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Government,
Corporate,
Administrative/Regulatory

Jan. 29, 2016

Recent decision may change FTC authority to regulate

In a decision late last year that went largely under the radar, Judge D. Michael Chappel, the chief administrative law judge for the FTC dismissed the commission's complaint against LabMD.

Jonathan C. Sandler

Shareholder
Brownstein Hyatt Farber Schreck LLP

2049 Century Park E Ste 3550
Los Angeles , CA 90067

Phone: (310) 500-4600

Fax: (310) 500-4602

Email: jsandler@bhfs.com

Loyola Law School

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Makan Delrahim

Assistant Attorney General
U.S. Department of Justice, Antitrust Division

Makan previously was a partner at Brownstein Hyatt Farber Schreck LLP in Los Angeles. He is the former chief of staff and chief counsel of the U.S. Senate Judiciary Committee and former senior Justice Department official.

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In a decision late last year that went largely under the radar, Judge D. Michael Chappel, the chief administrative law judge for the Federal Trade Commission, dismissed the FTC's complaint against LabMD Inc. In the Matter of LabMD Inc., No. 9357 (Nov. 13, 2015). The ALJ concluded a mere possibility of consumer harm is insufficient to prove unfairness under Section 5(n) of the FTC Act. This finding may have a significant impact on the FTC's powers in other consumer protection claus...

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