E-SHOP Act

To direct the Federal Trade Commission to promulgate rules requiring an Internet merchant to disclose the use of personal information in establishing or changing a price, and for other purposes. 1. Short title This Act may be cited as the Ensuring Shoppers Honest Online Pricing Act of 2013 E–SHOP Act 2. Disclosure requirement for internet merchants (a) Rulemaking The Federal Trade Commission shall, not later than 180 days after the date of enactment of this Act, promulgate rules under section 553 (b) Content The rules promulgated by the Commission under subsection (a) shall— (1) require, at a minimum, an Internet merchant to clearly and prominently disclose to a consumer prior to the final purchase of a good or service the use of personal information in establishing or changing a price; and (2) provide an Internet merchant procedures for complying with the requirement under paragraph (1). (c) Exceptions The Commission shall provide for specific exceptions to the rules promulgated under subsection (a) when a consumer should reasonably expect the price to be altered based on the personal information of such consumer, including but not limited to for the calculation of a shipping charge and for a financial service for which personal information is customarily used to formulate a price. (d) Internet merchants subject to disclosure requirement The rules promulgated under subsection (a) shall only apply to an Internet merchant that has a total annual gross revenue of more than $1,000,000, and such amount shall be indexed for inflation every 5 years by the Commission to reflect the change in the Consumer Price Index for All Urban Consumers published by the Bureau of Labor Statistics of the Department of Labor. (e) Enforcement A violation of a rule promulgated under subsection (a) shall be treated as a violation of a rule defining an unfair or deceptive act or practice prescribed under section 18(a)(1)(B) of the Federal Trade Commission Act ( 15 U.S.C. 57a(a)(1)(B) 15 U.S.C. 41 et seq. (f) Savings provision No provision of this Act shall be construed as limiting or superseding any authority of the Federal Trade Commission under the Federal Trade Commission Act or any other law. (g) Definitions In this Act: (1) Internet The term Internet 47 U.S.C. 151 (2) Internet merchant The term Internet merchant (3) Internet Protocol address The term Internet Protocol address (4) Personal information The term personal information

Summary: Ensuring Shoppers Honest Online Pricing Act of 2013 or the E-SHOP Act - Directs the Federal Trade Commission (FTC) to promulgate rules requiring an Internet merchant with annual gross revenue of more than $1 million to disclose to each consumer, prior to the final purchase of any good or service, the use of personal information in establishing or changing a price. Defines &quot;personal information&quot; to include an individual's Internet browsing history, device type and manufacturer, operating system, and Internet Protocol address. Directs the FTC to provide specific exceptions when consumers should reasonably expect a change in price based on their personal information, including for the calculation of shipping charges and financial services for which such information is customarily used to formulate a price. Deems a violation of a rule promulgated under this Act to be an unfair or deceptive act or practice under the Federal Trade Commission Act.