What are the laws that govern online marketplaces?

In Washington, the laws that govern online marketplaces are fairly similar to those that govern brick and mortar businesses. The state requires businesses to collect and remit sales and use taxes, pay occupational taxes and abide by minimum wage and labor laws. Businesses must also protect customers’ personal information, provide adequate customer service, and post clear refund and return policies. Additionally, Washington’s Consumer Protection Act protects consumers from unfair and deceptive business practices, false advertising, and fraud. Specific to online transactions, Washington’s laws provide additional protections. For example, Washington requires online marketplace operators to disclose certain information, such as the marketplace’s method of price comparison, commission rates, and whether it provides or maintains any contractual or other relationship with a seller. Additionally, the state prohibits online marketplaces from unfairly discriminating against buyers or sellers based on the buyer’s place of residency or seller’s place of business and requires sellers to provide contact information to buyers should a dispute arise. To ensure buyers and sellers are aware of the applicable laws, Washington requires online marketplaces to provide a link to the “Washington State Department of Revenue Marketplace Seller Guide” on their websites. This guide provides helpful information about the state’s laws, rules, and regulations. Overall, Washington’s laws provide numerous protections for buyers and sellers of both online and offline marketplaces. Being aware of these laws can help businesses ensure compliance and protect their customers.

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What are the laws that govern online marketplaces?

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