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Federal Trade Commission Act

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What Is the Federal Trade Commission Act?

The Federal Trade Commission Act is the statute that established the Federal Trade Commission (FTC). The FTC is an independent, five-member commission that administers laws aimed at regulating businesses and preventing deceptive trade practices, unfair restraints on trade, and the establishment of business monopolies.

How Does the Federal Trade Commission Protect Consumers?

Part of the FTC’s mandate is to eliminate and prevent unfair competition among businesses and promote consumer protection. Unfairness and deception towards consumers represent two areas that the Federal Trade Commission Act expressly grants the FTC power to investigate. Examples include:

What Actions May the Federal Trade Commission Take against Violators?

The Federal Trade Commission Act grants the FTC authority to issue an order against a violator, on behalf of the general public, requiring the violator to stop the illegal practice. If the violator does not comply with the order, the FTC has the power to impose significant fines. The violator can appeal the FTC’s order in Federal court.

Do I Need a Lawyer for a Federal Trade Commission Act Problem?

Unfair competition, antitrust, and consumer protections laws can be complex and technical. If you feel that your rights as a consumer or business owner have been violated, a business lawyer can help guide you through the legal process, make sure all of your rights are protected, and, if applicable, help you file a report with the FTC.

Photo of page author Alezah Trigueros

, LegalMatch Legal Writer and Attorney at Law

Last Modified: 09-19-2014 03:24 PM PDT

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