WASHINGTON — The Retail Industry Leaders Association (RILA) is calling on the Federal Trade Commission (FTC) to intensify enforcement of the INFORM Consumers Act, urging the agency to prioritize transparency, accountability, and consumer protection in online marketplaces as the law nears its two-year anniversary.
In a statement on Thursday, RILA urged the FTC to exercise its authority to crack down on illegal activity in digital commerce by ensuring that online platforms fully comply with the INFORM Act’s requirements. The law requires third-party sellers on high-volume online marketplaces to verify and disclose key business information — a measure designed to curb the sale of counterfeit, stolen, or hazardous goods.
“As retailers continue their fight against organized retail crime, the law provides a much-needed layer of accountability for online marketplaces to stop bad actors and it creates an environment of transparency in a previously dark web of fraudulent activity. But for the law to have its greatest impact in protecting consumers and increasing community safety, the FTC must step up enforcement efforts to ensure the collection, disclosure and enforcement of critical information so these criminal actors are identified and prosecuted,” said RILA Sr. Executive Vice President of Public Policy Michael Hanson.
The INFORM Act, which passed with bipartisan support in December 2022, was championed by a broad coalition of stakeholders, including consumer advocates, manufacturers, law enforcement, and intellectual property rights groups. The law empowers both the FTC and state attorneys general to enforce compliance through penalties and rulemaking authority.
RILA’s message to the FTC is clear: now is the time to escalate enforcement.
“As INFORM enters its third year, it is critical the FTC move into a more robust phase of enforcement to hold platforms accountable and deter bad actors. Now is the time for the FTC to embrace and ramp up the execution of their legal authority under the law,” Hanson said.
Beyond the INFORM Act, RILA continues to press for legislative solutions to broader retail crime challenges. The association is urging Congress to pass the Combatting Organized Retail Crime Act of 2025, which would establish a coordinated federal response to organized retail theft, a growing problem that threatens public safety and economic stability.
RILA is also advancing community-based solutions through its RILA Communities Foundation, launched in 2024. The foundation is spearheading two major efforts:
- The Vibrant Communities Initiative, a collaborative pilot program pairing leading retailers with district attorneys to reduce retail crime at the community level.
- The Gift Card Fraud Prevention Alliance, a national coalition working to protect consumers from gift card scams through education, innovation, and policy reform.
As online retail continues to expand, RILA’s advocacy underscores the urgent need for modern enforcement mechanisms that match the pace and scale of digital commerce.