The bill amends and repeals several sections of the Revised Code to establish regulations on the use of pricing algorithms in Ohio. It introduces key definitions such as "commercial terms," "nonpublic competitor data," and "pricing algorithm," which refers to any computational process that influences pricing in commerce. The legislation prohibits the use or distribution of pricing algorithms that incorporate nonpublic competitor data, creating a presumption of conspiracy against trade for those who distribute such algorithms to multiple parties. Additionally, it grants the attorney general investigative powers to enforce these regulations, including the ability to demand documentary material and testimony related to pricing algorithms.

Furthermore, the bill imposes new disclosure requirements on commercial enterprises with gross receipts of five million dollars or more that utilize pricing algorithms. These businesses must inform customers and employees that prices are determined by a pricing algorithm prior to any purchase or service agreement, detailing whether the algorithm sets different prices for similar products or services and if it was developed by an external party. Violations of these disclosure requirements are deemed unfair or deceptive acts under existing consumer protection laws. The bill aims to enhance transparency and fairness in pricing practices while ensuring compliance with antitrust laws.

Statutes affected:
As Introduced: 1331.01, 1331.04, 1331.16