Pending Bill Would Punish Companies That Use Consumer Information to Target Ads

NEW YORK — New legislation is picking up steam in New York that would make it harder for Internet giants like Google, Microsoft and Yahoo to use information collected about web surfers as a basis for targeted advertising.

New York state assmeblyman Richard L. Brodsky drafted the new bill, which would make it a punishable-by-fine crime for certain online companies to use information about web surfers without their consent.

“Should these companies be able to sell or use what’s essentially private data without permission?" asked Brodsky, a Democrat. "The easy answer is absolutely not.”

Adult industry lawyer Ira Rothken told XBIZ that even though the law appears to target the big kids on the virtual block – Microsoft, Google and Yahoo – it might affect the adult industry, too.

"It might have an impact to the extent that there are any adult affiliate companies or ad networks that track users' clicks to build an advertising profile," he said, though he cautioned that as far as he knows, the language of the New York bill hasn't been settled yet.

That exact language of the law might raise other Constitutional concerns as well, Rothken said. He explained that because the virtual space of the Internet ignores state and national boundaries, the New York law, if passed, might force Internet companies nationwide to abide by it out of caution.

"And that might be unconstitutional," Rothken said, adding that litigation over the matter may involve the Dormant Commerce Clause, the legal concept that tacitly grants Congress the authority to prevent states from passing laws that affect interstate commerce.

The pending legislation in New York also raises questions about how Internet companies can and should balance the need for users' privacy and the need for efficient advertising.

Earlier this year, a judge in Australia mounted an argument that runs contrary to Assemblyman Brodsky's proposed law. While considering a law that would force online companies to get surfers' consent before using their information, High Court Justice Michael Kirby said that the march of technology was unstoppable.

"It was a good moral and ethical principle to keep people's control over the usage that was made of the information ... and then along came Google and Yahoo," Kirby said. "And when the new technology came, there was a massive capacity to range through vast amounts of information. The notion that you could control this was a conundrum."

Copyright © 2026 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

Segpay Partners With Corey Silverstein for Legal Services

Segpay has partnered with adult industry attorney Corey D. Silverstein for specialized legal compliance and policy support for its merchant network.

Missouri Governor Signs Bill Making AV Regulations State Law

Missouri Governor Mike Kehoe signed a bill into law on Thursday requiring adult websites to age-verify users in the state, finalizing a legislative “stamp of approval” for AV rules after Missouri’s attorney general unilaterally imposed similar regulations last year.

Ofcom Fines Fapello $845,000 for AV Noncompliance

U.K. media regulator Ofcom on Thursday imposed a fine of 630,000 pounds (about $845,000) against adult website fapello.com for failing to comply with provisions of the Online Safety Act.

XBIZ 2027 January Event Series to Take Center Stage at L.A. Live

Culminating years of growth and expansion, with its January event series now spanning eight events, XBIZ Media will bring the entire series together under one roof at the JW Marriott L.A. Live, creating the adult industry’s epicenter for business, networking and celebration from Jan. 7-10, 2027.

Texas Court Orders Adult Site Domain Locked for AV Violations

A district court in Texas has issued a writ requiring domain registry Verisign to “lock” an adult website’s domain over noncompliance with the state’s age verification law.

Federal AV Proposal Passes House, Faces Senate Opposition

The U.S. House of Representatives on Monday passed the Kids Internet and Digital Safety (KIDS) Act, which includes provisions to make age verification by adult websites federal law, but the bill still faces tough going in the Senate.

AV Bulletin: Midyear Roundup

Since the U.S. Supreme Court’s decision in Free Speech Coalition v. Paxton, more state age verification laws have been enacted around the United States, as well as proposed at the federal level and in other countries. Meanwhile, lawsuits resulting from AV laws have begun to play out in the courts. This roundup provides an update on the latest news and developments on the age verification front as it impacts the adult industry.

Judge Dismisses Last NCOSE-Backed Suit Over Kansas AV Law

A federal judge on Monday dismissed a lawsuit alleging that adult site SuperPorn violated Kansas’ age verification law, citing lack of jurisdiction after similarly dismissing two related cases earlier this year.

Federal AV Proposal Scores Minor Win in House but Remains in Doubt

A newly announced bipartisan agreement in the U.S. House of Representatives Committee on Energy and Commerce may soon bring a proposed federal age verification law before the full House, but the measure continues to face an uphill battle.

Arizona Governor Vetoes 'Protect Act' With New Consent Provisions

Arizona Governor Kate Hobbs on Friday vetoed HB 2133, the “Protect Act,” which would have imposed new requirements for adult content uploaded online.

Show More