When a licensee is sued by the Federal Trade Commission, it is usually for?

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The Federal Trade Commission (FTC) primarily focuses on protecting consumers and promoting competition in the marketplace. When a licensee is sued by the FTC, it is often related to violations of antitrust laws. These laws are designed to prevent anti-competitive practices such as price fixing, monopolies, or any unfair competition that could harm consumers or other businesses.

In the real estate industry, licensees must avoid colluding with other agents or businesses to manipulate market prices, which would violate these antitrust provisions. The enforcement of these laws is crucial as it maintains a fair competitive environment, promoting healthy business practices and protecting consumer rights.

The other choices, while relevant to the responsibilities of real estate licensees, typically fall under different regulatory bodies or legal considerations. Issues like acting without a license or failing to follow proper renewal procedures pertain more to state regulatory concerns and licensing requirements rather than the broad consumer protection focus of the FTC. Violations of fair housing laws are generally handled by the Department of Housing and Urban Development (HUD) rather than the FTC, which focuses on market competition practices.

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