What does the Federal Trade Commission Act do?
Protecting Consumers The FTC protects consumers by stopping unfair, deceptive or fraudulent practices in the marketplace. We conduct investigations, sue companies and people that violate the law, develop rules to ensure a vibrant marketplace, and educate consumers and businesses about their rights and responsibilities.
Who does the FTC Act apply to?
Section 5(a) of the Federal Trade Commission Act (FTC Act) (15 USC §45) prohibits “unfair or deceptive acts or practices in or affecting commerce.” This prohibition applies to all persons engaged in commerce, including banks.
What is the Federal Trade Commission rule?
The FTC enforces federal consumer protection laws that prevent fraud, deception and unfair business practices. The Commission also enforces federal antitrust laws that prohibit anticompetitive mergers and other business practices that could lead to higher prices, fewer choices, or less innovation.
What is an example of FTC?
For example, the FTC might investigate whether a retail company has special agreements with a supplier that violates anti-trust law and gives them an unfair advantage over their competitors.
Why was FTC created?
History of the FTC When the FTC was created in 1914, its purpose was to prevent unfair methods of competition in commerce as part of the battle to “bust the trusts.” Over the years, Congress passed additional laws giving the agency greater authority to police anticompetitive practices.
Why was the Federal Trade Commission Act created?
Who heads the FTC?
Lina Khan
Federal Trade Commission
| Agency overview | |
|---|---|
| Annual budget | $311 million (FY 2019) |
| Agency executive | Lina Khan, Chair |
| Website | www.ftc.gov |
| Footnotes |
Who controls FTC?
The Commission is headed by five Commissioners, nominated by the President and confirmed by the Senate, each serving a seven-year term. No more than three Commissioners can be of the same political party. The President chooses one Commissioner to act as Chair.
How did the Federal Trade Act impact business practices?
The FTC assumed the duties of its less powerful predecessor, the federal Bureau of Corporations. The act expanded the bureau’s authority to investigate and publish reports, giving the agency the power to bring administrative cases that challenged unfair competitive practices.
What are rights of the Federal Trade commison Act?
The Federal Trade Commission (FTC) enforces the credit laws that protect your right to get, use and maintain credit. These laws do not guarantee that everyone will receive credit. Instead, the credit laws protect your rights by requiring businesses to give all consumers a fair and equal opportunity to get credit and to resolve disputes over credit errors.
What does the Federal Trade Commission actually do?
The Federal Trade Commission (FTC) is a federal agency that enforces antitrust laws and protects consumers . FTC activities include investigating fraud or false advertising, congressional inquiries, and pre-merger notification.
What laws are enforced by the Federal Trade Commission?
The FTC enforces federal consumer protection laws that prevent fraud, deception and unfair business practices. The Commission also enforces federal antitrust laws that prohibit anticompetitive mergers and other business practices that could lead to higher prices, fewer choices, or less innovation.
What were the aims of the Federal Trade Act?
The Federal Trade Commission Act, along with two other antitrust laws, were created for the sole objective to “protect the process of competition for the benefit of consumers, making sure there are strong incentives for businesses to operate efficiently, keep prices down, and keep quality up.”.