[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[S. 3161 Introduced in Senate (IS)]

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118th CONGRESS
  1st Session
                                S. 3161

  To require third-party delivery platforms to follow certain pricing 
                   practices, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                            October 30, 2023

   Mr. Lujan introduced the following bill; which was read twice and 
   referred to the Committee on Commerce, Science, and Transportation

_______________________________________________________________________

                                 A BILL


 
  To require third-party delivery platforms to follow certain pricing 
                   practices, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Promoting Real-time Information on 
Cost Expenditure Act'' or the ``PRICE Act''.

SEC. 2. DEFINITIONS.

    In this Act:
            (1) Commission.--The term ``Commission'' means the Federal 
        Trade Commission.
            (2) Delivery fee.--The term ``delivery fee'' means any fee 
        imposed by a third-party delivery platform on a user of the 
        platform with respect to an order placed through the platform 
        of items from a retail establishment that is in addition to any 
        charge that the retail establishment would impose on the sale 
        of the same items if they were purchased by an individual who 
        is physically present in such establishment. In the case of a 
        retail establishment that does not offer items for sale to 
        individuals who are physically present in such establishment, 
        such term shall include any fee imposed by a third-party 
        delivery platform that is in addition to the menu or retail 
        price for the items ordered.
            (3) Retail establishment.--The term ``retail 
        establishment'' means a physical establishment (including a 
        restaurant) where items (including food, beverages, or other 
        goods) are offered for sale to individuals who--
                    (A) are physically present in such establishment; 
                or
                    (B) place orders through a third-party delivery 
                platform.
            (4) Third-party delivery platform.--The term ``third-party 
        delivery platform'' means any website, mobile application, or 
        other internet service that--
                    (A) as its primary function, offers or arranges for 
                the sale and same-day delivery of items (including food 
                beverages, or other goods) from a retail establishment; 
                and
                    (B) is not owned by, under common ownership with, 
                operated by, or a subsidiary of the retail 
                establishment.

SEC. 3. PRICING REQUIREMENTS FOR THIRD-PARTY DELIVERY PLATFORMS.

    (a) In General.--Beginning 90 days after the date of enactment of 
this Act, it shall be unlawful to operate a third-party delivery 
platform unless such platform satisfies the requirements described in 
subsection (b).
    (b) Pricing Requirements.--The requirements described in this 
subsection, with respect to a third-party delivery platform, are the 
following:
            (1) If the third-party delivery platform charges 1 or more 
        delivery fees for an order from a retail establishment, any 
        such delivery fee shall be--
                    (A) calculated using a methodology that is 
                determined no later than the time the user placing the 
                order selects the retail establishment and may not 
                change once the user has begun their order from the 
                retail establishment; and
                    (B) based solely on--
                            (i) the total price charged by the retail 
                        establishment for items ordered by the user, 
                        excluding any taxes and any fees imposed by the 
                        third-party delivery platform; and
                            (ii) other factors related to the delivery 
                        of the items ordered from the retail 
                        establishment, including the delivery distance, 
                        but excluding--
                                    (I) any other factor related to the 
                                user who placed the order; and
                                    (II) any factor related to an 
                                arrangement negotiated between the 
                                third-party delivery platform and the 
                                retail establishment.
            (2) Whenever a user selects an item to order from a retail 
        establishment through the third-party delivery platform, the 
        third-party delivery platform shall prominently display--
                    (A) the price charged by the retail establishment 
                for such item, excluding any taxes; and
                    (B) if applicable, any delivery fees imposed with 
                respect to such item by the third-party delivery 
                platform.
            (3) Throughout the ordering process, the third-party 
        delivery platform shall prominently display the ongoing total 
        amount to be charged to the user for the order that includes 
        every item and service that the user has selected up to that 
        point. Such total amount shall include the cost of each item 
        selected, applicable taxes, and any applicable fees.
            (4) Prior to requesting payment for an order, the third-
        party delivery platform shall provide the user with an 
        explanation, in a clear, conspicuous, and not misleading 
        manner, of each delivery fee imposed on the user by the 
        platform and what the fee is for. Such explanation shall 
        include the amount of the delivery fee, the item or service 
        that the delivery fee relates to, whether the delivery fee is 
        refundable, and such other information as the Commission may 
        specify.
    (c) Rule of Construction Regarding Gratuities.--Nothing in this 
section shall be construed to prevent a third-party delivery platform 
from allowing a user to add a gratuity to their order.

SEC. 4. ENFORCEMENT.

    (a) Enforcement by the Federal Trade Commission.--
            (1) Unfair and deceptive acts or practices.--A violation of 
        this Act shall be treated as a violation of a rule defining an 
        unfair or deceptive act or practice prescribed under section 
        18(a)(1)(B) of the Federal Trade Commission Act (15 U.S.C. 
        57a(a)(1)(B)).
            (2) Powers of the commission.--
                    (A) In general.--The Commission shall enforce this 
                Act in the same manner, by the same means, and with the 
                same jurisdiction, powers, and duties as though all 
                applicable terms and provisions of the Federal Trade 
                Commission Act (15 U.S.C. 41 et seq.) were incorporated 
                into and made a part of this Act.
                    (B) Privileges and immunities.--Any person that 
                violates this Act shall be subject to the penalties, 
                and entitled to the privileges and immunities, provided 
                in the Federal Trade Commission Act (15 U.S.C. 41 et 
                seq.).
                    (C) Regulations.--The Commission shall, pursuant to 
                section 553 of title 5, United States Code promulgate 
                such regulations as the Commission determines necessary 
                to carry out the provisions of this Act.
                    (D) Authority preserved.--Nothing in this Act shall 
                be construed to limit the authority of the Commission 
                under any other provision of law.
    (b) Enforcement by State Attorneys General.--
            (1) In general.--
                    (A) Civil actions.--In any case in which the 
                attorney general of a State has reason to believe that 
                an interest of the residents of that State has been or 
                is threatened or adversely affected by the engagement 
                of any person in a practice that violates this Act, the 
                State, as parens patriae, may bring a civil action on 
                behalf of the residents of the State in a district 
                court of the United States or a State court of 
                appropriate jurisdiction to--
                            (i) enjoin that practice;
                            (ii) enforce compliance with this Act or 
                        such regulation;
                            (iii) on behalf of residents of the State, 
                        obtain damages, restitution, or other 
                        compensation, each of which shall be 
                        distributed in accordance with State law; or
                            (iv) obtain such other relief as the court 
                        may consider to be appropriate.
                    (B) Notice.--
                            (i) In general.--Before filing an action 
                        under subparagraph (A), the attorney general of 
                        the State involved shall provide to the 
                        Commission--
                                    (I) written notice of that action; 
                                and
                                    (II) a copy of the complaint for 
                                that action.
                            (ii) Exemption.--
                                    (I) In general.--Clause (i) shall 
                                not apply with respect to the filing of 
                                an action by an attorney general of a 
                                State under this paragraph if the 
                                attorney general of the State 
                                determines that it is not feasible to 
                                provide the notice described in that 
                                clause before the filing of the action.
                                    (II) Notification.--In an action 
                                described in subclause (I), the 
                                attorney general of a State shall 
                                provide notice and a copy of the 
                                complaint to the Commission at the same 
                                time as the attorney general files the 
                                action.
            (2) Intervention.--
                    (A) In general.--On receiving notice under 
                paragraph (1)(B), the Commission shall have the right 
                to intervene in the action that is the subject of the 
                notice.
                    (B) Effect of intervention.--If the Commission 
                intervenes in an action under paragraph (1), it shall 
                have the right--
                            (i) to be heard with respect to any matter 
                        that arises in that action; and
                            (ii) to file a petition for appeal.
            (3) Construction.--For purposes of bringing any civil 
        action under paragraph (1), nothing in this Act shall be 
        construed to prevent an attorney general of a State from 
        exercising the powers conferred on the attorney general by the 
        laws of that State to--
                    (A) conduct investigations;
                    (B) administer oaths or affirmations; or
                    (C) compel the attendance of witnesses or the 
                production of documentary and other evidence.
            (4) Actions by the commission.--In any case in which an 
        action is instituted by or on behalf of the Commission for 
        violation of this Act, no State may, during the pendency of 
        that action, institute a separate action under paragraph (1) 
        against any defendant named in the complaint in the action 
        instituted by or on behalf of the Commission for that 
        violation.
            (5) Venue; service of process.--
                    (A) Venue.--Any action brought under paragraph (1) 
                may be brought in--
                            (i) the district court of the United States 
                        that meets applicable requirements relating to 
                        venue under section 1391 of title 28, United 
                        States Code; or
                            (ii) a State court of competent 
                        jurisdiction.
                    (B) Service of process.--In an action brought under 
                paragraph (1) in a district court of the United States, 
                process may be served wherever defendant--
                            (i) is an inhabitant; or
                            (ii) may be found.
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