The threat of litigation will encourage marketplace platforms to remove potentially infringing products from their websites, giving consumers less options and discouraging marketplace competition. This legislation will only exacerbate the existing marketplace power imbalance between big, established corporations and small retailers. In other words, this SHOP SAFE will give big companies the ability to stifle competition by simply threatening litigation, even if that lawsuit is meritless.
While some in Congress characterize SHOP SAFE Act as a vehicle expand marketplace competition, it does not, and it should be excluded from the broader economic legislation that seeks to create jobs, lower costs and bolster America’s competitiveness abroad. Sen. Charles E. Schumer has been a steadfast champion for small businesses and New York State. As majority leader, he will likely have a hand in crafting the final competition bill; I am hopeful we can count on his continued leadership in ensuring no version of SHOP SAFE is included in the bipartisan Innovation Act.
Assemblywoman Monica Wallace