Federal Trade Commission

Type:	Government Agency
Industry:	Legal/Consumer Protection
Founded:	1914
Headquarters:	600 Pennsylvania Avenue, N.W.
Country:	USA
Website:	www.ftc.gov
Facebook:	Federal Tade Commission
LinkedIn:	Federal Trade Commission
Twitter:	@FTCgov
Key People
Jon Leibowitz, Chairman

The Federal Trade Commission (FTC) is a U.S. federal agency dedicated to protecting the rights of consumers and implementing regulations against anti-competitive business practices. The FTC has the authority to implement trade laws and regulations and to investigate business entities reported by consumers that are suspected to be conducting unfair trade practices. The agency's mission is carried out by Bureaus of Consumer Protection, Competition and Economics, and with assistance from the Office of General Counsel and seven regional offices.

History

FTC was created after the enactment of the Federal Trade Commission Act which was signed by United States President Woodrow Wilson on September 26, 1914. FTC started its operations as an independent federal agency on March 16, 1915. The agency assumed the responsibilities of the Department of Commerce Bureau of Corporation, which was created during the administration of President Theodore Roosevelt in 1903. The first commissioners of the FTC were Joseph Davies, Edward Hurley, and William Harris, and Progressives Will Parry and George Rublee. Davies was elected Chairman of the FTC.

Powers of the FTC

The FTC has the authority to gather information, publish reports and conduct investigation and file administrative and antitrust cases against companies practicing unfair competitive business strategies under Section 5 of the Federal Trade Commission Act. The Commission can also implement the the Sherman Act which prohibits monopoly of businesses, the Clayton Act which prohibits mergers and acquisitions that will reduce competition leading to monopoly as well as other trade regulations. It is also authorize to enforce international antitrust cases International Antitrust Enforcement Assistance Act.

The General Counsel

The General Counsel serves as the chief legal counsel and adviser of FTC. Its primary role is to represent the Commission= and its operating bureaus and other offices in court proceedings and provide legal advise.

The Bureau of Competition

The primary role of the Bureau of Competition is to promote competition within the business sector for the benefit and interest of consumers. The Bureau examines company mergers and acquisitions to make sure that the transaction is fair and it will not result to price increase, limited choices, lesser innovation, reduce competition and monopoly.

The Bureau of Consumer Protection

The Bureau of Consumer Protection's main objective is safeguard the interests of consumers from deceitful and unfair business practices. The bureau increases consumer confidence by enforcing federal laws, provide information to help consumers identify fraud, encourage consumers to file complaint regarding illegal business activities.

The Bureau of Economics

The Bureau of Economics evaluates the economic impacts of government regulations and provides policy recommendations to the Legislative and the Executive Branch of the government regarding competition and consumer protection. It is also expected to analyze and support the any antitrust and consumer protection investigation as well as the creation of rules to be implemented by the commission.

FTC and ICANN

The Federal Trade Commission regularly provides comments and recommendation to ICANN policies since the establishment of the internet governing body. In 1999, FTC’s Bureau of Consumer Protection commented on the negotiated tentative agreements between the Internet Corporation for Assigned Names and Numbers, the U.S. Department of Commerce, and Network Solutions regarding the .com, .net and .org generic top level domain names gTLDs. In its comment, the bureau supported the provision of the tentative agreements, which seeks to improve the Whois data base. In addition, the bureau also recommended ICANN to implement the suspension of domain names if a registrant fails provide accurate contact information after an inquiry by the Registrar. Furthermore, the bureau also encouraged ICANN to expedite the implementation of a policy requiring registrars to conduct reasonable verification mechanisms.

In 2006, the FTC Chairman Jon Leibowitz testified before the Senate Committee on Commerce, Science and Transportation regarding the Issue on Internet Governance and the Future of ICANN. In his testimony, Leibowitz emphasized the significance of maintaining the accuracy of the Whois data base in enforcing consumer protection laws. The Chairman also informed the Senate that he attended the ICANN Meeting in Marrakesh Morocco and the Generic Names Supporting Organization GNSO of ICANN to re-consider its decision in implementing a policy that the Whois data base should be used only for technical purposes. FTC pointed out that if the proposed policy will be implemented, it will negatively affect the consumers worldwide. FTC will not be able to go after suspects who commit internet fraud and those who distribute spam and spyware that infects consumer’s computers. The Chairman also informed the Senate that GNSO had been working to include FTC’s suggestion in its proposal, which will be submitted to the ICANN Board. In addition, he also encouraged ICANN’s Governmental Advisory Committee({GAC) to continuously work collaboratively with law enforcement agencies in their countries regarding the serious outcome of losing access to Whois database in law enforcement and consumer protection. Furthermore, Leibowitz also expressed the interest of FTC to explore the possibility of a tiered access to resolve the issue on consumer privacy and law enforcement.

Generic Names Supporting Organization. Develops and recommends to the Board substantive policies relating to generic top-level domains and other responsibilities set forth in the Bylaws (ICANN Bylaws).