On April 27, 2021, the Federal
Trade Commission (FTC) testified before the Subcommittee on
Consumer Protection and Commerce to support proposed legislation
that would revive FTC's ability to seek restitution and
disgorgement on behalf of consumers harmed by violations of the FTC
Act.
From the 1980s until recently, the FTC took the position that
Section 13(b) of the FTC Act, which permits injunctive relief, also
authorized it to seek restitution, disgorgement, and other
equitable monetary relief. FTC Testimony at 2. The
FTC used Section 13(b) to reclaim and refund billions of dollars on
behalf of consumers in various types of cases, including
telemarketing, fraud, anticompetitive pharmaceutical practices,
data security and privacy, scams that target seniors and veterans,
deceptive business practices, and COVID-related scams. Id.
at 1.
