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USA: AGs' letter to congressional leaders supports FTC powers needed for consumer protection efforts

The New York Attorney General ('AG'), Letitia James announced, on 28 June 2021, that she, along with a coalition of 28 AGs had sent a letter to congressional leaders to support the ability of the Federal Trade Commission ('FTC') to successfully combat fraudulent and anticompetitive conduct. In particular, the letter highlights the support for House Resolution ('HR') 2668 for the Consumer Protection and Recovery Act which would ensure the ability of the FTC to obtain equitable monetary relief, including restitution for consumers and disgorgement of ill-gotten gains.

In addition, the letter applauds HR 2668's goal of redressing harms suffered by victims of anticompetitive, unfair, or deceptive trade practices, and its application to FTC cases that are currently in litigation, following a recent Supreme Court decision which held that the FTC lacks the authority to obtain equitable monetary relief through its Section 13(b) of the Federal Trade Commission Act enforcement actions. Furthermore, the letter notes, among other things, that States' own enforcement efforts are fortified through collaboration with the FTC, and the lack of authority to seek equitable monetary relief would undermine the FTC's efforts to combat unfair and deceptive practices which would in turn frustrate federal-state collaboration and force States to divert resources away from other consumer protection efforts and perform duties previously fulfilled by the FTC.

You can read the press release here and the letter here.