Business Law | Chapter 44

Consumer Protection Laws

Federal and state statutes and regulations that promote product safety and prohibit abusive, unfair, and deceptive business practices

U.S. Department of Agriculture (USDA)

A federal cabinet-level department that is primarily responsible for regulating meat, poultry, and other food products

Organic Foods Protection Act (OFPA)

A federal statute that establishes a program for producers and handlers of agricultural foods produced using organic methods to be certified as organic.

Food, Drug, Cosmetic Act (FDCA or FDC Act)

A federal statute that provides the basis for the regulation of much of the testing, manufacture, distribution, and sale of food, drugs, cosmetics, and medicinal products.

Food and Drug Administration (FDA)

A federal administrative agency that administers and enforces the federal Food, Drug, and Cosmetic Act and other federal consumer protection laws.

Food

Under FDCA, the FDA ensures the safety of food products. The FDA also regulates food labels and prohibits any labels that may be misleading

Drug

The Drug Efficacy Amendment of the FDCA give the FDA the authority to approve and license drugs for distribution

Cosmetics

The FDA requires that cosmetic companies disclose the ingredients in their cosmetic products and include warnings for any ingredients that can be hazardous

Consumer Product Safety Act

Legislation that creates product safety standards for various consumer goods; enforced by the Consumer Product Safety Comission

Nation Traffic and Motor Vehicle Safety Act

Legislation that regulates and ensures the safety of different types of motor vehicles; enforced by the National Highway Traffic Administration

Unfair Compensation Laws

The Federal Trade Act prohibits “unfair methods of competition and unfair or deceptive acts or practices.

The Federal Trade Commissions focuses on prohibiting misleading, deceptive, or false advertising.

State Consumer Protection Laws target…

Deceptive advertisements and unfair practices within a state