One of the most critically important bills this session in Congress is the “Safeguarding Consumers from Advertising Misconduct Act” or the “SCAM Act”. The bill as filed in the House is H.R. 7548 and the Senate version is S. 3774. Members of the North Carolina delegation are taking a leading role in supporting and advancing this legislation. We would like to recognize the current cosponsors from North Carolina: Pat Harrigan (cosponsored on 3/25), Chuck Edwards (4/14), and Valerie Foushee (4/14).

With digital fraud becoming increasingly sophisticated, the bill would strengthen consumer protection by placing reasonable responsibilities on the online platforms that create, distribute, and profit from paid advertisements.

The bill requires platforms to:

• Verify advertiser identity before an ad is published.
• Implement proactive impersonation detection programs.
• Investigate reported fraudulent ads within 72 hours.
• Notify the reporting party of the outcome within 24 hours of completing the investigation.

A concerted push in support of the legislation is taking shape nationally, and we anticipate that bipartisan support will quickly grow. The next hurdles are getting the bill calendared for hearings in the House Committee on Energy and Commerce and in the Senate Committee on Commerce, Science, and Transportation. We thank Representatives Harrigan, Edwards, and Foushee, and are greatly encouraged that other members of the NC delegation are reviewing the legislation.

Author: sdbrownlow

Student of Design