Challenging Overbroad FTC Subpoenas and CIDs

Dealing with a subpoena or civil investigative demand (CID) from the Federal Trade Commission can be intimidating. These information requests can seem incredibly broad, seeking huge amounts of irrelevant information. Fortunately, there are ways to fight back against overbroad FTC subpoenas and CIDs. This article will explain common grounds for challenging FTC information requests, and provide tips for limiting their scope.

What are FTC Subpoenas and CIDs?

The FTC has the power to issue subpoenas and CIDs during investigations into potential violations of consumer protection or antitrust laws. A subpoena requires a person or company to testify or provide documents. A CID is a written request for information or documents.

Both subpoenas and CIDs can require producing huge amounts of information. The FTC may claim this broad information is “relevant” to an investigation. But companies often argue the FTC’s requests are a “fishing expedition” for irrelevant information.

Common Grounds for Challenging Overbroad FTC Information Requests

If you receive an overly broad FTC subpoena or CID, don’t just comply without question. You have the right to challenge the scope of the information request. Some common grounds for challenging overbroad FTC subpoenas and CIDs include:

• The information request seeks data outside the scope of the FTC’s investigation
• The requests are vague and ambiguous
• Producing all the information would be unduly burdensome
• The subpoena or CID infringes on constitutional rights or privileges

Companies have used these arguments to successfully limit overbroad FTC subpoenas. For example, in Fully Accountable LLC vs. FTC, Fully Accountable petitioned to quash a CID as overly broad. The company argued the CID sought information outside the scope of the FTC’s original investigation. The FTC ultimately modified the CID to address these concerns.

Tips for Challenging Overly Broad FTC Information Requests

Here are some tips for challenging overbroad FTC subpoenas or CIDs:

1. Act quickly. There are short deadlines, often only 20 days, to petition to limit or quash a subpoena or CID.
2. Try negotiating first. Contact the FTC attorney handling the investigation and explain issues with the requests. They may agree to modify the subpoena.
3. Clearly explain how the requests are overbroad. Give concrete examples of irrelevant information demanded.
4. Propose limiting language. Suggest ways to narrow the requests to relevant information.
5. Argue the burden outweighs any benefit. Explain how producing all the information would disrupt your business.
6. Consider hiring an attorney. An experienced lawyer can negotiate with the FTC and file a petition to limit the subpoena or CID.

The first step is usually to file a petition to limit or quash the subpoena or CID. This challenges the validity of the information request. The petition gets decided by the full Federal Trade Commission.

If the FTC denies a petition, you can still try negotiating with staff attorneys. For example, in Retail Services & Systems Inc. vs. FTC, Retail Services petitioned to quash a CID as overbroad. The FTC denied the petition. But FTC staff later agreed to modify the CID by narrowing certain requests.

Get Legal Help Fighting Overbroad FTC Information Requests

Dealing with an FTC investigation can be intimidating for any business. Don’t let an overbroad subpoena or CID force you to turn over huge amounts of irrelevant information. Consider hiring an experienced attorney to help negotiate reasonable limits on the requests.

An attorney experienced in this area can argue to the FTC that the information requests are overbroad. They will explain precisely how the subpoena or CID exceeds the proper scope of the investigation. In many cases, the FTC will agree to modify overbroad requests rather than fight it out in court.

With an attorney’s help, you can stand up to the FTC instead of just complying with unreasonable demands. This can save you time and resources while protecting your legal rights. Don’t let an overbroad FTC subpoena or CID disrupt your business. Fight back with experienced legal counsel on your side.