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A09044 Summary:

BILL NOA09044
 
SAME ASNo Same As
 
SPONSORVanel
 
COSPNSR
 
MLTSPNSR
 
Add §399-l, Gen Bus L
 
Prohibits a person offering loot boxes to consumers within the state to repurchase the contents of any such loot box whether directly themselves or indirectly through a third-party provider.
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A09044 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                          9044
 
                               2025-2026 Regular Sessions
 
                   IN ASSEMBLY
 
                                    September 5, 2025
                                       ___________
 
        Introduced  by M. of A. VANEL -- read once and referred to the Committee
          on Consumer Affairs and Protection
 
        AN ACT to amend the general business  law,  in  relation  to  prohibited
          practices related to loot boxes
 
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:

     1    Section 1. The general business law is amended by adding a new section
     2  399-l to read as follows:
     3    § 399-l. Prohibited practices related to loot boxes. 1. The  following
     4  terms shall have the following meanings:
     5    (a)  "Loot box" shall mean any physical or digital container or equiv-
     6  alent that, when opened, awards the purchaser  one  or  more  randomized
     7  rewards.
     8    (b)  "Person"  shall  mean  any  natural  person,  entity, or group or
     9  persons or entities acting in concert, including but not limited to  any
    10  third-party  providers, affiliated entities, subsidiaries, parent compa-
    11  nies, joint ventures, partnerships, agents, or employees thereof, or any
    12  entity or individual acting at the direction of,  in  cooperation  with,
    13  under  contract  or in partnership with, or financially benefitting from
    14  another person or entity.  Multiple  persons  in  partnership  or  under
    15  contract,  where one or more persons financially benefit from such part-
    16  nership or contract shall be treated as one person for purposes of  this
    17  section.
    18    (c) "Liquid digital item" shall mean any digital item that can be sold
    19  on a digital marketplace.
    20    (d) "Repurchase" shall mean the act of offering a consumer money, cash
    21  equivalents, cryptocurrency, including non-fungible tokens, another loot
    22  box  or  similar  item,  a  liquid  digital  item, any right, privilege,
    23  status, service, experience, or access, or points that can  be  redeemed
    24  to  purchase another loot box, item, cash or cash equivalent, cryptocur-
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD13589-01-5

        A. 9044                             2
 
     1  rency or a liquid digital item in  exchange  for  some  or  all  of  the
     2  contents of a loot box.
     3    2.  No  person offering loot boxes to consumers within the state shall
     4  repurchase the contents of any such loot box whether directly themselves
     5  or indirectly through a third-party provider, affiliated entity, subsid-
     6  iary, parent company, joint ventures, partnership,  agent,  or  employee
     7  thereof,  or  through  any other contractual arrangement with another in
     8  exchange for money, cash equivalents, cryptocurrency, including non-fun-
     9  gible tokens, another loot box or similar item, a liquid  digital  item,
    10  any  right, privilege, status, service, experience, or access, or points
    11  that can be redeemed to purchase another loot box, item,  cash  or  cash
    12  equivalent,  cryptocurrency or a liquid digital item, nor may any third-
    13  party provider, affiliated entity,  subsidiary,  parent  company,  joint
    14  venture, partnership, agent, or employee thereof, or another through any
    15  other  contractual  arrangement  repurchase or redeem those contents for
    16  such value.
    17    3. No loot box shall contain money or any cash equivalent  or  crypto-
    18  currency,  including  non-fungible  tokens, any status, tier, membership
    19  level, or credential, or points that can be redeemed to purchase another
    20  loot box, item, cash or cash  equivalent,  cryptocurrency  or  a  liquid
    21  digital item.
    22    4.  A  person  who  violates  the  provisions of this section shall be
    23  subject to a civil penalty of one  thousand  dollars  per  violation  or
    24  three  times  such  revenue  derived  from  such violation, whichever is
    25  greater. For purposes of this section, the person  or  entity  providing
    26  such  loot boxes shall be held liable for the conduct of any third-party
    27  provider, affiliated entity, subsidiary, parent company, joint  venture,
    28  partnership,  agent,  or  employee thereof, or another through any other
    29  contractual arrangement provided however that where the person or entity
    30  providing such loot boxes is not subject  to  the  jurisdiction  of  the
    31  attorney  general,  any third-party provider, affiliated entity, subsid-
    32  iary, parent company, joint venture,  partnership,  agent,  or  employee
    33  thereof,  or  another  through any other contractual arrangement that is
    34  subject to the jurisdiction of the attorney general shall be jointly and
    35  severally liable for such penalty.
    36    § 2. This act shall take effect immediately.
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