Federal rules for online resellers

Each rule at a glance

Where the FTC can seek civil penalties for a knowing violation of a trade regulation rule (15 U.S.C. 45(m)(1)(A)), 16 CFR 1.98 sets the current maximum at $53,088 per violation (the FTC said on Sep 15, 2026 that there is no inflation adjustment for 2026, so the 2025 amounts still apply); violations of the INFORM Act and the Consumer Review Fairness Act are treated as rule violations, and the FTC states the CAN-SPAM maximum per email. Each page quotes how the FTC states the penalty for that law.

INFORM Consumers Act (15 U.S.C. 45f)

Who counts as a high-volume seller on a marketplace, what the marketplace must collect and verify, and when buyers see your name and address.

• Are you a high-volume seller under the INFORM Consumers Act?

  200 or more sales of new or unused items and $5,000 in any 12 straight months of the last 24, counted marketplace by marketplace. Used goods don't count toward the 200.

• When does a marketplace have to show buyers your name and address?

  At $20,000 or more a year on one marketplace: your name, physical address and a direct contact method. Home-based sellers can ask for state and country only.

Mail, Internet, or Telephone Order Merchandise Rule (16 CFR Part 435)

The shipping-time promise, the delay notice and the refund deadline for orders you can't ship on time.

• Does the FTC 30-day shipping rule apply to online resellers?

  Yes. Ship within the time your listing states, or 30 days if it states none; "shipped" means in the carrier's possession, not a printed label.

• What must a shipping delay notice say under the FTC rule?

  Before your deadline, offer the buyer a choice: accept the delay or cancel for a prompt refund. Silence counts as consent only for a new date 30 days or less out.

• How fast must you refund an order you can't ship?

  Within 7 working days for nearly every payment method, shipping and handling included. Store credit and gift cards don't count.

Unordered merchandise (39 U.S.C. 3009)

Free gifts, extras and substitutes: what you can put in a buyer's box, and what a buyer may keep.

• Can you put a free gift, extra or substitute in a buyer's box?

  Mark a free gift clearly as free. Anything else mailed without a request is the buyer's to keep, and a materially different substitute needs consent first.

Consumer Reviews and Testimonials Rule and the Consumer Review Fairness Act (16 CFR Part 465; 15 U.S.C. 45b)

Incentives for reviews, reviews from family, and shop terms or tactics aimed at negative reviews.

• Can you give buyers a discount or freebie for a review?

  Not for a positive one. An incentive for any honest review isn't banned by the rule, but disclose it; “5 stars for 10% off” is exactly what 16 CFR 465.4 forbids.

• Can your listing or shop policy stop buyers from leaving negative reviews?

  No. A standard term that bans, restricts or charges for reviews is void under the Consumer Review Fairness Act, and threats to get reviews removed break the FTC's rule.

Made in USA, textile, wool and fur labeling (16 CFR Parts 300, 301, 303 and 323)

Origin claims, fiber content and fur disclosures when you list new, used and vintage goods.

• Can you write "Made in USA" when you relist an item?

  Only if it is "all or virtually all" made in the U.S. The standard covers listings and flag images too, and has no reseller or used-goods exception.

• Do textile labeling rules apply to used clothing you resell?

  Discernibly secondhand clothing is excluded from the Textile Act, until your listing names a fiber without a full disclosure or gets one wrong.

• Does a listing for new clothing have to say "Made in USA" or "Imported"?

  Yes, for covered new textile and wool products: the listing must say made in USA, imported, or both, consistent with the label.

• What must a listing for a used or vintage fur say?

  The animal's Name Guide name, "used fur" and "Second-hand", dyed or natural, pieces, and fur origin ("Fur origin: Unknown" is allowed for used furs).

Magnuson-Moss Warranty Act (15 U.S.C. 2301-2312; 16 CFR Parts 700-702)

Selling used goods as is, and the listing words that turn a promise into a written warranty.

• Can you sell used items "as is"? What federal warranty law says

  Usually, under state law. But a written warranty such as “guaranteed to work for 30 days” means you can't disclaim implied warranties on that item.

CAN-SPAM Act (15 U.S.C. 7701-7713; 16 CFR Part 316)

Which emails to your own buyers count as ads, and what those emails must include.

• Does CAN-SPAM apply when you email your buyers?

  Order and shipping emails are transactional. Anything whose main purpose is selling needs an ad notice, a postal address and an opt-out honored within 10 business days.