Consumer Protection – False Advertising – Digital Goods

HB 208 prohibits sellers from advertising digital goods (like apps, music, e-books, or video content) using terms that imply permanent ownership unless specific disclosures are made at the point of sale. Sellers must obtain a buyer’s written acknowledgment confirming they are purchasing a license (not ownership), listing all restrictions and noting the seller can revoke access. Additionally, if a rental option is offered alongside a sale, sellers must provide clear statements explaining the licensing terms and a digital method to access those details. The bill directly affects businesses selling digital goods in Maryland, requiring them to adjust advertising and checkout processes to comply with these transparency rules. It amends Maryland’s Commercial Law to clarify that digital goods are licensed, not owned, when sold.