Financial Regulation Bill Avoids an Unrestrained FTC

By June 25, 2010Economy, Regulations

House Democratic conferees on H.R. 4213, the financial regulation bill, had pushed for language to unleash the Federal Trade Commission so it could go out and regulate as much federal commerce as it could get its hands on. The National Association of Manufacturers was one of 48 trade associations to join in a June 10 letter strongly objecting to the regulatory expansionism.

Fortunately, the Senate conferees showed little interest in turning a financial regulation bill into an “all things commercial regulation” bill. To summarize the back and forth at last night/this morning’s negotiations:

Chairman Henry Waxman (D-CA) of the House Energy and Commerce bill pressed hard for inclusion of the House language. After Senate conferees rejected his initial language, he offered a modified version that stripped out “aiding and abetting” and other enforcement provisions and asked for expanded rulemaking authority for the FTC with some extra tweaks for small firms. Again, the Senate rejected Chairman Waxman’s language. After 3 a.m., Chairman Frank said the House reluctantly accepted the reality of the Senate’s rejection and the conferees closed title 10, the consumer protection section.

Good, and thank you to the Senators.

And now, we’re sure Chairman Waxman will accept this setback and move on to other issues. The possiblity of unrestrained regulatory expansion by the FTC has receded into the background, never to worry us again.

Dow Jones, “BANK BILL: FTC Misses Out On New Powers

Join the discussion One Comment

  • S.M. Oliva says:

    I noticed your PointofLaw post on Ruth Marcus. Funny how nobody ever mentioned Marcus’s husband is the power-grabbing FTC chairman, Jon Leibowitz.

Leave a Reply