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4.02.24
State Social Media Law Patchwork Emerging: Florida Passes Law to Restrict Minors’ Use of Online Services
On March 25, 2024, Governor Ron DeSantis signed Florida’s HB 3. The law requires that social media platforms prohibit users under 14 years old from creating accounts and requires these platforms to obtain parental consent for account registrants who are 14 or 15 years old. The law also imposes age verification requirements for online services that knowingly distribute a significant amount of “harmful” content.
Alerts
4.22.21
AMG v. FTC: U.S. Supreme Court Ends Key FTC Consumer Protection Enforcement Practice
On April 22, 2021, the United States Supreme Court unanimously decided the closely watched case AMG v. FTC. Petitioners argued that the Federal Trade Commission (FTC) had no authority to get monetary relief under Section 13(b) of the FTC Act, which by its text provides for, at most, "a permanent injunction." The decision marks the end of the FTC's broad exercise of 13(b) authority to get money back from those who violate the FTC Act—for now.
Bylined Articles
4.21.21
FTC Authority Under Siege: Monetary and Injunctive Relief at Risk in Courts as Congress Contemplates a Response
A key source of the Federal Trade Commission’s ability to obtain monetary relief in district court is in jeopardy. The Supreme Court recently heard arguments in AMG Capital Management, LLC v. FTC, a challenge to the FTC’s authority to obtain equitable monetary relief under Section 13(b) of the FTC Act. The decision could have broad implications for the FTC’s enforcement program because 13(b) is by far the commission’s most frequently used mechanism for seeking monetary relief in consumer protection cases—especially in those alleging fraud. At oral argument, the Supreme Court seemed inclined to limit the relief available under 13(b) to non-monetary injunctions.
At the same time, a complementary challenge to FTC authority is brewing in lower courts. One circuit has adopted a limited construction of the commission’s ability to obtain even injunctive relief, finding an injunction appropriate under 13(b) only if the alleged violation is ongoing or “impending.” If adopted more widely, this view could impact many FTC enforcement actions outside of the hard-core fraud area, given that non-fraud targets of FTC investigations often tend to cure their alleged violations while the investigation is pending.
At the same time, a complementary challenge to FTC authority is brewing in lower courts. One circuit has adopted a limited construction of the commission’s ability to obtain even injunctive relief, finding an injunction appropriate under 13(b) only if the alleged violation is ongoing or “impending.” If adopted more widely, this view could impact many FTC enforcement actions outside of the hard-core fraud area, given that non-fraud targets of FTC investigations often tend to cure their alleged violations while the investigation is pending.