The bill amends and repeals several sections of the Revised Code to regulate the use of pricing algorithms in Ohio, introducing key definitions such as "commercial terms," "pricing algorithm," and "nonpublic competitor data." It prohibits the use or distribution of pricing algorithms that utilize nonpublic competitor data, establishing a presumption of conspiracy against trade for those found to have distributed such algorithms. The bill also enhances the investigative powers of the attorney general, allowing for demands for documentary material related to potential violations, and outlines the procedures for compliance and the rights of individuals served with such demands.

Furthermore, the legislation mandates that commercial enterprises with gross receipts of five million dollars or more must disclose to customers and employees if prices or commercial terms are set or recommended by a pricing algorithm. These disclosures must clarify whether different prices are applied to similar products or services for different customers or employees, whether the algorithm was developed by an external party, and the identity of that party. Violations of these disclosure requirements are classified as unfair or deceptive acts under existing consumer protection laws. The bill aims to enhance transparency in pricing mechanisms and promote fair business practices.

Statutes affected:
As Introduced: 1331.01, 1331.04, 1331.16