A department of the Federal Trade Commission is the Office of Consumer Protection, and its “mandate is to protect consumers from unfair, deceptive, or fraudulent practices.” There are six divisions of the Office of Consumer Protection as follows:
Division of Advertising Practices: Consumers are protected from misleading or unsubstantiated advertising. The focus is on advertising for the following products: tobacco and alcohol, over-the-counter food and drugs, energy-related products, environmental products, and infomercials.
Compliance Division: Consumers are protected by enforcing court orders in consumer protection cases, investigating and prosecuting civil actions to stop fraudulent, unfair, or deceptive advertising and marketing practices, and enforcing consumer protection laws.
The Division of Financial Practices: Many consumer credit statutes apply, including the Consumer Leasing Act, the Credit Practices Rule, the Equal Credit Opportunity Act, and the Fair Credit Billing Act. The text of these laws can be found on the Federal Trade Commission’s website http://www.ftc.gov.
The Division of Marketing Practices– Enforces federal consumer protection laws by bringing legal action to stop scams and help scam victims
The Planning and Information Division: Measures the impact of the FTC’s activities to protect consumers, including the Identity Theft Program.
The Office of Consumer and Business Education: Establishes public education programs for consumers and industry on fraud, deception, and unfair practices through the use of print, broadcast, and electronic media.
It would be wise for you or your attorney to visit the FTC website, read the regulations, and set up systems to make sure you follow and abide by them. If the FTC determines that you are in violation of any of its regulations, it has the authority to seize your assets pending an investigation. If the FTC gets a court ruling against you, the penalties are significant and the FTC could put you out of business.
