Intuit Wins Landmark Case Against FTC Over Deceptive Advertising

The 5th Circuit ruled that the FTC’s claims against Intuit for deceptive advertising involve private rights, requiring adjudication in an Article III court. The court emphasized that the duty to avoid deceptive practices predated the FTC Act and could be enforced through common law.

This decision aligns with the Jarkesy precedent, which limits agency authority over matters involving private rights. It also casts doubt on similar enforcement powers, including the FCC’s ability to issue fines. Major telecom companies are currently challenging the FCC over penalties for selling customer location data without consent.

The FCC argues that forfeitures are crucial for enforcing privacy protections and other vital regulations. The Supreme Court’s upcoming decision could further reshape the landscape of administrative authority.