The INFORM Customers Act is efficient as of June 27, 2023. On-line marketplaces, have you ever taken the steps the statute requires? And is your website prepared for scrutiny by the FTC and state regulation enforcers?
The INFORM Consumers Act requires “on-line marketplaces” – a time period outlined within the statute – to guard shoppers from counterfeit, unsafe, and stolen items by verifying the id of high-volume third-party sellers on their platforms and by making it simpler for shoppers to report suspicious conduct.
Final week FTC workers despatched letters to 50 online marketplaces throughout the nation calling consideration to their obligation to adjust to the brand new regulation. Whether or not or not your online business acquired a kind of letters, if you happen to meet the statutory definition of an internet market, you should be in full compliance with the INFORM Customers Act by June twenty seventh. FTC workers additionally urge on-line marketplaces to speak with their third-party sellers concerning the data the regulation requires marketplaces to gather, confirm, and disclose about them.
A brand new FTC publication, Informing Businesses About the INFORM Consumers Act, provides compliance fundamentals. Should you spot a doable violation of the regulation, report it to the FTC.