SCAM Act
Sponsored By: Representative Meuser, Daniel [R-PA-9]
Introduced
Summary
Platforms must prevent paid fraudulent or deceptive ads. This bill would require online platforms to verify advertisers, detect and remove paid scam ads, and give the Federal Trade Commission rulemaking and enforcement authority while preserving state and private enforcement options.
Show full summary
- Consumers: Reports of suspected fraudulent ads must be investigated within 72 hours and reporters notified within 24 hours after the investigation ends, so scam ads would be removed faster when platforms find violations.
- Platforms and advertisers: Platforms would have to verify advertiser identity, collect contact information, run automated and manual fraud-detection systems, and maintain impersonation controls before showing paid ads.
- Enforcement and remedies: The FTC must issue regulations within one year and enforce violations as unfair or deceptive acts; states could bring parens patriae suits, consumers could sue for damages with up to treble damages for knowing violations, and Section 230(c)(1) would not shield platforms for these violations.
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Bill Overview
Analyzed Economic Effects
3 provisions identified: 2 benefits, 0 costs, 1 mixed.
Platforms must verify and block scam ads
If enacted, platforms that take money to show ads would have to verify who is buying an ad before it runs. Platforms would need to check legal names, physical locations, government IDs for people, and business documents for entities. They would have to run automated and human checks for fraud, offer a clear report tool, investigate reports within 72 hours, tell the reporter the result within 24 hours after the investigation, and remove any ad that violates the rules within 24 hours of the finding. Platforms that submit an approved detection program and show ongoing compliance would get a rebuttable presumption they took reasonable steps.
You could sue platforms for scams
If enacted, any person harmed by a covered deceptive or fraudulent paid ad would be able to sue the platform in federal court. You would be able to seek injunctive relief, actual damages, restitution, and other relief the court finds appropriate. A court could triple damages if the platform acted willfully or knowingly. Prevailing plaintiffs would be able to recover court costs and reasonable attorney's fees. Suits generally must be started within 5 years after you discovered or reasonably could have discovered the violation.
Stronger enforcement and Section 230 limits
If enacted, the FTC would have to write rules to implement this law within one year and would review them each year. Violations would be treated as unfair or deceptive acts the FTC can enforce with its usual powers. Section 230(c)(1) immunity would not protect platforms from liability for violations of this law, while Section 230(c)(2) would remain. State attorneys general could also sue on behalf of residents, but they must notify the FTC and generally cannot bring a case against a defendant while the FTC's civil action against that defendant is pending.
Sponsors & CoSponsors
Sponsor
Meuser, Daniel [R-PA-9]
PA • R
Cosponsors
Rep. Correa, J. Luis [D-CA-46]
CA • D
Sponsored 2/12/2026
Rep. Kim, Young [R-CA-40]
CA • R
Sponsored 3/4/2026
Friedman
CA • D
Sponsored 3/4/2026
Rep. Lawler, Michael [R-NY-17]
NY • R
Sponsored 3/16/2026
Rep. Shreve, Jefferson [R-IN-6]
IN • R
Sponsored 3/25/2026
Rep. Harrigan, Pat [R-NC-10]
NC • R
Sponsored 3/25/2026
Rep. Whitesides, George [D-CA-27]
CA • D
Sponsored 3/26/2026
Rep. Bergman, Jack [R-MI-1]
MI • R
Sponsored 4/13/2026
Rep. Moolenaar, John R. [R-MI-2]
MI • R
Sponsored 4/13/2026
Rep. Huizenga, Bill [R-MI-4]
MI • R
Sponsored 4/13/2026
Rep. Tlaib, Rashida [D-MI-12]
MI • D
Sponsored 4/13/2026
Smith (WA)
WA • D
Sponsored 4/13/2026
Van Drew
NJ • R
Sponsored 4/13/2026
Edwards
NC • R
Sponsored 4/14/2026
Rep. Deluzio, Christopher R. [D-PA-17]
PA • D
Sponsored 4/14/2026
Rep. Foushee, Valerie P. [D-NC-4]
NC • D
Sponsored 4/14/2026
Rep. Carbajal, Salud O. [D-CA-24]
CA • D
Sponsored 4/14/2026
Rep. Mann, Tracey [R-KS-1]
KS • R
Sponsored 4/16/2026
Rep. Pettersen, Brittany [D-CO-7]
CO • D
Sponsored 4/16/2026
Carson
IN • D
Sponsored 4/27/2026
Rep. Amo, Gabe [D-RI-1]
RI • D
Sponsored 4/27/2026
Davis (NC)
NC • D
Sponsored 4/27/2026
Craig
MN • D
Sponsored 5/12/2026
Rep. Vasquez, Gabe [D-NM-2]
NM • D
Sponsored 5/12/2026
Rep. Frankel, Lois [D-FL-22]
FL • D
Sponsored 5/12/2026
Stansbury
NM • D
Sponsored 5/13/2026
Peters
CA • D
Sponsored 5/13/2026
Timmons
SC • R
Sponsored 5/14/2026
Roll Call Votes
No roll call votes available for this bill.
View on Congress.gov