ALBANY - Consumers making purchases over the Internet now will have the same protections as those who order by mail or telephone under a bill signed into law yesterday by Gov. Eliot Spitzer.
The measure, championed by state Attorney General Andrew Cuomo and sponsored by state Sen. Charles Fuschillo (R-Merrick), stipulates that online orders be shipped within 30 days or be subject to cancellation and a full refund or substitute merchandise. Retailers also are required to clearly identify their legal name, address and refund procedures, and to keep records of consumer complaints that may be used by the attorney general in a future legal case.
The legislation affects all sellers, from behemoth bookseller Amazon.com to individuals trying to get rid of used goods on the eBay auction site. It is effective immediately.
"The Internet is no longer the Wild West of commerce; consumers are protected even in cyberspace," Cuomo said at a news conference here, flanked by lawmakers. "If you've been victimized on these [online] sales, we can now do something about it."
Cuomo, who took office Jan. 1, sought the bill to close a loophole in state rules governing consumer purchases outside of brick-and-mortar stores. He said his office had received more than 1,000 complaints last year, primarily about late deliveries and orders never showing up.
Purchasing goods and services online has exploded in recent years as more homeowners sign up for high-speed Internet service, which downloads images and processes transactions in a few seconds rather than the minutes required with dial-up access. A recent report from consulting firm Forrester Research found that online sales grew 25 percent last year, to $220 billion, including travel. However, online sales were just 6 percent of all purchases made in 2006, excluding travel packages and airline tickets.
"This is extremely important in a world where individuals are living through the computer," Fuschillo said of the bill that he sponsored with Assemb. John McEneny (D-Albany).
"We just added a few words into the existing statute, and it added greater protections for those who buy over the Internet to ensure that their goods are delivered in a timely fashion. ... If not, now they do have the power of the attorney general's office to defend them," Fuschillo said in an interview.
The new law received unanimous support last month in both houses of the State Legislature, a rarity, according to legislative leaders.
"Business is business, whether the seller is J.C. Penney or a mail-order business or an individual selling collectibles on eBay," Assembly Speaker Sheldon Silver (D-Manhattan) said. "... The principles of our general business law that have historically guided commerce in this state will also apply to the electronic marketplace."