There are some pointed evaluations being made this afternoon regarding three bills currently being reviewed today by the House Judiciary Committee’s subcommittee on crime, terrorism, and homeland security. First, an interesting blog post by New York Times’ Brad Stone was followed up by an even more alarming post over on the NetChoice blog regarding what this could mean for ecommerce and independent sellers.

Apparently, Joe LaRocca, a mouthpiece for large retailers like Wal-Mart and Target (his official title is Vice President of Loss Prevention for the NRF), claimed that selling on the Internet is so addictive, people are getting hooked and satisfying their addiction by entering a life of organized Internet crime; pretty much equating eBay sellers to drug-addicted criminals.

According to the NRF press release, “all three bills would address organized retail crime, in which groups of professional thieves steal merchandise from stores on a large scale and resell the goods in venues ranging from flea markets to the Internet.”

In reading through the release, it seems to me that these bills are completely avoiding the focus of the real source – the retailers themselves. By placing legal ramifications on online, secondary marketplaces like eBay (and, more importantly, the small and/or individual genuine online seller), one would think the same would be placed on the actual retailers themselves. Thieves have to get their hands on the inventory somewhere before they attempt to sell it, right?

eBay issued the following statement in response to the NRF bills:

“Selling stolen goods anywhere, online or on the street corner, is already illegal so the point of the proposed legislation is more about limiting competition. Big retailers don’t like the honest sellers who rely on online marketplaces like eBay to provide consumers with more choices and better deals. Attempting to sell stolen goods on eBay is one of the quickest ways to get caught. eBay’s marketplace is incredibly open and transparent. We also have teams dedicated to collaborating with retailers and law enforcement to investigate and prosecute individuals who abuse our platform. The proposed legislation would restrict honest competition and limit consumer choice while doing very little to effectively address the issue of retail theft.”

I agree that marketplaces like eBay have a responsibility to help prevent Organized Retail Crime but I think it is a shared responsibility among all parties that play a role in getting a product from manufacturer to consumer.

Cheers,
RBH

Related Reads:
Battle Over Stolen Goods Sold Online Goes to Washington
Big Box Blame Game
Debunking Big Retail’s Truthiness