Sec. 5. Unfair and deceptive acts and practices regarding diplomas and professional certifications
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Not later than 180 days after the date of enactment of this Act, the Federal Trade Commission shall initiate a rulemaking to define as an unfair and deceptive act or practice under section 18 of Federal Trade Commission Act ( 15 U.S.C. 57a ) the following: The issuing of a degree, diploma, certificate, or any similar document by an entity that is not recognized as a legitimate postsecondary degree-granting institution by the Secretary of Education, if such degree, diploma, certificate, or similar document misrepresents, directly or indirectly, the subject matter, substance, or content of the course of study or any other material fact concerning the course of study for which such degree, diploma, certificate, or similar document was awarded.
The offering or conferring of an academic, professional, or occupational degree if the entity offering or conferring the degree— is not an institution of higher education; or is not accredited by— a nationally recognized accrediting agency or association recognized by the Secretary of Education pursuant to part H of title IV of the Higher Education Act of 1965 ( 20 U.S.C. 1099a et seq. ); or an accrediting agency or association that is recognized as a legitimate accrediting agency or association for any purpose by any appropriate Federal agency or by the Council for Higher Education Accreditation, unless the entity offering or conferring such a degree clearly and conspicuously discloses, in all advertising and promotional materials that contain a reference to such a degree, that the awarding of the degree has not been so authorized or that the entity offering or conferring the degree has not been so approved or recognized.
The claiming or asserting in any advertisements or promotional material of an entity offering or conferring an academic, professional, or occupational degree, that such entity has— an accredited status unless it holds accreditation from an accrediting agency that is recognized by the Secretary of Education or the Council for Higher Education Accreditation, or is recognized for any purpose by any appropriate Federal agency; or an unaccredited, but approved status that misrepresents, directly or indirectly, the nature, extent, or credibility of such approval.
The issuing of any accreditation, including institutional, programmatic, or specialized accreditation, to any degree-granting institution by any entity that is not recognized for accreditation purposes by the Secretary of Education, any other appropriate Federal agency, or the Council for Higher Education Accreditation. The Commission shall issue final rules under this section not later than 18 months after the date of enactment of this Act. In administering and enforcing the rule required under subsection
(a), the Federal Trade Commission shall report regularly to the Secretary of Education any information regarding entities which the Commission knows or suspects to be in violation of such rule. The Secretary of Education shall make available to the general public, in paper and electronic forms, the information reported to the Secretary in accordance with paragraph
(1).
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Sec. 5
Unfair and deceptive acts and practices regarding diplomas and professional certifications
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