Date: 1987-10-07
Speaker: THOMAS A. LUKEN (democrat)
Chamber: H

Mr. Chairman. I move to strike the requisite number of words. I rise in opposition to the amendment. Mr. Chairman. there is one salient point that I do not think has been made here today and has been confused even a little in the debate. when earlier I think the speakers on the other side suggested that this was a contest not only between committees. but between executive agencies. As a matter of fact. as we all know. the Federal Trade Commission is an independent agency. You might consider it an arm of the Congress. rather than an executive agency. and as such it provides a certain continuity. It is not just by happenstance that the Federal Trade Commission has these crucial jurisdictions of consumer protection. and in this case of overseeing false and deceptive advertising. so that is not the issue. deciding between committees. but between the agencies. if we are forced to that. it would have to come. although as we have pointed out on this side it is true that we are not really changing anything. They have had overlapping jurisdictions. and all we are doing in this is to say to the two agencies to sit down and work it out. and obviously the proper place for the advertising is in the Federal Trade Commission. So if there is that choice to be made. we go for the independent agency with the continuity. the Federal Trade Commission. Another argument has been made which shows the desperation of those on the other side. and that is the argument that somehow this is a matter of safety. as if advertising had something to do with safety. Well. if it does. they have ignored the fact that the FDA and the FTC. and I think the FDA. the Food and Drug Administration. has more than a little to do with safety. The FDA and the FTC have a written memorandum of understanding and agreement on their joint overseeing of the jurisdiction of the FDA with the FTC controlling the advertising. . It is also true informally that the FTC works with NITSA in another area just slightly involved in safety. Another one is the Bureau of Alcohol. Tobacco and Firearms and the Consumer Product Safety Commission. so there is ample support for exactly what we are doing here. the logical thing to do. and that is where there are overlapping jurisdictions. as there are. that we tel I the agencies to sit down and do the logical thing and say to the agency with the expertise. the history of overseeing consumer affairs. "You look after the advertising." As a matter of fact. the bill. the socalled Airline Passenger Protection Act that passed here and it came from the Public Works Commission really Just takes a dab. it just makes a feint at the question of advertising. It does not say. as the bill does here. that the FTC should go into rulemaking and should look at the whole subject of unfair and deceptive acts and practices and specifically to include a full and conspicious and understandable disclosure of the limitations and other restrictions. That is a general and a specific injunction in our bill to the FTC to control advertising in a logical and protective way. protective for the consumer. On the other hand. the socalled Airline Passenger Protection Act has a very scant reference to advertising. and all it does as it says that such promotion. advertising for tickets. should show whether the flights are available. whether the seats are available. That is a very limited application. It does not get into. for example. the false and deceptive advertising which is so prevalent with regard to packages. A member of our staff called just today about an ad in the New York Times and called the airline and said they wanted to take advantage of this package to Hawaii. Well. my staff was advised. "You cant get on this package until youve got reservations in the hotel." and then she was advised that there are no reservations in the hotel in Hawaii. and by the time there are reservations in the hotel available. then the bargain offered has already expired. That is what we have been finding. That is what the gentleman from Minnesota found when he made the call. We only made these calls pursuant to consumer complaints. consumers who have testifed before the committee.