ipl-logo

Explain Why The Federal Trade Commission Does Not Have Adequate Regulations

720 Words3 Pages

The Federal Trade Commission does not have adequate regulations.
PART II:
The Federal Trade Commission does not have adequate regulations. The FTC does not have adequate regulations regarding misleading food/drink product labels. Dietary Supplements are severely lacking in regulation and policing power. Businesses practice unfair sales tactics that take advantage of consumers.

PART III:
I. The Federal Trade Commission does not have adequate regulations. The FTC does not have adequate regulations regarding misleading food/drink product labels. Dietary Supplements are severely lacking in regulation and policing power. Businesses practice unfair sales tactics that take advantage of consumers.

A. The Federal Trade Commission does not have …show more content…

b) The term leads people to believe that the product was made without using things like pesticides, GMO’s, or corn syrup.
2. “No sugar added” is a misleading term.
a) It leads people to believe that there is zero sugar in the product, it doesn’t.
b) Products with “no sugar added” labels can still have natural sugars. For example, milk and vegetables have sugar in them naturally.
c) These products can also have added carbohydrates that increase blood sugar.
3. Terms like “zero trans-fat” and “zero sugar” don’t actually mean zero.
a) These products are allowed to contain up to 0.5 grams per serving.
b) Saying “zero” leads people to believe that they can have as much as they want without consuming any of the unwanted trans-fats or sugars.
c) Overconsumption can lead to consumption of significant amount what they meant to avoid.
III. Dietary Supplements are lacking in regulation resulting in unsafe products going to market.
A. Rules set by the Dietary Supplement Health and Education Act (DSHEA)of 1994, are inadequate.
1. The DSHEA require manufacturers of new ingredients to notify and provide evidence that the ingredient is reasonably safe 75 days prior to …show more content…

2. There are far too many products going to market for the amount of oversight.
a) More than 5,500 new products go to market every year.
b) The amount of new dietary ingredient notifications over the past 20 years is less than 1000.
c) Ingredients that have been rejected in some ingredient notifications have then turned up in other products.
d) There are nearly 100,000 dietary supplements already on store shelves.
e) Many of these products have never been reviewed.
f) There is a massive uphill battle to bring this issue under control.
IV. Businesses practice unfair sales tactics that take advantage of consumers.
A. Section 5(a) of the FTC Act of 1914 prohibiting Unfair and Deceptive Acts and Practices statutes are inadequate.
1. Statutes differ from state to state.
a) 16 states give utility companies UDAP law immunity
b) 24 states do the same for insurance companies.
c) Consumers in Iowa are not allowed to take companies to court to enforce UDAP laws.
d) Five other states don’t allow consumers to recover attorney fees.
e) Five states require injunctions in ongoing cases to prove that the unfair or deceptive practice was done purposefully or

More about Explain Why The Federal Trade Commission Does Not Have Adequate Regulations

Open Document