System and method for assuring commercial regulatory compliance

1 . A method for processing requests for financial transactions and payments, the method comprising the steps of:

providing a payment gateway having:

a server in bidirectional communication via a network with both a merchant system operated by a seller and a payment provider service;

a processor;

a memory; and

a storage, the storage being a non-transitory computer-readable medium including:

a series of program steps for execution on the processor to respond to the requests for financial transactions and payments; and

a first information set for implementing a set of compliance rules to determine compliance of a transaction initiated by a buyer;

receiving from a point of sale, a second information set about the transaction, the second information set including a location information of the buyer at the time of initiating the transaction, and a transaction information relating to a payment by the buyer into the server of the payment gateway; and

performing the series of program steps based on the set of compliance rules applicable to the transaction, wherein execution of the series of program steps by the processor implements the set of compliance rules and a payment process;

screening the transaction for a violation of the set of compliance rules;

setting, based on a result of the screening, a status of the transaction to a block when a violation is detected and to an authorization when no violation is detected;

determining, by execution of the program steps, whether the transaction requires screening for applicability of a predefined distribution scheme, wherein when the status is the authorization, generating and sending, from the server of the payment gateway to the payment provider service, a request for transfer of electronic funds to provide a seller's payment for sale of the service or goods.

2 . The method of claim 1 , wherein a decision provided by the set of compliance rules, whether to block or allow completion of the transaction, is based on executing a sequence of rules-based decisions based on identification or comparison of information received from the buyer or seller using information retrieved from storage.

3 . The method of claim 1 , wherein the series of program steps include determining whether the transaction is one for which a distribution scheme applies to funds to be paid to recipients in accord with a predefined distribution allocation.

4 . The method of claim 3 , further including providing requests to allocate portions of a total amount of funds to the recipients in accord with the predefined distribution allocation.

5 . The method of claim 4 , wherein the provided requests to allocate the portions of the total amount of funds are affected without the direct involvement of the seller or the seller's bank a seller's bank to determine and authorize payments.

6 . The method of claim 5 , wherein the allocated portions of the total amount of funds for the recipients are for one or more fees taken from the group consisting of a convenience fee, a reseller fee, a shipping charge, and a charitable contribution.

7 . The method of claim 1 , wherein the step of performing the series of program steps includes assessing legal compliance.

8 . The method of claim 1 , the method further comprising executing compliance and payment processes and providing a decision based on the location information of the buyer as to whether to block or authorize the transaction.

9 . The method of claim 1 , wherein when the compliance rules and the payment process provide a decision to authorize the transaction, the series of program steps provides a request to a payment provider for transfer of electronic funds to provide a seller's payment for sale of service or goods.