Plumbing Manufacturers International (PMI) CEO and Executive Director Kerry Stackpole applauded the passage of the Integrity, Notification, and Fairness in Online Retail Marketplaces (INFORM) Consumers Act as part of the Fiscal Year 2023 Omnibus Appropriations Act, which was signed into law on Dec. 29, 2022.
"The INFORM Consumers Act will help combat the online sale of stolen and counterfeit consumer products, including plumbing products, by ensuring transparency of high-volume third-party sellers in online retail marketplaces," Stackpole said.
This common-sense measure, a top priority for PMI in the 117th Congress, "will help law enforcement, manufacturers, retailers, and online marketplaces to work together to protect consumers from bad actors hawking counterfeit and stolen goods," he stated. "We particularly want to thank Representatives Jan Schakowsky (D-IL) and Gus Bilirakis (R-FL), and Senators Dick Durbin (D-IL) and Bill Cassidy (R-LA), for championing this important legislation."
The act specifically directs online marketplaces to verify high-volume third-party sellers by authenticating the seller's government ID, tax ID, bank account information, and contact information. High-volume third-party sellers are defined as vendors who have made 200 or more discrete sales in a 12-month period amounting to $5,000 or more. The bill's requirements will be implemented by the Federal Trade Commission and violators would be subject to civil penalties. The act will allow every state attorney general to enforce the law's provisions.