Showing archive for: “FTC Act”
The FTC Lacks Authority for Competition Rulemaking
Before becoming chair of the Federal Trade Commission (FTC), Lina Khan advocated the use of rulemakings to implement the prohibition on unfair methods of competition (UMC) in Section 5 of the FTC Act. As chair, she proposed a rule, which likely will be finalized in the spring, to ban noncompete clauses in employment contracts. But ... The FTC Lacks Authority for Competition Rulemaking
The FTC Shouldn’t Try to Make Amazon Divest Its Logistics Service
Bloomberg reports that the Federal Trade Commission (FTC) plans a suit against Amazon to force the divestiture of the company’s logistics service. The suit, if correctly described, would try and do through litigation what could not be achieved through legislation, when Congress did not enact the American Innovation and Choice Online Act (AICOA). A successful ... The FTC Shouldn’t Try to Make Amazon Divest Its Logistics Service
Antitrust at the Agencies Roundup: Pruning the Data Tree Edition
In my last roundup, I puzzled over the Federal Trade Commission’s (FTC) suit to block Amgen’s acquisition of Horizon Therapeutics. The deal involved no product overlaps whatsoever (i.e., no horizontal competition), a target firm acknowledged to have no competitors for the orphan drugs at issue, and nobody poised to enter into competition either. I won’t ... Antitrust at the Agencies Roundup: Pruning the Data Tree Edition
FTC Returns to Section 18 Rulemaking with Impersonation Fraud Hearing
The Federal Trade Commission (FTC) last week held its first informal hearing in 20 years on Section 18 rulemaking. The hearing itself had a technical delay, which to us participants felt like another 20 years, but was a mere two hours or so. At issue is a proposed rule intended to target impersonation fraud. Impersonation fraudsters hold themselves out ... FTC Returns to Section 18 Rulemaking with Impersonation Fraud Hearing
Artificial Intelligence Meets Organic Folly
In a May 3 op-ed in The New York Times, Federal Trade Commission (FTC) Chair Lina Khan declares that “We Must Regulate A.I. Here’s How.” I’m concerned after reading it that I missed both the regulatory issue and the “here’s how” part, although she does tell us that “enforcers and regulators must be vigilant.” Indeed, ... Artificial Intelligence Meets Organic Folly
Biweekly FTC Roundup: But Wait, There’s More Edition
More, and not just about noncompetes, but first, yes (mea culpa/s’lach lanu), more about noncompetes. Yesterday on Truth on the Market, I provided an overview of comments filed by the International Center for Law & Economics on the Federal Trade Commission’s (FTC) proposed noncompete rule. In addition to ICLE’s Geoffrey Manne, Dirk Auer, Brian Albrecht, Gus Hurwitz, and ... Biweekly FTC Roundup: But Wait, There’s More Edition
The FTC’s Noncompete Rule: A Bridge Too Far
As I noted in January, the Federal Trade Commission’s (FTC) proposal to ban nearly all noncompete agreements raises many questions. To be sure, there are contexts—perhaps many contexts—in which noncompete agreements raise legitimate policy concerns. But there also are contexts in which they can serve a useful procompetitive function. A per se ban across all industries and occupations, as the ... The FTC’s Noncompete Rule: A Bridge Too Far
Is the FTC Threatening Efficient Franchise Relationships?
Franchising plays a key role in promoting American job creation and economic growth. As explained in Forbes (hyperlinks omitted): Franchising as a business institution is oriented toward reducing economic inefficiencies in commercial relationships. Specifically, economic analysis reveals that it is a potential means for dealing with opportunism and cabining transaction costs in vertical-distribution contracts. In ... Is the FTC Threatening Efficient Franchise Relationships?
Biweekly FTC Roundup: Total Drama Island Edition
In a Feb. 14 column in the Wall Street Journal, Commissioner Christine Wilson announced her intent to resign her position on the Federal Trade Commission (FTC). For those curious to know why, she beat you to the punch in the title and subtitle of her column: “Why I’m Resigning as an FTC Commissioner: Lina Khan’s ... Biweekly FTC Roundup: Total Drama Island Edition
No, Chevron Deference Will Not Save the FTC’s Noncompete Ban
The Federal Trade Commission (FTC) announced in a notice of proposed rulemaking (NPRM) last month that it intends to ban most noncompete agreements. Is that a good idea? As a matter of policy, the question is debatable. So far as the NPRM is concerned, however, that debate is largely hypothetical. It is unlikely that any ... No, Chevron Deference Will Not Save the FTC’s Noncompete Ban
7 Top Takeaways from the 2nd Annual Mercatus Antitrust Forum
At the Jan. 26 Policy in Transition forum—the Mercatus Center at George Mason University’s second annual antitrust forum—various former and current antitrust practitioners, scholars, judges, and agency officials held forth on the near-term prospects for the neo-Brandeisian experiment undertaken in recent years by both the Federal Trade Commission (FTC) and the U.S. Justice Department (DOJ). ... 7 Top Takeaways from the 2nd Annual Mercatus Antitrust Forum
Biweekly FTC Roundup: A Guide for the Perplexed Edition
In a prior post, I made the important if wholly unoriginal point that the Federal Trade Commission’s (FTC) recent policy statement regarding unfair methods of competition (UMC)—perhaps a form of “soft law”—has neither legal force nor precedential value. Gus Hurwitz offers a more thorough discussion of the issue here. But policy statements may still have ... Biweekly FTC Roundup: A Guide for the Perplexed Edition
