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ARTICLE · 18 JULY 2016

FTC Raises Maximum Civil Penalties

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The FTC has adjusted its per violation penalties, in some cases by substantial amounts.

United StatesEmployment and HR
Pamela Devata
Pamela Devata
Craig Simonsen
Craig Simonsen
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Seyfarth Synopsis: The FTC has adjusted its per violation penalties, in some cases by substantial amounts.

In a federal rulemaking published last week, the Federal Trade Commission (FTC) has finalized amendments to Commission Rule 1.98 to adjust the maximum civil penalty dollar amounts for violations of sixteen provisions of law. 81 Fed. Reg. 42476 (June 30, 2016).

The U.S. Congress had mandated the formula for calculating the increases under the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015, which included a catch-up provision for inflation. See related Implementation of the Federal Civil Penalties Inflation Adjustment Act, OMB Memorandum M-16-06 (February 24, 2016).

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