Online marketplaces, take note: INFORM Consumers Act takes effect on June 27th lfair June 27, 2023 | 5:20PM Online marketplaces, take note: INFORM Consumers Act takes effect on June 27th By Lesley Fair The INFORM Consumers Act is effective as of June 27, 2023. Online marketplaces, have you taken the steps the statute requires? And is your site ready for scrutiny by the FTC and state law enforcers? The INFORM Consumers Act requires “online marketplaces” – a term defined in the statute –  to protect consumers from counterfeit, unsafe, and stolen goods by verifying the identity of high-volume third-party sellers on their platforms and by making it easier for consumers to report suspicious conduct. Last week FTC staff sent letters to 50 online marketplaces across the country calling attention to their obligation to comply with the new law. Whether or not your business received one of those letters, if you meet the statutory definition of an online marketplace, you need to be in full compliance with the INFORM Consumers Act by June 27th. FTC staff also urge online marketplaces to communicate with their third-party sellers about the information the law requires marketplaces to collect, verify, and disclose about them. A new FTC publication, Informing Businesses About the INFORM Consumers Act, offers compliance basics. If you spot a possible violation of the law, report it to the FTC.    Image        

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