Federal Trade Commission v. Texaco, Inc.

In this case the Federal Trade Commission entered a cease-and-desist order prohibiting Texaco, Inc., and the B. F. Goodrich Company from participating in any sales-commission program for the distribution of tires, batteries and accessories. The Court of Appeals set the order aside and remanded to the Commission with instructions to dismiss the complaint. The court held, first, that Chairman Dixon was disqualified from participating in the decision because he had indicated in a speech made while the case was pending that he had prejudged it. The majority of the court held, further, that the…