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Southwest Sunsites, Inc. v. Federal Trade Commission
United States Court of Appeals for the Ninth Circuit
785 F.2d 1413 (1986)
The Federal Trade Commission (FTC) (plaintiff) lodged a complaint against Southwest Sunsites, Inc. (defendant) for violations of the Federal Trade Commission Act. The administrative law judge (ALJ) dismissed the complaint. The FTC reversed and issued a cease and desist order. In reaching its decision, the FTC employed a new deception standard, one that imposed a greater burden of proof on the FTC than the one used by the ALJ. Southwest Sunsites appealed the FTC’s finding, arguing that the agency’s application of a new deception standard violated the Administrative Procedures Act (APA).
Rule of Law
Holding and Reasoning (Beezer, J.)
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