Prohibits contracts for procurement and licensing of electronic literary materials from including certain provisions.

This New Jersey bill prohibits contracts between public libraries and publishers from including clauses that restrict how libraries manage or lend electronic books and audiobooks. The legislation specifically bans provisions that limit a library's ability to make preservation copies, use interlibrary loan systems, set loan periods, or charge fees based on how many times a book is borrowed. Additionally, the bill prevents contracts from stopping libraries from sharing contract terms with other libraries or the state government, and it treats violations as unfair business practices under state consumer fraud laws.