Fired FTC Commissioners and the Need for Judicial Temperament

By Paul Steidler: The judicial and public prestige of the Federal Trade Commission (FTC) took another hit yesterday and it is not because President Trump fired the two Democrat commissioners.

The firings are the culmination of a meltdown that has been brewing since June 15, 2021, when Lina Khan became Chair of the FTC. Her two chief lieutenants, Commissioner Alvaro Bedoya and Rebecca Kelly Slaughter, got the ax yesterday.

Khan injected emotion, drama, and public attacks on businesses and business leaders like no other FTC Chair in its 111-year history. She was a media sensation and, as one of her subordinates described her to The Wall Street Journal, the “tip of the spear” for pushing the Biden Administration’s most progressive policies.

Khan’s biggest accomplishment was spreading the virus of political hackery throughout a highly respected, bipartisan body of consensus-building and independent thought. The Khan FTC showed minimal temperance in its aggressive legal actions and statements. Commissioners Bedoya and Slaughter built on this by sending a nasty, open letter to Andrew Ferguson after he was named FTC Chair by President Trump on December 10.

So, it is not surprising that President Trump would fire Commissioners Bedoya and Slaughter to test his legal authority to remove independent commissioners who are part of the executive branch.  

And this matter will be litigated. Alvaro Bedoya tweeted, “The president just fired me. This is corruption plain and simple.”

Tim Wu, who served as President Biden’s Special Assistant for Technology and Competition Policy, tweeted, “Firing FTC Commissioners is a direct insult to Congress and the Supreme Court. If they stand for anything, now is not the time to roll over and play dead.” Senator Amy Klobuchar called it outrageous, illegal, and harmful to consumers.

Whatever the courts rule on Bedoya and Slaughter, it is time to fix the FTC, return it to its core mission, and even make it boring but effective again.

The FTC’s legal actions, including decisions to sue, not sue, or settle, should be grounded in practical assessments of what is legal and what is best for consumers. The agency cannot do everything, especially at a time of significant budget constraints, and should be practical in determining its agenda. Tweets should become less important and legal analyses should be given greater weight. Political theatre needs to be cast aside once and for all.