Federal Trade Commission v. Amy Travel Service, Inc.

Amy Travel Service, Inc. (defendant) telemarketed travel certificates for $289 to $329 using a confusing, evasive sales script designed to get customers to give up their credit card numbers, marketing the certificates as covering a full vacation package while later hitting purchasers with unexpectedly expensive airfare charges that in some cases far exceeded conventional travel-agency prices. The FTC (plaintiff) sued in federal district court alleging unfair and deceptive practices under section 5 of the FTC Act and sought an injunction, rescission, an asset freeze, and consumer restitution; the district court granted all the relief requested, and Amy Travel appealed, arguing the court lacked authority to award monetary equitable relief.