CVT calls for comments in defense of voluntary ethics codes

Citizens for Voluntary Trade is calling on all interested parties and professional organizations to oppose the Federal Trade Commission's decision to prosecute a private association for trying to maintain professional standards.

FOR IMMEDIATE RELEASE
September 26, 2002

Contact: S.M. Oliva
Tel: (202) 223-0071
E-mail: smoliva@voluntarytrade.org

Washington, DC-Citizens for Voluntary Trade today called upon professional membership organizations and interested individuals to oppose a Federal Trade Commission decision to prosecute the American Institute for Conservation of Historic and Artistic Works (AIC) over the group's voluntary ethics code.

"The FTC, once again, is acting to undermine the competitive marketplace by fixating on hypoethetical scenarios that may increase consumer prices," CVT President S.M. Oliva said. "The FTC ignores the fact that voluntary ethics codes often ensure a higher-quality product to consumers of professional services."

According to the FTC, AIC broke the law by inserting a clause in their ethics code that states, "the consistent undercutting of local or regional market rates should be understood to be unprofessional behavior." In other words, said Oliva, "the FTC is attacking professionals for acting like professionals."

"AIC, like many professional associations, seek to promote a premium level of service through voluntary ethics codes. These standards do not have the force of law, and the only consequence for ignoring them are the judgment of one's peers. The FTC cannot outlaw peer pressure."

Copies of AIC's settlement with the FTC are available on CVT's website (www.voluntarytrade.org). Opponents of the FTC's actions can submit comments for the official record via e-mail to consentagreement@ftc.gov.

Citizens for Voluntary Trade is a nonprofit association dedicated to defending individual economic rights. CVT educates the public on matters related to antitrust and government interference in the economy.