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senate Bill S. 3386

Restore Online Shoppers' Confidence Act

Bill Details

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Restore Online Shoppers' Confidence Act

Official Title

A bill to protect consumers from certain aggressive sales tactics on the Internet.


Restore Online Shoppers' Confidence Act - Defines "post-transaction third party seller" as a person that: (1) sells, or offers for sale, any good or service on the Internet; (2) solicits purchases on the Internet through an initial merchant after the consumer has initiated a transaction with the initial merchant; and (3) is not the initial merchant, a subsidiary or corporate affiliate of the initial merchant, or a successor to the initial merchant or subsidiary. Makes it unlawful for any post-transaction third party seller to charge or attempt to charge any consumer's credit card, debit card, bank account, or other such financial account in an Internet-based transaction, unless: (1) before obtaining the consumer's billing information, the seller has disclosed all material terms, including the fact that the such seller is not affiliated with the initial merchant, and a description and the cost of the offered goods or services; and (2) the seller has received the express informed consent from the consumer for the charge. Makes it unlawful for an initial merchant to disclose such financial account number or other billing information to any post-transaction third party Internet seller (sometimes referred to as a data-pass). Makes it unlawful for any person to charge or attempt to charge a consumer for goods or services sold in an Internet-based transaction through a negative option feature unless the person: (1) provides text that clearly and conspicuously discloses all material terms of the transaction before obtaining the consumer's billing information; (2) obtains a consumer's express informed consent before charging the consumer's financial account for products or services through such transaction; and (3) provides simple mechanisms for a consumer to stop recurring charges from being placed on the consumer's financial account. Defines "negative option feature" to mean, in an offer or agreement to sell or provide any goods or services, a provision under which the customer's silence or failure to take an affirmative action to reject goods or services or to cancel the agreement is interpreted by the seller as acceptance of the offer. Treats a violation of this Act or any regulation thereunder as an unfair or deceptive act or practice. Requires the Federal Trade Commission (FTC) to enforce this Act. Authorizes the attorney general of a state to bring an action for injunctive relief in federal court on behalf of the state's residents.

bill Progress

  • EnactedDecember 29th, 2010
    The President signed this bill into law
  • The house Passed December 15th, 2010
    Passed by Voice Vote
      house Committees
      Committee on Energy and Commerce
  • The senate Passed November 30th, 2010
    Passed by Voice Vote
      senate Committees
      Committee on Commerce, Science, and Transportation
    IntroducedMay 19th, 2010

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