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Factsheet: The FTC–For the First Time in Decades–Held Corporate America Accountable to Protect Small Businesses, Workers, and Consumers [1]
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Date: 2025-08
Updated January 2025.
The Federal Trade Commission, led by Chair Lina Khan, entered a new era of more effective, modern, and democratic enforcement to better protect consumers, workers, and independent businesses. Chair Khan revitalized the FTC’s critical enforcement role, promoting free and competitive markets where new entrants and small businesses can thrive by combatting unprecedented levels of economic concentration and fostering competition in pursuit of prosperity. Under her leadership, the FTC:
Enforced Existing Rules to Hold Powerful Corporate Actors Accountable
Protected Consumers and Small Businesses from Corporate Fraud and Deception
Restored FTC Authority to Protect Workers, Small Businesses, and Fair Markets from Unfair Methods of Competition
Finalized a near-complete ban on exploitative non-compete agreements for employees, which will increase wages by more than $400 billion, reduce health care costs by over $75 billion, and add at least 17,000 more patents over the next decade.
Took sweeping action to crack down on the illegal listing of patents in the FDA’s “Orange Book,” challenging more than 300 patents keeping life-saving medicines like asthma, inhalers, ozempic, and epinephrine prohibitively expensive for those who need them most. Pharma firms use sham listings to game the drug safety system, preventing rivals from delivering the same treatments at far lower prices and driving up costs for patients and providers.
Secured a commitment from Boehringer Ingelheim to cap the out-of-pocket cost for inhalers at $35.
Banned car dealerships from using junk fees and unfair bait-and-switch tactics to rip off Americans making what for many is the single most expensive purchase they will ever make, saving consumers $3.4 billion and tens of millions of hours yearly.
Ordered Mastercard to end its noncompetitive practice of withholding customer account information to prevent merchants from choosing competing networks to process payments.
Released a report on the causes behind the grocery supply chain disruptions during the COVID-19 pandemic. The report shows that larger companies sought to protect market share and monopoly power at the detriment of smaller companies and consumers. It also highlights the need to reinvigorate the Robinson-Patman Act.
Updated its Eyeglass Rule to boost compliance with the requirement that eye doctors provide patients a free copy of their prescription immediately after an eye exam.
Unanimously approved updates to the Hart-Scott-Rodino premerger notification form, instructions, and rules. This is how the government evaluates proposed mergers and acquisitions. The changes will help the government more quickly clear mergers that do not threaten competition, while identifying and blocking those that do. The form has not been modernized in a meaningful way since the 1970s.
Created an online portal for the public to comment on proposed mergers and acquisitions that may be reviewed by the agency, consistent with the FTC’s ongoing effort to make its actions and review process more transparent and to hear from the public.
Required Guardian Service Industries to stop enforcing a no-hire agreement that prohibited building owners and managers from hiring Guardian’s employees, limiting workers’ ability to negotiate for higher wages, better benefits, and better working conditions.
Required Planned Building Services to stop enforcing no-hire agreements that limit residential and commercial building owners from hiring building service workers employed by Planned.
Reinvigorated the Robinson-Patman Act (RPA) – a nearly century-old law that has gone underenforced since the 1980s. RPA prohibits sellers from engaging in price discrimination and stops buyers from knowingly seeking out or receiving discriminatory prices. The FTC sued Southern Glazer’s Wine and Spirits – the largest distributor of wine and spirits in the U.S. – for charging smaller businesses (such as neighborhood grocery and convenience stores, and independent shops) higher prices than large chains for the same bottles in the exact same geographic area through various discount and rebate mechanisms without justification, thereby harming competition. The agency has also sued PepsiCo – the second largest food company in the world – for favoring one large, big box retailer (reportedly, Walmart) with unfair advertising and promotional allowances not offered to smaller customers on proportionally equal terms. This favoritism harms customers who shop at other retailers by forcing them to pay higher prices for Pepsi products.
Issued a policy statement clarifying that independent contractors – including gig workers – are shielded from antitrust liability when engaging in protected bargaining and organizing activities.
Issued a request for information to understand how large-scale single-family rental owner operators – mega investors – have affected home prices and rents.
Alongside the DOJ, issued antitrust guidelines for business activities affecting workers. Practices that harm the competitive process of labor, including those that limit worker decision making or abuse employers’ power – such as non-compete, no-poach, and non-solicitation agreements – violate these laws. These replace the 2016 guidelines for human resource professionals, which did not address legality of contract terms between employer and employee.
Issued a request for information regarding mergers and acquisitions; small businesses, entrepreneurs, and start-ups; and protecting workers from illegal business practices.
Worked to Punish and Deter Corporate Wrongdoing
Revived the dormant Penalty Offense Authority to ensure corporations that knowingly break the law are penalized, bolstering the FTC’s ability to claw back money for consumers.
The FTC first resurrected the authority in 2021 with unanimous votes to put on notice: Over 70 for-profit colleges for predatory behavior; Over 700 companies for fake online reviews; and Over 1,000 businesses, including Amazon, Doordash, and Grubhub, for deceiving gig workers about potential earnings.
When investigating Exxon Mobil’s proposed acquisition of Pioneer Natural Resources, the FTC revealed that former Pioneer CEO Scott Sheffield colluded with Permian Basin competitors to restrict output in a price-fixing conspiracy—in coordination with OPEC. To hold Exxon accountable, the FTC proposed a consent order, barring Sheffield from serving on the Exxon board or advising the company once the acquisition is finalized.
In its ongoing reviews of Permian Basin mergers, the agency is investigating executive communications for evidence of collusion with OPEC.
Alongside DOJ, launched a strike force on unfair and illegal. During the first meeting, FTC Chair Lina Khan called for an inquiry into persistent high grocery prices even as costs for retailers fall.
Finalized a rule banning fake reviews and testimonials.
When investigating Chevron’s proposed acquisition of Hess, the FTC revealed that former Hess CEO John B. Hess colluded with OPEC representatives to stabilize production and lower inventories, leading to higher oil prices. To hold Mr. Hess accountable and prevent harm to competition, the FTC proposed a consent order to bar him from serving on the Chevron board or advising the company once the acquisition is finalized.
Fined GameStop CEO Ryan Cohen $1 million for his failure to file an HSR form after purchasing 562,000 Wells Fargo shares.
Sent warning letters to adoption intermediaries to not mislead parents about placement rates and times, and to not suppress negative reviews.
Took action against a scheme that has taken more than $12 million from consumers with false promises of big returns selling goods through Amazon and Walmart. As a result of FTC’s lawsuit, a federal court has temporarily shut down the company, which has changed its name several times over the years.
Took action against crude oil producers XCL Resources Holdings, Verdun Oil Company, and EP Energy for illegal pre-merger coordination or “gun jumping.” The companies ignored the required waiting period before completing a transaction, and as a result are required to pay a record $5.6 million penalty.
Took action against co-founders of the Stem Cell Institute of America – and other companies – for using deceptive marketing that falsely claimed stem cell therapy would help. The individuals and companies are banned from marketing stem cell therapy in the future, and are required to pay $5.1 million in refunds and penalties.
Stood Up to Big Tech and Protected Privacy in the Digital Age
Fined Epic Games $520 million for violations of children’s privacy laws and tricking users to make unintended purchases.
Ordered eight social media and streaming platforms, including Facebook, Instagram, TikTok, YouTube, and others, to turn over information about deceptive and fraudulent advertising on their platforms.
Ordered Microsoft to pay $20 million for illegally collecting and retaining children’s personal data on Xbox without parental knowledge or consent.
Ordered Amazon to pay $25 million for violating children’s privacy laws by failing to delete sensitive voice recordings and geolocation data.
Hosted a public forum and opened public comments to determine whether to issue rules addressing commercial surveillance, data hoovering, and lax data security practices to protect consumers from Big Tech’s dominance in the information economy.
Warned around 130 hospitals and telehealth providers about privacy and security risks related to their use of digital trackers from Meta and Google Analytics that leak users’ sensitive personal health data to third parties.
Warned tax prep firms like TurboTax that they could face penalties if they use consumers’ confidential data for other unrelated purposes, such as advertising, without consent.
Opened an investigation into ChatGPT maker OpenAI, probing whether the chatbot has harmed consumers via data collection and proliferating false information about individuals.
Voted unanimously to adopt a policy statement reaffirming the agency’s authority to enforce meaningful limitations on Big Tech’s ability to collect, use, and retain children’s data.
Issued a staff report on surveillance pricing, which revealed that details like a person’s precise location or browser history can be used to target individual consumers with different prices for the same goods and services. The agency also issued a request for information regarding surveillance pricing practices to hear directly from the public, and hosted a virtual workshop on predatory pricing.
Issued a staff report on corporate partnerships and investments formed between the largest cloud service providers – Alphabet (Google), Amazon, and Microsoft – and the two most prominent generative AI developers – Anthropic and OpenAI. The report outlines potential competition implications, including that: these partnerships may impact access to inputs, increase switching costs, and restrict information sharing to others in the space.
Reinvigorated Enforcement To Prevent Board-Level Corporate Collusion
Enforced section 8 of the Clayton Act for the first time in 40 years, preventing entanglements and information exchange between Board directors and officers of direct competitors Quantum Energy Partners and EQT Corporation.
Issued guidance explaining that the FTC’s authority to target unfair methods of competition offsets certain loopholes in the statutory ban on interlocking directorates.
Blocked Illegal Mergers and Promoted Competitive Markets
FTC, DOJ Opened Merger Guidelines Review to Small Businesses, Workers, Consumers
The FTC and the DOJ finalized a critical update to merger enforcement guidelines, bringing in new learning and evidence discovered by economists, business people, consumers, and scholars over the last fifteen years. The new guidelines better reflect today’s new market realities and will help strengthen enforcement against illegal mergers that drive higher prices, lower wages, and reduce innovation.
The new guidelines reflect public input, with the FTC receiving almost 6,000 public comments – approximately 187x more than a previous merger guideline rewriting in 2010 – from entrepreneurs, small businesses, workers, and consumers who have experienced firsthand the effects of mega-mergers and acquisitions.
Along with the DOJ, proposed changes to modernize the merger filing process by requiring merging parties to submit more relevant information, allowing antitrust agencies to evaluate the effects of a merger more efficiently and effectively. The new filing process takes into account companies’ history of labor law violations.
The FTC and DOJ also hosted joint listening forums that included grocers, health care professionals, farmers, innovators in biotechnology, media and entertainment, and technology workers, who shared their personal experiences on the effects of previous mergers.
Challenged Monopolies and Rampant Consolidation, Including Successfully Blocking Illegal Vertical Mergers
Aggressively Challenged Healthcare Monopolies and Consolidation in the Market
Challenged, litigated, and won at trial against biopharma data provider IQVIA’s purchase of medical advertising firm DeepIntent, which would have allowed IQVIA to monopolize companies’ ability to advertise drugs to doctors.
Reached a proposed consent order to mitigate the competitive harms of pharmaceutical giant Amgen’s $28bn purchase of specialty drugmaker Horizon Therapeutics that many feared would raise drug prices for Americans with rare diseases.
Stopped Sanofi’s “killer acquisition” of a rare genetic-disorder treatment drug that would have enabled the pharma giant to continue charging $750,000 annually for treatment.
Contributed to the abandonment of a $140 billion healthcare mega-merger between health insurance providers Cigna and Humana that would have drastically further consolidated the industry.
Ordered biotech firm Illumina to unwind its purchase of cancer test maker Grail to protect competition and innovation in the life-saving cancer detection test industry. On appeal, the Fifth Circuit affirmed that the acquisition would harm Americans, setting critical precedent for future vertical merger challenges.
Cracked down on private equity roll-ups to protect small businesses and good jobs, including suing a private-equity backed multi-state healthcare firm alleging a scheme to consolidate anesthesia practices and drive up care prices. Welsh Carson will be required to limit its involvement with USAP and notify the FTC of future acquisitions and investments in anesthesia and other hospital-based physician practices.
Settled a lawsuit against pharma-IT firm Surescripts for monopolizing the e-prescription market and raising Americans’ healthcare costs, issuing a consent order rectifying the firm’s illegal behavior that will last 20 years.
Brought a court challenge against state-issued “Certificates of Public Advantage” (COPAs) that allow health care firms to pursue anticompetitive mergers and evade antitrust law.
Alongside DOJ and HHS, launched a portal for the public to report anticompetitive healthcare practices.
Launched a cross-government inquiry with DOJ and HHS into the impact of corporate greed in healthcare, along with a request for information from the public. HHS released a report following the RFI, which found that there is increasing consolidation in health care markets, provider consolidation is leading to higher prices and less access, private equity involvement has increased, and people are dissatisfied with private insurers, particularly those that are vertically integrated.
A federal court ruled that Teva Pharmaceuticals must delist five bogus patent listings on asthma inhalers from the FDA’s Orange Book, citing the FTC’s amicus brief.
Launched an investigation into Teva’s junk patent listing because of the company’s refusal to remove over two dozen inhaler patents from the FDA’s Orange Book.
Preparing to sue PBMs for illegally maximizing profits by steering patients to more expensive drugs.
Scrutinizing DaVita and Fresenius Medical Care for utilizing non-compete agreements with their doctors in dialysis clinics to stifle competition.
Submitted a comment supporting the FDA’s proposed guidance on interchangeable biosimilar drugs. This guidance would support competition, increase patient access to biosimilars, and lower healthcare costs for patients.
Sued the Big Three pharmacy benefit managers that control 80% of prescriptions – CVS’s Caremark, Cigna’s Express Scripts, and UnitedHealth Group’s Optum – for inflating the price of insulin through anticompetitive and unfair rebate agreements with name brand drug manufacturers.
Restored the Right to Repair and Continues Whole-of-Government Advocacy
Unanimously moved to enforce the “Right to Repair” against corporations that make it difficult to repair their products.
Protected Americans from Abusive Tricks and Scams
Returned Millions to Working Americans and Curbed Subscription Traps
Finalized the “click to cancel” rule, requiring companies to make it just as easy to cancel subscriptions as it was to sign up.
Ramped-up enforcement actions to defend Americans against illegal subscription traps in response to a rising number of complaints about deceptive sign-up tactics, unauthorized charges, and ongoing billing that is impossible to cancel.
Filed suit against Amazon’s years-long effort of nonconsensually enrolling customers in Amazon Prime subscriptions and making it exceedingly difficult to cancel through its “Project Iliad.”
Ordered CreditKarma to pay $3 million to its users after the company used dark patterns to misrepresent that consumers were “pre-approved” for credit card offers and harmed their credit scores.
Under Chair Khan, returned over $900 million to working families across the country after it was stolen, swindled, or scammed from them, including:
Cracked Down on Made in America Fraud Harming Ranchers and Consumers
Defended American entrepreneurs by issuing a new rule that cracks down on false “Made In USA” labels often used by dominant meatpacking conglomerates.
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