Wheeler–Lea Act
From Wikipedia, the free encyclopedia
The Wheeler–Lea Act of 1938 is a United States federal law that amended Section 5 of the 1914 Federal Trade Commission Act to proscribe "unfair or deceptive acts or practices" as well as "unfair methods of competition."[1] It provided civil penalties for violations of Section 5 orders.[1] It also added a clause to Section 5 that stated "unfair or deceptive acts or practices in commerce are hereby declared unlawful" to the Section 5 prohibition of unfair methods of competition in order to protect consumers as well as competition.[2]
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| Long title | An Act to amend the Act creating the Federal Trade Commission, to define its powers and duties, and for other purposes |
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| Enacted by | the 75th United States Congress |
| Citations | |
| Public law | Pub. L. 75–447 |
| Statutes at Large | 52 Stat. 111 |
| Codification | |
| Acts amended | Federal Trade Commission Act of 1914 |
| Titles amended | 15 |
| U.S.C. sections amended | 5 |
| Legislative history | |
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Until this amendment was passed, the Federal Trade Commission could only restrict practices that were unfair to competitors. This broadened the FTC's powers to include protection for consumers from false advertising practices.[3]
