INFORM Consumers Act
INFORM Consumers Act is the US law enacted December 29, 2022 and effective June 27, 2023 that requires online marketplaces to collect, verify and disclose information about high-volume third-party sellers.
What it requires
Marketplaces must collect bank account, tax ID and contact information from sellers with 200 or more discrete sales and $5,000 or more in gross revenue in any continuous 12-month period during the previous 24 months, verify it within 10 days and obtain annual certification. Sellers with $20,000 or more in annual gross revenue must have their name, address and contact details disclosed to buyers. Violations are treated as unfair practices, with civil penalties of $53,088 per violation in 2026.
Why it matters
INFORM affects every brand selling on a marketplace at volume, because missing or outdated verification can get a seller account suspended within days. Sellers working from a home address can ask the marketplace to show only partial address details, but the information on file must be accurate. A brand that changes its business address, bank account or 3PL-based return address should update the marketplace and complete annual certification on time, so listings are not paused during peak season.
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Not legal advice.