HB318 Summary

• Online marketplaces must require high-volume third-party sellers (those with 200+ sales transactions and $5,000+ annual gross revenue in any 12-month period) to provide identity verification information including bank account details, contact information, and tax identification numbers within 10 days of qualifying.

• High-volume sellers with $20,000+ in annual gross revenue must disclose their full name, physical address, and direct contact information to consumers in a clear and conspicuous manner on product listings, with limited exceptions for residential addresses or lack of business phone numbers.

• Online marketplaces must verify seller information annually, maintain reasonable security procedures to protect collected data, and suspend future sales activity for sellers who fail to provide required information or make false representations within 10 days of notice.

• Each product listing must include a reporting mechanism allowing consumers to electronically or telephonically report suspicious marketplace activity to the platform.

• Violations are enforceable by the Attorney General or district attorneys as violations of the Deceptive Trade Practices Act; the law does not impose requirements affecting online marketplaces' participation in the state Simplified Use Tax Remittance Program and becomes effective January 1, 2023.