On the Dash; FTC will no longer pursue disparate-impact claims under its stated Section 5 policy. Certain dealer compliance obligations tied to past disparate-impact analyses are being modified. ECOA disparate-treatment enforcement remains in place. The Federal Trade Commission (FTC) announced on Friday, August 7, 2026, that it will no longer pursue legal claims based on disparate-impact or “unfair discrimination” theories under Section 5 of the FTC Act. As part of this policy shift, the Commission modified existing compliance obligations for three automotive businesses previously subject to statistical disparate-impact requirements. The FTC voted 2-0 to approve the policy statement following a 2025 executive order that instructed federal agencies to limit disparate-impact…
