On October 29, 2020, the Federal Trade Commission (FTC) will host a virtual workshop entitled, “Green Lights & Red Flags: FTC Rules of the Road for Business.” The workshop will cover a broad array of topics within the FTC’s jurisdiction, including truth-in-advertising law, social media marketing, data security, business-to-business fraud, and other business
FTC
FTC seeks comments on proposed changes to FCRA rules
By John L. Culhane, Jr. on
The FTC has issued five notices of proposed rulemaking seeking comments on changes to five rules that implement the Fair Credit Reporting Act. Comments will be due no later than 75 days after the date the NPRMs are published in the Federal Register.
The Dodd-Frank Act transferred the FTC’s rulemaking authority under parts of…
Financial Institution Regulators Address Financial Inclusion, Expansion of Access to Credit, and Further Consumer Protection from Discrimination
By Lori J. Sommerfield on
Since early June 2020 when cries for racial justice resulted in a period of social unrest in the U.S., federal and state financial institution regulators have taken meaningful, proactive steps to acknowledge financial inequality issues, reach out to traditionally underserved populations to expand access to credit, and further protect consumers from discrimination. While it remains…
FTC files lawsuit against merchant cash advance providers for alleged unfair and deceptive practices
By Alan S. Kaplinsky on
The FTC’s recently-filed lawsuit against two merchant cash advance providers and their chief executive officer and president for alleged unfair and deceptive conduct in violation of the FTC Act serves both as an illustration of the FTC’s focus on small business financing and a reminder of the FTC Act’s application to business-to-business activity.
The FTC…
FTC study examines issues experienced by consumers when buying and financing a vehicle
By Sarah T. Reise on
Last week, the FTC released two new reports about the agency’s findings from an April 2017 study of consumers’ experiences with the car buying process. The FTC’s Bureau of Consumer Protection (BPC) authored a summary report called “Buckle Up: Navigating Auto Sales and Financing.” The BPC, in partnership with the FTC’s Bureau of…
FTC Holds Workshop on GLBA Safeguards Rule
By Kim Phan & Katie Morehead on
Posted in FTC, Regulatory and Enforcement
On July 13, 2020, the Federal Trade Commission (FTC) held a workshop titled “Information Security and Financial Institutions: FTC Workshop to Examine Safeguards Rule.” This workshop discussed the proposed amendments to the Gramm-Leach-Bliley Act’s (GLBA) Safeguards Rule, which requires financial institutions to develop, implement, and maintain a comprehensive information security program. The GLBA Safeguards Rule…
CFPB publishes blog post on providing adverse action notices when using artificial intelligence/machine learning models
By Alan S. Kaplinsky on
The CFPB recently published a blog post titled, “Innovation spotlight: Providing adverse action notices when using AI/ML models.”
The blog post primarily recycles information from the Bureau’s annual fair lending report issued in May 2020. The Bureau indicates that artificial intelligence (AI) and a subset of AI, machine learning (ML), is an area…
SCOTUS to decide whether FTC can seek restitution
By Alan S. Kaplinsky on
Posted in FTC, Regulatory and Enforcement
Last Thursday, in addition to agreeing to decide an issue of major significance under the Telephone Consumer Protection Act, the U.S. Supreme Court agreed to decide whether Section 13(b) of the Federal Trade Commission Act, which expressly gives the FTC authority to seek injunctive relief, also authorizes the FTC to seek monetary relief, such…
SCOTUS decision on SEC disgorgement authority has implications for FTC
By Alan S. Kaplinsky on
Posted in FTC, Regulatory and Enforcement
In an 8-1 decision, the U.S. Supreme Court ruled this past Monday in Liu v. SEC that a disgorgement award that does not exceed a wrongdoer’s net profits and is used to compensate victims is “equitable relief” that the SEC can seek in civil actions. At its conference tomorrow, the Supreme Court will be considering…
This week’s podcast: Consumer protection: What’s happening at the FTC (Part II), with special guests from the FTC
By Barbara S. Mishkin on
Posted in FTC, Regulatory and Enforcement
In Part II of our two-part podcast, we discuss the following topics with Andrew Smith, Director of the FTC’s Bureau of Consumer Protection, and Malini Mithal, Associate Director of the FTC’s Division of Financial Practices: recent FTC enforcement and regulatory activity in the areas of data security, privacy, lead generation, and payments; highlights of the…