Sellers’ bill of rights

(a) In general The Federal Trade Commission shall adopt rules to promote fair terms between critical trading partners and online sellers taking into consideration public health, safety, and other factors that the Commission deems relevant. Such rules shall include the following: (1) Inventory holds (A) A critical trading partner shall not hold, detain, or restrict access to a seller’s inventory for more than 30 calendar days. (B) After such period, the platform shall release the inventory unless it has met a legally valid standard of proof that the goods are counterfeit or otherwise unlawful. (C) The platform shall notify the seller in writing of any inventory hold within 72 hours of the hold, detailing the rationale and applicable appeal procedures. (2) Fund holds (A) A critical trading partner shall not withhold disbursement of a seller’s funds for more than 30 calendar days unless the platform demonstrates, by a preponderance of evidence, that the funds are derived from unlawful transactions. (B) Sellers must be notified in writing of any hold, including the factual basis and opportunity for appeal. (C) The platform shall notify the seller in writing of any frozen funds within 72 hours of the hold, detailing the rationale and applicable procedures. (3) Gated products If a platform imposes a new restriction on a product or category after the product has been received into its fulfillment network, the seller shall be allowed to sell through remaining inventory for a reasonable period of not less than 30 calendar days or have the inventory returned at no cost and release funds from sales of the product on the agreed upon schedule unless direct evidence exists that the product is counterfeit or unlawful. (4) Policy changes (A) Critical trading partners shall provide sellers with not less than 30 days’ advance written notice of any material policy changes affecting— (i) product eligibility; (ii) category or listing restrictions; (iii) compliance or documentation requirements; or (iv) commission or fee structures. (5) Transparency in investigations (A) If a seller is subject to investigation, account deactivation, or listing suspension, the platform must provide— (i) the specific policy or rule alleged to have been violated; (ii) the relevant facts, reports, or documentation; (iii) the proposed penalty; and (iv) specific steps the seller may take to appeal or resolve the issue and an anticipated timeline for resolution of that appeal. (B) Generic or templated responses shall not satisfy these requirements. (6) Presumption of innocence (A) No seller may be subject to suspension, deactivation, inventory withholding, or fund freezing solely on the basis of suspicion. (B) The burden of proof shall lie with the platform to demonstrate a seller’s violation of applicable rules or laws.