This bill would amend the Consumer Protection Act (chapter P-40.1) by adding provisions specifically governing social media and video games. It would also provide that a contract may fall under the Act even where the good or service is supplied without an immediate monetary consideration, if the merchant derives a direct or indirect economic benefit, including through the use of the consumer’s personal information.

The proposed social-media title would apply to merchants operating a digital platform intended to facilitate the creation and sharing of user-generated content, collaboration and social interaction. It would exclude platforms whose primary purpose is, among other things, messaging, sharing information about goods or services, professional networking, education or health care; the Government could exempt additional platforms by regulation. A merchant would be prohibited from registering a consumer under 16 and would have to verify the consumer’s age before registration through the government age-verification mechanism established by regulation. The merchant would also have to inform consumers about the risks associated with screen use, particularly social media, and about mechanisms used to capture and maintain their attention. It would have to provide tools, including notifications, for monitoring and limiting time spent on the platform.

The proposed video-game title would define paid random rewards, engagement-inducing mechanisms and microtransactions. Engagement-inducing mechanisms determined by regulation would be prohibited in video games intended for consumers under 13. Paid random rewards and microtransactions would be prohibited in games intended for consumers under 18. The Government could establish criteria for determining whether a game is intended for either age group. Manufacturers and merchants would have to inform consumers about screen-related risks and engagement-inducing mechanisms.

The bill would also amend section 278 of the Consumer Protection Act to add references to several of these provisions. Beginning on the date falling 18 months after assent, a merchant operating a social-media service would have 12 months to verify the ages of consumers already registered. At the end of that period, it would have to terminate the registration of consumers under 16 and of consumers whose age had not been verified, or suspend the registration until verification was completed. The bill would come into force 18 months after assent.