FTC Announces End to Disparate Impact Claims Enforcement

The Federal Trade Commission announced a new policy, ceasing its pursuit of claims based on disparate-impact or "unfair discrimination" theories. Chairman Andrew N. Ferguson stated such claims are difficult to reconcile with the Constitution and could prompt race-based business decisions. This shift, influenced by a previous Trump executive order, aims to eliminate disparate-impact liability, potentially altering discrimination enforcement while disparate-treatment claims persist.