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FTC Issues Statement of Enforcement Principles Interpreting “Unfair Methods of Competition” Under Section 5 of the FTC Act

Elai Katz, Cahill Gordon & Reindel Memorandum, August 2015

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The Federal Trade Commission (the “FTC or Commission”) issued a Statement of Enforcement Principles (“policy statement”) addressing the unfair competition clause of Section 5 of the 1914 Federal Trade Commission Act (“FTC Act”). The one-page policy statement released last week sets out three principles and appears to be the product of a compromise. It is notable for being the first, albeit laconic, articulation of the FTC’s interpretation of the unfair competition clause of Section 5, but it likely does not portend significant changes in enforcement priorities.

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