Ecommerce Innovation Alliance (EIA) Secures Major Victory In Virginia

Virginia Senate Bill 1339 Will Protect E-commerce Businesses from Frivolous Lawsuits

RICHMOND, VA, UNITED STATES, February 14, 2025 /EINPresswire.com/ -- The Ecommerce Innovation Alliance (EIA), a national trade association for the ecommerce sector, applauds today’s passage of Virginia Senate Bill 1339 by the Virginia House of Delegates. EIA spearheaded the effort to amend the Virginia Telephone Privacy Protection Act (VTPPA) by drafting and successfully advocating for the passage of SB 1339. This bill addresses critical loopholes and ambiguities in the VTPPA, which had led to a recent surge in frivolous lawsuits against e-commerce businesses across the country.

Background of the VTPPA
In 2001, Virginia adopted the VTPPA, mandating that telephone solicitors identify themselves by first and last name, prohibiting calls to numbers that had requested not to be contacted, imposing calling time restrictions, and establishing statutory damages ranging from $500 for each violation up to $1,000 for each willful violation.

The original act did not include text messages, since at that time SMS and mobile messaging technology was still in its infancy. However, in 2020, then Governor Ralph Northam enacted a bill that amended the VTPPA to include text messages within the definition of a “telephone solicitation call.” Additionally, the bill substantially increased the maximum recoverable damages to $500 for the first violation, $1,000 for the second violation, and $5,000 for each subsequent violation. Consequently, Virginia’s telemarketing law became the most stringent in the country.

Since the 2020 amendment, this broad definition has enabled serial plaintiffs to exploit the VTPPA by filing frivolous and costly lawsuits against businesses across the country.

EIA Takes Action to Address a Growing Threat to Ecommerce Businesses
E-commerce businesses in Virginia and beyond shouldn’t have to live in fear of using effective technology to communicate with customers who request their marketing messages. Nor should they have to pay costly lawyers to defend them, or worse, face bankruptcy due to unscrupulous actors exploiting the system and abusing Virginia law for their own financial gain.

Last year, EIA drafted and initiated lobbying efforts to pass Virginia Senate Bill 1339. The objective of the bill was to clarify ambiguities in the VTPPA that have led to the recent surge in manufactured litigation. By doing so, the EIA aims to curb frivolous lawsuits and safeguard e-commerce businesses from excessive penalties. The bill was sponsored by Senator Dave Marsden (D) from District 35 of Fairfax County, Virginia.

After months of hard work to build a bi-partisan consensus, Senate Bill 1339 was unanimously passed by both the Senate of Virginia and, earlier today, the House of Delegates. Now, the bill is on its way to Governor Glenn Youngkin’s desk for signature.

Following passage of SB 1339, David Carter, EIA’s President & CEO, commented, “The EIA’s efforts in championing and solidifying the passage of this bill underscores our unwavering commitment to establishing a fairer and more predictable legal environment for e-commerce businesses. By effectively addressing the issue of abusive litigation, the EIA helps businesses avoid unnecessary legal expenses, thereby fostering a climate of growth and innovation within the e-commerce sector.”

Alex Beller, President of Postscript and a founding member of EIA’s board, applauded the legislative victory, stating “Today’s passage of SB 1339 highlights the EIA’s value as an influential advocate for the e-commerce industry and demonstrates its ability to deliver tangible and beneficial results for its members. By joining the EIA, e-commerce businesses gain a powerful ally and a voice in shaping the industry’s future. This is just the beginning--the EIA will continue to drive positive change and deliver meaningful outcomes.”

The EIA sincerely appreciates the unwavering support of our bill patron, Senator Marsden, and members of Virginia General Assembly from both sides of the aisle who came together to support common sense reforms.

About EIA
The Ecommerce Innovation Alliance was formed in 2023 as a nonprofit trade association dedicated to bringing the ecommerce industry together to advocate for common sense policies that strengthen the ecommerce ecosystem while protecting consumer privacy. We work to educate legislators and regulators on the real world impact of regulations and advocate for reforms to correct unintended consequences. We educate our members on how to implement compliance programs and create a place in which lessons learned can be shared.

David Carter
Ecommerce Innovation Alliance
+1 202-240-7890
david@ecomm-alliance.org
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