Sen. Andrew Zwicker (D-Middlesex) is sponsoring the bill that would require social media companies to set up 24-hour hotlines. (Dana DiFilippo | New Jersey Monitor)
A bill that would require social media companies to create a 24-hotline for people to report fraudulent accounts is moving forward.
The state Senate Commerce Committee unanimously advanced legislation that would require those companies to provide a toll-free phone number where New Jersey residents could speak with a live representative to report fraudulent activity on their accounts, like hacking.
The Democrat-sponsored bill advanced out of the Assembly in February, largely along party lines. Sen. Jon Bramnick (R-Union) said Monday that he doesn’t see why this bill doesn’t have bipartisan support, and why social media companies would be against this.
“I see constant fraudulent activity, and if you want to reach out to the company, how are you supposed to do it?” he said. “Some people are not that fluent or fluid with social media, and I think it’s a good bill. I’m just trying to find out why they don’t like it.”
Companies that fail to comply with the bill would be subject to hefty penalties under the state Consumer Fraud Act. Social media companies would face up to $10,000 for a first offense and $20,000 for any subsequent offenses. A violation could also lead to a cease and desist order issued by the attorney general, according to the bill.
Phone numbers would be included on any email notifications sent to accounts in New Jersey, and would also be required to show up on the platform’s main feed or help page. Some free hotlines exist for people to report hacking, but most social media companies make users file an online report. Meta and X, formerly known as Twitter, did not respond to a request for comment on the legislation.
In a statement, bill sponsor Sen. Andrew Zwicker (D-Middlesex) said the measure ensures social media users connect to a real person who can solve their issue quickly.
“Too many New Jersey residents fall victim to fraud on social media platforms, just to be told that their only recourse is through automated messages or unresponsive help centers,” he said. “With Americans losing over $1.4 billion through social media scams in 2023 alone, it is clear that better resources are necessary.”
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