TERMS Act

This bill would make online services be more open and fair when they suspend or ban users. Companies would have to post a clear “acceptable use” policy in an easy-to-find place, explaining what behavior is not allowed, how they enforce the rules (including if they use outside help), whether users can appeal, if off‑platform behavior can be used against a user, and how the company gives notice before a restriction. If they change these rules in a big way, they must warn users ahead of time. Before suspending or banning someone, companies must try in good faith to give written notice at least 7 days early, explain what rule was broken, and tell the user about any appeal process. Users can choose to have this notice posted publicly. There are narrow exceptions for court orders or imminent risks like death or serious injury, but the company still has to share the required information as soon as possible .

Companies would also have to publish a yearly report with numbers on how they enforced their rules, including how many alerts they received (and from whom), how many times they restricted users and for which rule, and how many appeals were filed and reversed. Reports must be easy to read and machine‑readable, and openly licensed. The Federal Trade Commission would enforce these requirements, including for nonprofits, and will issue best‑practice guidance within 180 days. The guidance doesn’t create new rights but can be used as proof of compliance.

• Who is affected: Online service providers and their users; enforcement also covers nonprofits .
• What changes: Clear posted rules; advance notice before account restrictions; option for public notice; annual transparency reports; FTC enforcement .
• When: Posting the rules and the notice requirement begin 180 days after enactment; the first annual report is due within 1 year, then every year after .