Supreme Court rejects FTC’s disgorgement and restitution authority under Section 13(b)
Client Memorandum

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In a unanimous decision, the Supreme Court held in AMG Capital Management, LLC v. FTC that the FTC does not have authority to seek disgorgement or restitution under Section 13(b) of the Federal Trade Commission Act.  The decision eliminates one of the FTC’s most frequently used enforcement tools and may result in more administrative proceedings.