- FTC Chairman Andrew Ferguson sent warning letters to four major payment companies, warning that cutting off or deplatforming customers could violate Section 5 of the FTC Act.
- In the letters, Ferguson says publicly reported concerns suggest some payment companies have denied customers access to services because of their political or religious views, contrary to their terms of service.
- He argues that such conduct may be unfair under the FTC Act because it can inflict substantial harm consumers cannot reasonably avoid, particularly where the speech or activity that triggered the adverse action has no logical connection to the customer’s commercial relationship with the company.
- Ferguson warned that refusing, suspending, or withdrawing services in ways that are inconsistent with a company’s terms of service or otherwise unfair could lead to FTC investigations and potential enforcement. In the letters to card-network companies, he also warned against facilitating similar conduct by member financial institutions.