PRIME Act

To require online retailers to prominently disclose product country-of-origin information, and for other purposes. 1. Short title This Act may be cited as the Promoting Responsibility In Markets and E-Retailers Act of 2019 PRIME Act 2. Definitions In this Act: (1) Commission The term Commission (2) Country of origin The term country of origin 19 U.S.C. 1304 (3) Internet application The term internet application (4) Online retail platform The term online retail platform 3. Country of origin requirements for online retailers and sellers (a) In general Beginning on the date that is 180 days after the date of the promulgation of final regulations implementing this section— (1) it shall be unlawful for any person to operate an online retail platform that does not comply with the requirements of subsection (b); and (2) it shall be unlawful for any person who offers a product for sale through an online retail platform to knowingly provide false information to the platform with respect to the country of origin of such product. (b) Country of origin disclosure requirements The requirements of this subsection, with respect to an online retail platform, are the following: (1) The online retail platform requires any person who wishes to sell a product through the platform to provide the platform with information on the country of origin of such product which shall include, if applicable, the country of origin of the product as the product is marked or labeled pursuant to section 304 of the Tariff Act of 1930 ( 19 U.S.C. 1304 (2) With respect to any article of foreign origin imported into the United States that is subject to the country of origin marking requirement of section 304 of the Tariff Act of 1930 ( 19 U.S.C. 1304 4. Country of origin disclosure requirements for sellers of internet applications Beginning on the date that is 180 days after the date of the promulgation of final regulations implementing this section— (1) it shall be unlawful for any person to sell or distribute an internet application unless the person discloses to any individual who downloads such application, in a clear and conspicuous manner and in the same language that is used on the rest of the platform on which such application is sold or distributed— (A) the country in which the developer of such application is located; (B) the country in which the publisher of such application is located; and (C) if applicable, the country in which the parent corporation of such developer or publisher is located; and (2) it shall be unlawful for the developer or publisher of an internet application to knowingly provide false information to a seller or distributor of internet applications with respect to the country in which such developer or publisher or the parent corporation of such developer or publisher is located. 5. Enforcement (a) Unfair and deceptive acts or practices A violation of this Act 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) (b) Powers of Commission (1) In general The Commission shall enforce this Act in the same manner, by the same means, and with the same jurisdiction, powers, and duties as though all applicable terms and provisions of the Federal Trade Commission Act ( 15 U.S.C. 41 (2) Privileges and immunities Any person that violates this Act shall be subject to the penalties (including the provisions of subsections (l) and (m) of section 5 of such Act which provide for a maximum civil penalty per violation of $42,350 (as of February 14, 2019)), and entitled to the privileges and immunities, provided in the Federal Trade Commission Act ( 15 U.S.C. 41 (c) Consultation with U.S. Customs and Border Protection In carrying out this Act and promulgating rules under this Act, the Commission shall consult with the Commissioner of U.S. Customs and Border Protection. (d) Rulemaking The Commission shall promulgate in accordance with section 553 of title 5, United States Code, such rules as may be necessary to carry out this Act.

Summary: Promoting Responsibility In Markets and E-Retailers Act of 2019 or the PRIME Act This bill requires products sold through online retailers to disclose a product’s country of origin in accordance with existing requirements for other imported products. Specifically, online retailers must require sellers to provide the country of origin for the online retailer to disclose to consumers. Further, sellers and distributors of internet applications (i.e., computer programs or software downloaded by a user through an internet-connected device) must disclose to the user the country of origin of the developer, publisher, and, if applicable, parent corporation.