FTC v. Walmart

Court: U.S. Court of Appeals

Date: 2023

Issue on Appeal: Whether the Federal Trade Commission can hold retailers liable under the FTC Act for third-party fraud conducted through money transfer services, including whether retailers have a duty to monitor and prevent fraudulent activity by third parties.

RLC’s Position: The RLC argues that expanding liability to retailers for third-party fraud exceeds the statutory limits of the FTC Act and would impose unworkable compliance burdens. Retailers facilitate lawful transactions but do not control or direct third-party conduct. Imposing liability without clear statutory authority would create uncertainty, increase costs, and discourage retailers from offering valuable consumer services. Clear limits on liability are necessary to preserve efficient commerce and prevent overreach in enforcement.

Other Amici: Chamber of Commerce of the United States and other business organizations.

Counsel: Counsel from national appellate and regulatory practices representing amici curiae.