The bill amends the Online Marketplace Consumer Inform Act to enhance the definitions and verification processes related to high-volume third-party sellers on online marketplaces. Notably, the definition of "online marketplace" is updated to specify that it is a "consumer-directed" platform that facilitates third-party sales. The definition of "verify" is also revised to eliminate the requirement for a third-party identity verification system and instead allows for one or more reliable methods to confirm the validity of seller information, ensuring it is not misappropriated or falsified.

Additionally, the bill modifies the verification timeline for high-volume third-party sellers, changing the requirement from 24 hours to 10 days for providing bank account information and other necessary details. It mandates that online marketplaces verify this information within 10 days and requires annual notifications to sellers about updating their information. The bill also stipulates that sellers must disclose their identity and contact information in a conspicuous manner, including through hyperlinks and order confirmations, while allowing for partial disclosure under certain conditions. Overall, these changes aim to improve transparency and consumer protection in online marketplaces.

Statutes affected:
SB 405: 4-119-102(3), 4-119-102(6)
Act 555: 4-119-102(3), 4-119-102(6)