[Congressional Record Volume 167, Number 87 (Wednesday, May 19, 2021)]
[Senate]
[Pages S3147-S3148]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

  SA 1629. Mr. CASSIDY (for himself, Mr. Durbin, Ms. Hirono, Mr. 
Grassley, Mr. Coons, Mr. Tillis, Mr. Warnock, and Mr. Rubio) submitted 
an amendment intended to be proposed to amendment SA 1502 proposed by 
Mr. Schumer to the bill S. 1260, to establish a new Directorate for 
Technology and Innovation in the National Science Foundation, to 
establish a regional technology hub program, to require a strategy and 
report on economic security, science, research, innovation, 
manufacturing, and job creation, to establish a critical supply chain 
resiliency program, and for other purposes; which was ordered to lie on 
the table; as follows:

       At the appropriate place in division F, insert the 
     following:

     SEC. ___. COLLECTION, VERIFICATION, AND DISCLOSURE OF 
                   INFORMATION BY ONLINE MARKETPLACES TO INFORM 
                   CONSUMERS.

       (a) Collection and Verification of Information.--
       (1) Collection.--
       (A) In general.--An online marketplace shall require any 
     high-volume third party seller on such online marketplace's 
     platform to provide, not later than 2 business days after 
     qualifying as a high-volume third party seller on the 
     platform, the following information to the online 
     marketplace:
       (i) Bank account.--

       (I) In general.--A bank account number, or, if such seller 
     does not have a bank account, the name of the payee for 
     payments issued by the online marketplace to such seller.
       (II) Provision of information.--The bank account or payee 
     information required under subclause (I) may be provided by 
     the seller in the following ways:

       (aa) To the online marketplace.
       (bb) To a payment processor or other third party contracted 
     by the online marketplace to maintain such information, 
     provided that the online marketplace ensures that it can 
     obtain such information on demand from such payment processor 
     or other third party.
       (ii) Contact information.--Contact information for such 
     seller as follows:

       (I) With respect to a high-volume third party seller that 
     is an individual, a copy of a valid government-issued 
     identification for the individual that includes the 
     individual's name and physical address.
       (II) With respect to a high-volume third party seller that 
     is not an individual, one of the following forms of contact 
     information:

       (aa) A copy of a valid government-issued identification for 
     an individual acting on behalf of such seller that includes 
     the individual's name and physical address.
       (bb) A copy of a valid government-issued record or tax 
     document that includes the business name and physical address 
     of such seller.
       (iii) Tax id.--A business tax identification number, or, if 
     such seller does not have a business tax identification 
     number, a taxpayer identification number.
       (iv) Working email and phone number.--A current working 
     email address and phone number for such seller.
       (B) Notification of change; annual certification.--
       (i) In general.--An online marketplace shall require any 
     high-volume third party seller on such online marketplace's 
     platform to promptly notify the online marketplace of any 
     change to the information collected under subparagraph (A).
       (ii) Annual certification.--Not later than 1 year after the 
     date of enactment of this Act and annually thereafter, an 
     online marketplace shall--

       (I) inform any high-volume third party seller on such 
     online marketplace's platform of the notification requirement 
     described in clause (i); and
       (II) instruct any such seller to electronically certify, 
     not later than 3 business days after receiving such 
     instruction, that--

       (aa) there have been no changes to such seller's 
     information; or
       (bb) such seller has provided any changes to such 
     information to the online marketplace.
       (iii) Suspension.--In the event that an online marketplace 
     does not receive the annual certification from a high-volume 
     third party seller required under clause (ii), the online 
     marketplace shall suspend any future sales activity of such 
     seller or any payments to such seller for prior sales 
     activity until such seller provides such certification.
       (2) Verification.--
       (A) In general.--An online marketplace shall--
       (i) verify the information collected under paragraph (1)(A) 
     not later than 3 business days after such collection; and
       (ii) verify any change to such information not later than 3 
     business days after being notified of such change by a high-
     volume third party seller under paragraph (1)(B).
       (B) Presumption of verification.--In the case of a high-
     volume third party seller that provides a copy of a valid 
     government-issued tax document, any information contained in 
     such document shall be presumed to be verified as of the date 
     of issuance of such document.
       (b) Disclosure Required.--
       (1) Requirement.--
       (A) In general.--An online marketplace shall--
       (i) require any high-volume third party seller on such 
     online marketplace's platform to provide the information 
     described in subparagraph (B) to the online marketplace; and
       (ii) disclose the information described in subparagraph (B) 
     to consumers in a clear and conspicuous manner on the product 
     listing or (for information other than such seller's 
     identification) through a clear and conspicuously-placed link 
     on the product listing or in close proximity to the physical 
     product.
       (B) Information described.--The information described in 
     this subparagraph is the following:
       (i) Subject to paragraph (2), the identity of the high-
     volume third party seller, including--

       (I) the full name of the seller;
       (II) the physical address of the seller;
       (III) whether the seller also engages in the manufacturing, 
     importing, or reselling of consumer products; and
       (IV) contact information for the seller, including--

       (aa) a current working phone number; and
       (bb) a current working email address or other means of 
     electronic messaging (which may be provided to such seller by 
     the online marketplace).
       (ii) The identification of any seller that supplies the 
     consumer product to the consumer upon purchase, if such 
     seller is different than the high-volume third party seller 
     listed on the product listing prior to purchase.
       (2) Exception.--
       (A) In general.--Subject to subparagraph (B), upon the 
     request of a high-volume third party seller, an online 
     marketplace may provide for partial disclosure of the 
     identity information required under paragraph (1)(B)(i) in 
     the following situations:
       (i) If such seller certifies to the online marketplace that 
     the seller does not have a business address and only has a 
     residential street address, the online marketplace may--

[[Page S3148]]

       (I) disclose only the country and, if applicable, the State 
     in which such seller resides; and
       (II) inform consumers that there is no business address 
     available for the seller and that consumer inquiries should 
     be submitted to the seller by phone, email, or other means of 
     electronic messaging provided to such seller by the online 
     marketplace.

       (ii) If such seller certifies to the online marketplace 
     that the seller is a business that has a physical address for 
     product returns, the online marketplace may disclose the 
     seller's physical address for product returns.
       (iii) If such seller certifies to the online marketplace 
     that the seller does not have a phone number other than a 
     personal phone number, the online marketplace shall inform 
     consumers that there is no phone number available for the 
     seller and that consumer inquiries should be submitted to the 
     seller's email address or other means of electronic messaging 
     provided to such seller by the online marketplace.
       (B) Limitation on exception.--If an online marketplace 
     becomes aware that a high-volume third party seller has made 
     a false representation to the online marketplace in order to 
     justify the provision of a partial disclosure under 
     subparagraph (A) or that a high-volume third party seller who 
     has requested and received a provision for a partial 
     disclosure under subparagraph (A) has not provided responsive 
     answers within a reasonable time frame to consumer inquiries 
     submitted to the seller by phone, email, or other means of 
     electronic messaging provided to such seller by the online 
     marketplace, the online marketplace shall suspend the selling 
     privileges of such seller unless such seller consents to the 
     disclosure of the identity information required under 
     paragraph (1)(B)(i).
       (3) Reporting mechanism.--An online marketplace shall 
     disclose to consumers in a clear and conspicuous manner on 
     the product listing of any high-volume third party seller--
       (A) a reporting mechanism that allows for electronic and 
     telephonic reporting of suspicious marketplace activity to 
     the online marketplace; and
       (B) a message encouraging consumers seeking goods for 
     purchase to report suspicious marketplace activity to the 
     online marketplace.
       (4) Compliance.--If a high-volume third party seller does 
     not comply with the requirements to provide and disclose 
     information under this subsection, the online marketplace 
     shall suspend any future sales activity of such seller or any 
     payments to such seller for prior sales activity until such 
     seller complies with such requirements.
       (c) Enforcement.--
       (1) Unfair and deceptive acts or practices.--A violation of 
     subsection (a) or (b) by an online marketplace 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 
     subsection (a) or (b) 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.).
       (3) Regulations.--The Commission may promulgate regulations 
     under section 553 of title 5, United States Code, with 
     respect to the collection, verification, or disclosure of 
     information under this section, provided that such 
     regulations are limited to what is necessary to collect, 
     verify, and disclose such information.
       (4) Authority preserved.--Nothing in this Act shall be 
     construed to limit the authority of the Commission under any 
     other provision of law.
       (d) Severability.--If any provision of this section, or the 
     application thereof to any person or circumstance, is held 
     invalid, the remainder of this section and the application of 
     such provision to other persons not similarly situated or to 
     other circumstances shall not be affected by the 
     invalidation.
       (e) Definitions.--In this Act:
       (1) Commission.--The term ``Commission'' means the Federal 
     Trade Commission.
       (2) Consumer product.--The term ``consumer product'' has 
     the meaning given such term in section 101 of the Magnuson-
     Moss Warranty--Federal Trade Commission Improvement Act (15 
     U.S.C. 2301 note) and section 700.1 of title 16, Code of 
     Federal Regulations.
       (3) High-volume third party seller.--The term ``high-volume 
     third party seller'' means a participant on an online 
     marketplace's platform who is a third party seller and who, 
     in any continuous 12-month period during the previous 24 
     months, has entered into 200 or more discrete sales or 
     transactions of new or unused consumer products resulting in 
     the accumulation of an aggregate total of $5,000 or more in 
     gross revenues.
       (4) Online marketplace.--The term ``online marketplace'' 
     means any person or entity that operates an electronically 
     based or accessed platform that--
       (A) includes features that allow for, facilitate, or enable 
     third party sellers to engage in the sale, purchase, payment, 
     storage, shipping, or delivery of a consumer product in the 
     United States; and
       (B) is used by one or more third party sellers for such 
     purposes.
       (5) Seller.--The term ``seller'' means a person who sells, 
     offers to sell, or contracts to sell a consumer product 
     through an online marketplace's platform.
       (6) Third party seller.--
       (A) In general.--The term ``third party seller'' means any 
     seller, independent of an online marketplace, who sells, 
     offers to sell, or contracts to sell a consumer product in 
     the United States through such online marketplace's platform.
       (B) Exclusions.--The term ``third party seller'' does not 
     include, with respect to an online marketplace, a seller--
       (i) who operates the online marketplace's platform; or
       (ii) who--

       (I) is a business entity that has made available to the 
     general public the entity's name, business address, and 
     working contact information;
       (II) has an ongoing contractual relationship with the 
     online marketplace to provide for the manufacture, 
     distribution, wholesaling, or fulfillment of shipments of 
     consumer products; and
       (III) has provided to the online marketplace identifying 
     information, as described in subsection (a), that has been 
     verified in accordance with that subsection.

       (7) Verify.--The term ``verify'' means to confirm 
     information provided to an online marketplace pursuant to 
     this section by the use of one or more methods that enable 
     the online marketplace to reliably determine that any 
     information and documents provided are valid, corresponding 
     to the seller or an individual acting on the seller's behalf, 
     not misappropriated, and not falsified.
       (f) Effective Date.--This section shall take effect 180 
     days after the date of the enactment of this Act.
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