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S 3774
Recent Bills/S 3774

SCAM Act

IntroducedFebruary 4, 2026
Introduced6 months ago
Intro
Senate
House
Pres
Introduced in Senate
Commerce
Why This Matters

This bill, the Safeguarding Consumers from Advertising Misconduct Act (SCAM Act), prohibits online platforms from displaying paid advertisements that are fraudulent or deceptive. It requires platforms to verify advertisers, detect scam ads, and remove them quickly.

Who this affects
Online platforms · Advertisers · Consumers · FTC and state attorneys general
What changes is this bill making?
  1. 1Makes it illegal for online platforms to display paid ads that are fraudulent or deceptive if the platform fails to take reasonable steps to stop them
  2. 2Requires platforms to verify each advertiser’s identity, including legal name, physical location, and valid government identification or business documents
  3. 3Mandates automated and manual systems to detect fraudulent ads and programs to spot and stop impersonations
  4. 4Obligates platforms to investigate reported or detected scam ads within 72 hours and remove any that violate the law within 24 hours of confirmation
  5. 5Provides a presumption of compliance if a platform submits an approved scam detection program to the FTC (Federal Trade Commission) and enforces it
  6. 6Directs the FTC to write and update regulations and enforces the law under its existing powers in the Federal Trade Commission Act
  7. 7Allows state attorneys general to sue on behalf of residents for violations, with rules for notifying and involving the FTC
  8. 8Gives consumers the right to sue for actual damages, plus up to three times damages for willful violations, and recover attorney fees within five years of discovering a violation
Read full document
Bill Progress1 of 4
Bills must pass the House, Senate, and be signed by the President to become law.
Intro
Senate
House
Pres
IntroducedCurrentFeb 4

Introduced in Senate

Sponsors
See all 8 sponsors
Senate
House
President

The President

Donald Trump
President
Awaiting Vote
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