U.S. Supreme Court to weigh FTC authority to seek ill-gotten gains

July 9, 2020

WASHINGTON (Reuters) – The U.S. Supreme Court agreed on Thursday to decide whether the Federal Trade Commission can continue to require scam artists and firms that engaged in deceptive business practices to return money improperly obtained from consumers.

The justices will hear the FTC’s appeal of a lower court’s 2019 ruling that the agency could demand that alleged scam artists stop their behavior using a preliminary injunction but could not clawback any ill-gotten gains in a case involving a company called Credit Bureau Center LLC.

The court also took up a companion case involving a company called AMG Capital Management that mounted a similar challenge.

(Reporting by Diane Bartz and Lawrence Hurley; Editing by Will Dunham)