In the modern world, business has come up with many ways of persuading their target customers to engage with their products and services. One of those ways is the use of commercial speech, and according to the US Supreme Court, the term is defined as an economic speech or writing that is intended to propose a commercial transaction with an intent of making a profit. Businesses have a right to steer commercial speeches; advertisements in the best way possible to make the most profits. However, there are set state regulations and stipulations that these businesses should adhere to when making advertisements. This paper will outline the role played by Federal Trade Commission in regulating commercial speech and the kind of actions it takes to enforce their rules.
Role of FTC in Regulating Commercial Speech and How It Enforces Rules
The FTC is an independent US agency that was established in 1914 by the Federal Trade Commission Act (Guth and Marsh, 2012). The agency ensures the protection of consumers by averting deceptive, anticompetitive and unethical business activities in the field of consumer credit practices, marketing, and advertising. It enhances informed choices by the consumers as well as making clear the competitive process in the field of business. The FTC initiates investigations against businesses, companies, and organizations that unfairly engage in deceptive or unethically competitive practices in relation to advertising (Guth and Marsh, 2012). The agency has the responsibility of enforcing several consumer protection and antitrust laws to ensure that the market is vigorous and free of any undue restrictions. It, therefore, works with various agencies to combat potentially unsafe products and marketing fraudulent.
The FTC has no mandate to punish entities found the quality of various offenses that it monitors. In order to enforce its rules, it can file civil suits in the district court which then imposes fines to companies and individuals who violate the given court orders. It can monitor compliance by comparing various company practices against the set trade laws, and by issuing cease-and-desist orders that are given to businesses in case they are found guilty of the advertisement felony (Guth and Marsh, 2012). It can also enforce the rules by convening public hearings to address and inform people on how to stop, spot and avoid scam and their rights regarding commercials.
FTC understands the importance of collaborating with other people and agencies to ensure that its rules are effectively enforced. It collaborates with Food and Drug Administration (FDA) to combat duplicitous products on the internet by providing joint letters of warning (Guth and Marsh, 2012). It funds interest and consumer groups that wish to participate in the rule-making process and also takes serious various referrals from community-based groups for non-compliance and non-participation for self-regulatory agencies and groups.
Conclusion
FTC plays a major role in protecting the US citizens not only in the country’s jurisdictions but also globally. By monitoring and censoring various commercials aired on various platforms like televisions, radios and from internet sources, it ensures that everyone’s safety is well taken care of. People, especially commercials are more likely to engage in malpractices all in the name of luring more people to purchase their products. Even though commercials are provided for in the various law amendments. Thought ought to be within the law otherwise innocent people may end up facing bitter consequences. FTC, by performing their duties and collaborating with various agencies, organizations ensure that no commercial malpractice go unnoticed.
References
Guth, David W, and Charles Marsh. Public Relations. 5th ed., Pearson/Allyn And Bacon, 2012.
