SCOTUS Ends the FTC's Section 13(b) Enforcement Program
This U.S. Supreme Court decision will impact how the Federal Trade Commission seeks to return money to consumers under the Federal Trade Commission Act.
May 10, 2021 at 05:26 PM
5 minute read
CommentaryA recent decision by the U.S. Supreme Court will require the Federal Trade Commission to fundamentally change how it conducts its consumer-protection enforcement program. For the past four decades, the FTC brought the vast majority of its enforcement actions in federal district court under Section 13(b) of the Federal Trade Commission Act. The FTC recovered billions of dollars in those cases in the form of "equitable monetary relief," but there was a hitch. Section 13(b) only authorized "injunctions." It said nothing about returning money to consumers. In AMG Capital Management v. Federal Trade Commission, a unanimous Supreme Court held that the FTC has no authority to seek monetary remedies under Section 13(b). The Supreme Court made clear that the FTC can still seek to have defendants return money to consumers, but must use a different section of the FTCA that requires administrative processes and provides defendants special protections.
This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.
To view this content, please continue to their sites.
Not a Lexis Subscriber?
Subscribe Now
Not a Bloomberg Law Subscriber?
Subscribe Now
NOT FOR REPRINT
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
You Might Like
View AllArguing Class Actions: Reevaluating the Rule Against One-Way Intervention
6 minute readDC Circuit OKs Enforcement of Intra-EU Awards, Does Not Decide If Other Treaties' Awards May Be Enforced
7 minute readArguing Class Actions: Quality vs. Quantity—The Debate Over Reasonable Attorney Fees
7 minute readFighting Stigma: It's Time to Embrace 'Alcoholism' in the Legal Industry
Trending Stories
- 1The Law Firm Disrupted: Playing the Talent Game to Win
- 2A&O Shearman Adopts 3-Level Lockstep Pay Model Amid Shift to All-Equity Partnership
- 3Preparing Your Law Firm for 2025: Smart Ways to Embrace AI & Other Technologies
- 4BD Settles Thousands of Bard Hernia Mesh Lawsuits
- 5A RICO Surge Is Underway: Here's How the Allstate Push Might Play Out
Featured Firms
Law Offices of Gary Martin Hays & Associates, P.C.
(470) 294-1674
Law Offices of Mark E. Salomone
(857) 444-6468
Smith & Hassler
(713) 739-1250