CEO DATELINE - Associations form coalition to combat e-commerce counterfeits
CEO DATELINE - Associations form coalition to combat e-commerce counterfeits
- August 14, 2020 |
- Walt Williams
More than a dozen associations have formed a new coalition to pressure e-commerce companies like Amazon and eBay to crack down on counterfeit products sold on their sites, Bloomberg Law reported Friday.
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The Buy Safe America Coalition will advocate for legislation that would require digital marketplaces to verify information about third-party merchants, according to the news site. Coalition members represent traditional brick-and-mortar stores as well as manufacturers of a wide range of consumer products, from toys to clothing. The Retail Leaders Industry Association is leading the effort.
"The time has come for dominant online marketplaces to collect and verify third-party seller information so consumers are protected and law enforcement is informed. This is a problem that has festered unchecked for too long," RILA Senior Executive Vice President for Public Affairs Michael Hanson said in a statement on the coalition's website.
"Dominant marketplace platforms are selling stolen goods, expired and defective products, products made with unsafe levels of chemical substances, and products that do not meet U.S. quality and safety standards. These products would never be allowed on a store shelf or a retailer's website," he added.
A key priority for the coalition is passage of the Integrity, Notification, and Fairness in Online Retail Marketplaces for Consumers (INFORM) Act, which would require online marketplaces to collect and verify the identity of high-volume third-party sellers by obtaining their government ID, tax ID, bank account information and contact information. The bill is currently in the Senate and has bipartisan sponsorship.
"Manufacturers across our industry are deeply concerned about this issue and focus considerable time, effort and dollars on ensuring their brands are represented accurately in the marketplace, products are tested to all applicable safety standards and parents' expectations are met.," said Kelly Mariotti, executive director of Juvenile Products Manufacturers Association. "Yet more must be done to keep counterfeit products out of the marketplace, and the work of the Buy Safe America Coalition is critical to that end."
Thirteen organizations currently make up the coalition. Association members include the American Apparel & Footwear Association, the Consumer Healthcare Products Association, the International Council of Shopping Centers and The Toy Association.
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