The Integrity, Notification, and Fairness in Online Retail Marketplaces for Consumers Act, or the INFORM Act, is a bipartisan bill that would address consumer safety concerns in online marketplaces by increasing transparency and seller verification standards.
TechNet’s member companies are committed to maintaining trust with consumers and sellers who use their platforms. The selling of illegal and counterfeit products is a serious issue, and that is exactly why online marketplaces are heavily invested in technologies, personnel, and processes that identify bad actors and remove them from their platforms.
The INFORM Act would enhance these efforts by establishing national standards for marketplaces and sellers to follow in order to better inform consumers about the products that they are purchasing online. Specifically, the bill mandates that marketplaces collect information on large volume sellers, enabling law enforcement to better detect and deter bad actors from selling counterfeit goods widely online. Importantly, the bill would ensure small businesses or individuals selling goods online are not saddled with onerous disclosure requirements that would force them out of online marketplaces.
More and more states across the country are passing versions of the INFORM Act, which is creating a confusing patchwork of online marketplace regulation. Instead, we urge Congress to set practical, national standards, which will allow online commerce to flourish while protecting consumers and ensuring accountability. The INFORM Act is a bipartisan, common-sense measure that will accomplish these goals and is supported by law enforcement, manufacturers, consumer groups, retailers, and sellers.
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