TRACIT applauds introduction of legislation to protect consumers from counterfeit and stolen products online

Today, the Transnational Alliance to Combat Illicit Trade (TRACIT) joins with the Buy Safe America Coalition, a diverse group of retailers, consumer groups, wholesaler-distributors, and manufacturers in publicly declaring support of the introduction of the INFORM Consumers Act, legislation to increase transparency and accountability for online marketplaces amid the rapidly growing problem of illicit goods sold online.

Throughout the pandemic U.S. e-commerce grew by 44 percent as more families shopped online.  At the same time criminal networks targeted unsuspecting customers with the sale of stolen, counterfeit, expired, dangerous and defective products. The INFORM Consumers Act, which was introduced today by Senators Durbin (D-IL), Cassidy (R-LA), Hirono (D-HI), Grassley (R-IA), Coons (D-DE) and Tillis (R-NC), would modernize consumer protection laws and require online marketplaces to collect and verify basic business information from sellers, in addition to requiring high-volume sellers to provide contact information to consumers.

“Consumers are entitled to an online browsing and shopping experience that is safe and secure from fraud,” stated Jeffrey Hardy, Director General of TRACIT.  “Online marketplaces connecting people and those who profit from commerce over their website should be responsible, comply with the law and recognize the ethical/moral responsibility to assure consumers a safe and trusted environment.”

TRACIT advocates that it is time to move beyond relying solely on differing and voluntary approaches toward a more comprehensive means to assuring a safe environment for e-commerce. Business and consumers need harmonized rules that assure the same safe and accountable shopping experience online as they enjoy in the brick-and-mortar world. TRACIT supports a standardized “floor” of protections that ensures a level of due diligence and accountability, while encouraging innovation in providing higher and higher levels of protections that approximate the consumer protections currently governing offline sales and transactions.

“We start from the premise that our joint goal should be to stop fake, pirated and illicit goods from being offered in the first place,” explains Mr. Hardy.   “We applaud Senators Durbin, Cassidy, Hirono, Grassley, Coons and Tillis for moving a strong, bipartisan bill that requires electronic marketplaces to better protect consumers by collecting, verifying and disclosing information about their sellers.”