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US FTC Section 5 - Unfair or Deceptive Acts in AI-Powered Digital Advertising and Commerce

Section 5 of the Federal Trade Commission Act (15 U.S.C. § 45) prohibits unfair or deceptive acts or practices in commerce. The FTC has issued specific…

What US FTC Section 5 - Unfair or Deceptive Acts in AI-Powered Digital Advertising and Commerce requires

Section 5 of the Federal Trade Commission Act (15 U.S.C. § 45) prohibits unfair or deceptive acts or practices in commerce. The FTC has issued specific guidance on AI use in advertising (FTC Guidance 2023) and dark patterns, and brought enforcement actions against misleading AI product claims, fake reviews, and AI-generated endorsements without disclosure. The FTC endorsement guidelines (16 CFR Part 255) were updated in 2023 to address AI-generated content.

Pillar: Competition & Antitrust · Authority: Federal Trade Commission (FTC) · Version: 1.0.0 · Last updated:

Primary source: https://www.law.cornell.edu/uscode/text/15/45

SHA-256 integrity: 1db6f1543d951055f5ebe46ca67b0ea50a4cd59e8d10eb74ef406763debdcf82

Primary Citations — 5 traced to source

  • {"title":"FTC Act Section 5 - Unfair or Deceptive Acts or Practices","url":"https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title15-section45&num=0&edition=prelim","section":"15 U.S.C. § 45 - Prohibition on unfair or deceptive acts in commerce"}
  • {"title":"FTC Endorsement Guides 16 CFR Part 255 (2023 Update)","url":"https://www.ecfr.gov/current/title-16/chapter-I/subchapter-B/part-255","section":"Clear and conspicuous disclosure for AI-generated endorsements and material connections"}

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