deleted immediately after an
    51  attempt to determine a user's age, except where necessary for compliance
    52  with any applicable provisions of New York state or federal law or regu-
    53  lation.
    54    4. Any violation of this section shall  constitute  false  advertising
    55  under  section three hundred fifty-a of this chapter and may be enforced
    56  by the attorney general or the New York state gaming commission.

        A. 10712                            4
 
     1    5.  The  attorney  general  shall  maintain  a  website   to   receive
     2  complaints,  information  and/or  referrals  from  members of the public
     3  concerning a covered platform's, social media platform's, or  operator's
     4  alleged  compliance  or  non-compliance  with  the  provisions  of  this
     5  section.
     6    6.  The  attorney  general shall promulgate regulations to further the
     7  purposes of this section. Such regulations may reference  or  rely  upon
     8  existing  regulations  promulgated by the attorney general regarding age
     9  determination or age assurance.
    10    7. The New York state gaming commission shall  maintain  guidance  for
    11  the  gaming and gambling industry on restrictions for online advertising
    12  to any individual under the age of eighteen.
    13    § 3. Severability. If any clause,  sentence,  paragraph,  subdivision,
    14  section  or part of this act shall be adjudged by any court of competent
    15  jurisdiction to be invalid, such judgment shall not affect,  impair,  or
    16  invalidate the remainder thereof, but shall be confined in its operation
    17  to the clause, sentence, paragraph, subdivision, section or part thereof
    18  directly  involved  in the controversy in which such judgment shall have
    19  been rendered. It is hereby declared to be the intent of the legislature
    20  that this act would have been enacted even if  such  invalid  provisions
    21  had not been included herein.
    22    § 4. This act shall take effect on the one hundred eightieth day after
    23  it  shall have become a law. Effective immediately, the addition, amend-
    24  ment and/or repeal of any rule or regulation necessary for the implemen-
    25  tation of this act on its effective date are authorized to be  made  and
    26  completed on or before such effective date.
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