The United States may pass a new bill requiring sellers to provide supplier information?

The Colorado State Legislature approved a new bill (House Bill 1099) on March 7 , which requires third-party sellers selling on e-commerce platforms to disclose relevant information about themselves.

It is understood that the bill is mainly aimed at combating the anonymous sale of " stolen and counterfeit products " through online platforms such as eBay and Facebook .

According to previous reports, after the House of Representatives passed the bill by 60 to 3 last month , the Senate also voted unanimously to pass the bill. Currently, the bill has been transferred to the Governor of Colorado for consideration .

If passed, the bill would require third-party sellers who sell through online e-commerce platforms to disclose relevant information to the platform, including the seller’s bank account, contact information, seller’s business tax identification number or personal tax identification number . The e-commerce platform must also review this information.

At the same time, sellers must also disclose relevant information about themselves to consumers, including: the seller's full name, actual address, whether the products provided by the seller to consumers come from different suppliers, and if the buyer requests, the seller must provide the buyer with relevant information about the product supplier .

The bill stipulates that the requirement will apply to sellers with annual sales of $ 20,000 or more , but sellers of used products are not included . If sellers fail to provide relevant information, it will be considered "deceptive trade practices" and each violation may be fined up to $20,000.

The bill was passed as retail crime is on the rise in Colorado and the U.S. A 2021 survey found that 69% of retailers said they had experienced an increase in thefts in the last year . According to Colorado data , reports of thefts, robberies and burglaries have steadily increased in the state in recent years, exceeding 147,000 in 2021 , an increase of 13,000 from 2019 .

" Criminals are stealing Amazon packages and causing losses to retailers ," said Senator Rob Woodward, the bill's sponsor . " This bill will address the root cause of the theft . "

Although the bill is intended to combat theft, requiring sellers to disclose information does affect their privacy, especially information about suppliers, which may involve commercial secrets.

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