“Unfair methods of competition in or affecting commerce, and unfair or deceptive acts or practices in or affecting commerce, are hereby declared unlawful”
- Although the Sherman Act helped to establish antitrust laws, the public was dissatisfied with its implementation
- In addition to the lack of clarity in prohibitions, there wasn’t a designated agency to enforce the Sherman Act.
- This led to the creation of the Federal Trade Commission Act
- Passed on September 26, 1914, the FTC Act established the Federal Trade Commission (FTC)
- The FTC was given power to discipline unfair business behavior
- The FTC received power to eliminate monopolies that persisted due to “unfair” practices
- The FTC Act does not apply to foreign trade