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ARTICLE · 01 FEBRUARY 2021

This Week At The Ninth: The FTC (Always) Wins

Morrison Foerster
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This week, a divided Ninth Circuit panel holds (with some apparent reluctance) that constitutional challenges to the Federal Trade Commission (FTC) cannot be brought directly in federal court, but...

United StatesLitigation, Mediation & Arbitration

This week, a divided Ninth Circuit panel holds (with some apparent reluctance) that constitutional challenges to the Federal Trade Commission (FTC) cannot be brought directly in federal court, but must instead wend their way through the FTC's review process.

AXON ENTERPRISE v. FTC

The Court holds that district courts lack jurisdiction over claims challenging the constitutionality of the FTC's structure and its adjudicative procedures.

The panel:  Judges Siler (CA6), Lee, and Bumatay, with Judge Lee writing for the majority and Judge Bumatay dissenting in part.

Key highlight:  "Axon claims—and FTC does not appear to dispute—that FTC has not lost a single case in the past quarter-century.  Even the 1972 Miami Dolphins would envy that type of record.  Indeed, a former FTC commissioner acknowledged that the FTC adjudication process might unfairly favor the FTC given the agency's stunning win rate.  Axon essentially argues that the FTC administrative proceeding

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