Res. No. 695

Resolution calling on the New York State Legislature to pass, and the Governor to sign, S.364 related to high-volume third-party sellers in online marketplaces.

By Council Members Menin, Louis and Riley

Whereas, New York Police Department data indicates that complaints of retail theft in New York City have increased by 77 percent from 2018 to 2022; and

Whereas, According to the Mayor’s Office, the most egregious retail theft is carried out by organized groups of individuals who commit raids on retail establishments for the purpose of selling the stolen products through online marketplaces that allow third-parties to market goods to consumers through their platforms; and

Whereas, Consumers who use purchase goods from online marketplaces are often unaware of where the products are coming from; and

Whereas, A lack of due diligence on the part of the online marketplace websites makes organized retail theft a viable source of income for offenders; and

Whereas, Basic transparency and verification requirements for third-party sellers who make a high number of transactions is necessary to guard against counterfeit, fraudulent, or stolen goods being sold to unsuspecting consumers; and

Whereas, S.364, introduced by State Senator Kevin Thomas and pending in the New York State Senate, would require online marketplaces to collect and verify information for third-party sellers who make a high volume of sales on the platform and require such sellers to provide information to consumers; now, therefore, be it,

Resolved, That the Council of the City of New York calls on the New York State Legislature to pass, and the Governor to sign, S.364 related to high-volume third-party sellers in online marketplaces.

LS # 13487

5/18/23

NM