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Administrative/Regulatory

Jun. 10, 2021

FTC split on MoviePass settlement signals conflict over powers

Commissioner Noah J. Phillips argued that the commission dramatically reinterpreted the claim to expand liability.

A split decision by the Federal Trade Commission to settle a lawsuit against failed subscription service MoviePass signaled a conflict over the agency's powers in the wake of a U.S. Supreme Court ruling prohibiting it from forcing bad actors to surrender ill-gotten profits.

The FTC alleged a violation of the Restore Online Shoppers' Confidence Act, or ROSCA, which requires informed consent, disclosure of all terms and a simple mecha...

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