Administrative Law Keyed to Lawson
FTC v. Standard Oil Company of California
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The FTC’s complaint was issued under Section:5 of the Act, which authorized the Commission to serve its complaint and notice of a hearing if it had “reason to believe” the company was “using any unfair method of competition or unfair or deceptive act or practice in or affecting commerce.” Soscal’s complaint in District Court alleged that the Commission had issued its complaint without having reason to believe Soscal was violating the Act. In short, Socal claimed that political pressure for a public explanation of the gasoline shortages of 1973 forced the Commission to issue a complaint against the major oil companies, despite insufficient investigation. The District Court dismissed the complaint, but the Court of Appeals reversed.
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