5th Circuit Holds FTC In-House Adjudication of Deceptive Advertising Claims Unconstitutional Under Jarkesy

This article analyzes a U.S. Court of Appeals for the 5th Circuit decision holding that the Federal Trade Commission’s in-house adjudication of deceptive advertising claims violated the constitutional separation of powers under SEC v. Jarkesy. Focusing on the FTC’s enforcement action involving Intuit and TurboTax advertising, the piece examines the court’s analysis of the public-rights exception and the role of Article III courts in agency enforcement actions. The article also reviews potential implications for FTC administrative proceedings, constitutional challenges to agency adjudication and future enforcement actions involving deceptive advertising and consumer protection claims. Readers will gain insight into recent developments in administrative law and regulatory litigation involving federal agency enforcement actions.