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New Jersey enacted into law a new age appropriate design code (AADC) in August that will take effect on September 1, 2027. While age appropriate design codes are not new, the scope of the New Jersey KIds Code Act is one of the broadest. Not only does it apply to websites that are “directed to children” like other AADCs, but it also includes websites that are “reasonably likely to be accessed by a child or minor,” meaning at least 2% of the users are under 18. The only other state that uses this standard is Vermont – which also has much broader exceptions for complying with the law. New Jersey's new law may sweep in many businesses that did not have to comply with previous state AADCs..
Who is a covered online service provider under the New Jersey Age Appropriate Design Code?
Similar to other AADCs, the New Jersey Kids Code Act applies to online service providers who conduct business in New Jersey and meet a specific business threshold. The Kids Code Act is different than other AADCs, however, because it not only applies to online services that are directed to children but to online services that are “reasonably likely to be accessed by a child or minor.” The definition of being “reasonably likely to be accessed by a child or minor” is much broader than COPPA’s “directed to children," including websites that fall under the COPPA standard and those where the covered online service provider knew or should have known that at least 2% of the audience of the online services includes individuals ages 2 through 17.
What are the requirements under the New Jersey Kids Code?
Below is a list of the requirements under the New Jersey Kids Code.
PRIVACY SETTINGS
A covered online service provider must configure default privacy settings for a minor to the highest level of privacy, including:
For online service providers that use an algorithmic recommendation system to select, recommend or prioritize media:
Do not display a minor’s account or content to an adult unless the adult is the minor’s parent; the minor has expressly agreed to allow the adult to view the account or content; or the minor has chosen to make his or her account/content public;
Prohibit direct messaging between a minor and an adult unless the adult is the parent or the minor has chosen to allow direct messaging with the adult.
Prohibit the display of a minor’s location to other users, unless the minor has expressly chosen to share the minor’s location with a specific user.
Do not display the users connected to a minor.
Disable search engine indexing of a minor’s account.
Disable all interaction counts, including but not limited to comments, reactions and reshares, and offer:
Settings to enable or disable specific types of interaction counts
A single setting to enable all interaction counts at once, provided the settings to enable specific types of interaction counts are equally prominent.
Do not provide a single setting that makes multiple default privacy settings less protective at once.
Do not request or prompt a minor to make privacy settings less protective, unless to provide a requested service or to respond to a parent’s request.
REQUIRED TOOLS
The online service must provide the following:
A user interface to enable a minor and the parent of a minor to report harms experienced on the online service.
A mechanism for minors to request that the minor’s account be unpublished or permanently deleted.
For online services that use an algorithmic recommendation system, a user interface to enable the parent or minor to communicate preferences about which types of media to be recommended or blocked in the output of a relevant algorithmic recommendation and to access, review and make changes to any personal data used to determine the output of the relevant algorithmic recommendation system.
A prominent and real-time signal to minors when precise geolocation information is being collected or used or when online activity of the minor is being monitored.
Settings to allow a minor to block specific users from accessing the media of a covered minor or communicating with a minor on the online service.
LIMITS ON NOTIFICATIONS
The online service cannot
Send notifications to a minor by default
Send notifications to a minor between 10:00 pm and 6:00 am, and on a weekday between Labor Day and Memorial Day, between 8:00am and 4:00 pm.
ADVERTISING LIMITATIONS
The online service cannot:
Target or allow an advertiser to target an advertisement to a minor for narcotic drugs, tobacco products, gambling, or alcohol
Use dark patterns in regard to a minor.
LIMITATIONS ON PERSONAL DATA
The online service cannot
Use the personal data of a minor to select, recommend, or prioritize media using an algorithmic recommendation system, unless based upon user or parent request or age flags.
PROTECTIONS FROM ADDICTIVE QUALITIES OF THE ONLINE SERVICE
The online service must take steps to ensure that the use of a child’s data and the design of the services does not result in compulsive use in a minor.
Who is exempted from complying with the NJ Kids Code Act?
Unlike the Vermont Age Appropriate Design Code, which has an entity exception for Gramm-Leach-Bliley, the New Jersey Kids Code Act has only an information exception. The difference in these exceptions may require Gramm-Leach-Bliley entities to comply with certain aspects of this law – including the implementation of certain tools – that it did not have to comply with under the Vermont Age Appropriate Design Code.
How is the NJ Kids Code Act Enforced?
The New Jersey attorney general can bring actions against violators under the Consumer Fraud Act. In addition, a minor or a minor’s parents may be bring a private right of action for damages including $5,000 per violation or treble damages, whichever is greater.
