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Legal Challenge Proceeds Against Maryland’s Kids Code

Artistic representation of technology regulations and child safety online

Baltimore, Maryland, December 2, 2025

The legal challenge against Maryland’s 2024 Kids Code, filed by NetChoice, is allowed to proceed by a federal judge. This law aims to protect minors’ online data and privacy but raises concerns about potential First Amendment violations. Key components include strict data collection restrictions and mandatory privacy settings for child-accessible platforms. The outcome may influence state authority in regulating online platforms and set precedents for free speech in the tech industry.

Baltimore, Maryland

Legal Challenge Proceeds Against Maryland’s Kids Code

NetChoice’s Suit Highlights Free Speech and Data Privacy Concerns

In a significant development for tech regulations in Maryland, a federal judge has allowed NetChoice’s legal challenge against the state’s 2024 “Kids Code” to continue. This law, known officially as the Age-Appropriate Design Code Act, aims to protect minors’ data and privacy online, but it faces criticism for potentially infringing on First Amendment rights. The decision to deny the state’s motion to dismiss marks a pivotal moment, allowing for a deeper examination of the implications of state-level regulations on the tech industry.

The Maryland Kids Code was enacted to impose strict requirements on online platforms likely to be accessed by children. It introduces limitations on data collection, mandates strong default privacy settings, and will require data protection assessments starting in 2026. While the intention behind these regulations is to safeguard children, the repercussions on businesses and free speech are raising concerns among industry stakeholders.

Understanding the Maryland Kids Code

Enacted in 2024, the Maryland Kids Code aims to regulate how online platforms interact with minors, mandating strong protective measures to ensure their safety. Key components of the law include:

  • Restrictions on the collection and sale of data from minors.
  • Mandated strong privacy settings by default on child-accessible platforms.
  • Upcoming obligations for data protection impact assessments, effective April 1, 2026.
  • Enforcement through civil penalties and investigations by the Maryland Office of the Attorney General.

While safeguarding minors, the law could stifle innovation and increase compliance burdens for small businesses trying to comply with these new rules.

NetChoice’s Legal Challenge

In early 2025, NetChoice, a trade association representing major tech firms such as Amazon, Meta, and Google, filed a lawsuit asserting that the Kids Code violates the First Amendment. Central to their argument is the claim that the law effectively forces websites to act as “government speech police,” thereby altering their editorial responsibilities under a vague standard focused on the “best interests of children.” This raises critical questions about state and federal jurisdiction in shaping online content.

Implications of the Court’s Decision

The recent court ruling to allow the legal challenge to move forward does not halt the enforcement of the Kids Code but opens a pathway for further legal scrutiny. The outcome of this case may set significant precedents regarding the balance of state versus federal authority in regulating online platforms and the broader implications for online privacy protections. Stakeholders across Maryland and nationwide are keeping a close watch on these proceedings, as they could signal larger trends affecting business regulation and free speech.

Maryland’s Commitment to Protecting Minors

The state’s proactive stance in protecting children’s online privacy isn’t limited to the Kids Code. Maryland’s Attorney General has been engaged in national lawsuits against social media companies, citing concerns over mental health impacts on youth. This reinforces Maryland’s commitment to a safer online environment, albeit at the potential cost of limiting the operational freedom of tech companies.

Conclusion

As the legal challenges surrounding Maryland’s Kids Code unfold, the implications for online privacy, free speech, and business operations are becoming increasingly apparent. While the intent to protect children online is commendable, it is essential to consider how such regulations can impact entrepreneurial innovation and economic growth. Engaging further with local businesses and monitoring developments in Maryland’s regulatory landscape will be crucial as this situation progresses.

Frequently Asked Questions (FAQ)

What is the Maryland Kids Code?

The Maryland Kids Code, officially known as the Age-Appropriate Design Code Act, is a law enacted in 2024 that imposes stringent requirements on online platforms likely to be accessed by children. These include restrictions on data collection, mandatory strong default privacy settings, and upcoming obligations for data protection impact assessments. The law subjects companies to civil penalties and investigations by the Maryland Office of the Attorney General.

Who is NetChoice?

NetChoice is a trade association representing major tech companies, including Amazon, Meta, Google, Snap, Netflix, and X. The association advocates for free markets and opposes regulations it views as burdensome to the tech industry.

What are the main arguments in NetChoice’s lawsuit?

NetChoice argues that the Maryland Kids Code violates the First Amendment by compelling websites to act as “government speech police” and forces them to alter their editorial functions through a vague “best interests of children” standard. The association also contends that the law is preempted by federal law.

What are the potential implications of this legal challenge?

The outcome of this case could have significant implications for online privacy regulations and the balance between state laws and federal authority. It may influence how states can regulate online platforms, especially concerning children’s data and privacy.

Has Maryland taken other actions to protect children’s online privacy?

Yes, Maryland’s Attorney General has previously joined national lawsuits against social media giants, citing mental health harm to children. These actions underscore the state’s commitment to protecting minors in the digital age.

Key Features of the Maryland Kids Code

Feature Description
Data Collection Restrictions Limits on the collection and sale of certain data from minors.
Default Privacy Settings Mandates strong privacy settings by default on platforms accessible to children.
Data Protection Impact Assessments Requires companies to conduct assessments identifying the purpose and use of children’s data, effective April 1, 2026.
Enforcement Subjects companies to civil penalties and investigations by the Maryland Office of the Attorney General.


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