In a move that could reshape tech regulation, President Trump has terminated the appointments of Democratic FTC commissioners Alvaro Bedoya and Rebecca Slaughter.
This leaves the Federal Trade Commission with only two sitting commissioners: Republicans Andrew Ferguson (Chairman) and Melissa Holyoak. Their previously expressed views suggest potential shifts in key policy areas.
Key Areas of Potential Change:
- Non-Compete Agreements: Ferguson and Holyoak dissented from the FTC’s recent ban, arguing for consideration of specific circumstances where these agreements may be necessary. This could lead to easier enforcement for tech companies.
- Right to Repair: Both commissioners also opposed the FTC’s stance against John Deere’s repair restrictions, questioning the evidence supporting the monopoly claim.
- Social Media Regulation: Ferguson has voiced interest in antitrust investigations of social networks, focusing on censorship concerns.
- Mergers: Holyoak and Ferguson have shown a willingness to approve large mergers, contrasting with the previous administration’s push for increased competition.
The legality of these dismissals is under debate, referencing a 1935 Supreme Court case that allows presidential removal for “inefficiency, neglect of duty, or malfeasance.”
Reactions to the Firings:
Bedoya stated, “The President just illegally fired me. This is corruption plain and simple,” accusing Trump of seeking to turn the FTC into a “lap dog.” Slaughter echoed these concerns, warning of unrestrained power for corporations.
Consumer Reports criticized the move, with Justin Brookman stating, “this action jeopardizes the legitimacy of the agency.”
The situation is further complicated by Geoffrey Starks’ upcoming resignation from the FCC, potentially leaving that agency also with a Republican majority.