The Federal Trade Commission

The Federal Trade Commission Act created the Federal Trade Commission (FTC) and was passed in 1914. The Federal Trade Commission is a bipartisan composed of five members who are appointed by the President. The members of the Commission serve seven year terms.

The Commission has the power to issue cease and desist orders to large corporations in an effort to curb unfair trade practices. The Act also gave more flexibility to Congress for judicial matters. The agency was created and passed during President Woodrow Wilson's first term in office. It was part of a number of reforms that took place during the Progressive Era.

With the creation of the Federal Trade Commission, unfair methods of competition as well as deceptive practices that were already declared to be illegal could be enforced. The FTC is the agency responsible for enforcing rules against unfair methods of competition and a variety of other illegal trade practices. The Commission is also responsible for ensuring that provisions of the Fair Debt Collection Practices Act are enforced and followed.

Section five of the Federal Trade Commission Act outlines what practices are illegal.

The FTC is empowered, among other things, to prevent unfair methods of competition and unfair or deceptive acts or practices in or affecting commerce. It is also able to seek monetary redress and other relief for conduct injurious to consumers.

In addition, the FTC can prescribe trade regulation rules that define with specificity acts or practices that are unfair or deceptive and establish requirements designed to prevent such acts or practices. The FTC also conducts investigations that are related to the organization, business, practices, and management of entities engaged in commerce. Finally, the FTC must make reports and legislative recommendations to Congress.

Contact a Boston Bankruptcy Lawyer

If you have been harassed by a creditor in a way that violates the Fair Debt Collection Practices Act or are considering filing for bankruptcy, contact the Boston bankruptcy lawyers of Joshua Spirn & Associates at 1-800-975-5346.