AB 743

This bill establishes various requirements related to third-party sellers and

the online marketplaces through which they sell consumer products. Under the bill,

third-party sellers who complete at least 200 sales through a particular online

marketplace over a 12-month period that have a total revenue of at least $20,000 are

considered “high-volume third-party sellers” and must disclose their full name,

physical address, telephone number, and email address and certain banking

information to the online marketplace. Online marketplaces must verify this

information and annually check with high-volume third-party sellers for updated

information. If a high-volume third-party seller fails to respond within 10 days to

an inquiry for updated information, an online marketplace must suspend the seller

from participating on its marketplace.

The bill also requires online marketplaces to conspicuously disclose

high-volume third-party sellers' contact information to consumers, subject to

certain exceptions. If a high-volume third-party seller is an individual, the

individual may prevent the online marketplace from disclosing the individual's

residential address and personal telephone number. Under the bill, online

marketplaces must also provide a mechanism for consumers to report electronically

or by telephone suspicious marketplace activity by a high-volume third-party seller.

The Department of Agriculture, Trade and Consumer Protection enforces the

bill's requirements and may promulgate rules necessary for implementing the bill.

A violation of the bill's requirements is an unfair trade practice. Under current law,

DATCP may issue special orders against a person enjoining the use of any unfair

trade practice and may commence an action in court to restrain a person from

violating a special order. The bill also prohibits cities, villages, towns, and counties

from enacting or enforcing their own requirements related to requiring online

marketplaces to verify information involving high-volume third-party sellers or to

disclose information to consumers.