Supreme Court slashes FTC s power to seek monetary awards bostonglobe.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from bostonglobe.com Daily Mail and Mail on Sunday newspapers.
FinanceU.S. Supreme Court curbs FTC s power to recoup ill-gotten gains
ReutersLawrence HurleyAndrew ChungDiane Bartz
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Signage is seen at the Federal Trade Commission headquarters in Washington, D.C., U.S., August 29, 2020. REUTERS/Andrew Kelly
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The U.S. Supreme Court on Thursday made it more difficult for the Federal Trade Commission to force scam artists and companies that engage in deceptive business practices to return ill-gotten gains obtained from consumers, ruling in favor of a criminally convicted payday lender who challenged the agency.
The 9-0 ruling, authored by liberal Justice Stephen Breyer, prompted Democrats in both chambers of the U.S. Congress to promise to pursue legislation to restore the FTC s powers to seek monetary remedies in court on behalf of consumers.
U S Supreme Court opinions: April 22 einnews.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from einnews.com Daily Mail and Mail on Sunday newspapers.
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Mark Sherman, Associated Press
WASHINGTON A unanimous Supreme Court on Thursday cut back the Federal Trade Commission’s authority to recover ill-gotten gains, overturning a nearly $1.3 billion award against a professional race car driver who was convicted of cheating consumers through his payday loan businesses.
The high court’s ruling takes away what the FTC has called “one of its most important and effective enforcement tools,” used in recouping billions of dollars over the past decade.
Justice Stephen Breyer wrote in his opinion for the court that the provision of federal law that the FTC has relied on does not authorize the commission to seek or a federal court to order restitution or disgorgement of profits.