FOR YOUR INFORMATION...........................January 9, 1992
The Federal Trade Commission encourages the Maine
legislature to eliminate state laws that prevent optometrists
from practicing in retail settings and affiliating with
corporations because such restrictions increase costs and
restrict consumers' access to eye care without providing
countervailing consumer benefits, a Federal Trade Commission
staff member testified yesterday before the Committee on Business
Legislation of the Maine House of Representatives.
The staff comments are in response to an invitation from
Representative Patricia Stevens to testify on a bill to remove
several key restrictions on the "commercial" practice of
optometry in Maine. The FTC has studied restrictions that
prohibit optometrists from forming business relationships with
non-optometrists (for the purpose of offering eye care to the
public), from locating in mercantile locations, such as shopping
malls and inside optical stores, from owning or operating more
than one practice, and from operating under nondeceptive trade
names. L.D. 1866, now under consideration, would repeal Maine's
prohibitions against optometrists associating with other
businesses or with persons who are not optometrists, and against
encouraging the promotion of their services as part of a
mercantile or commercial establishment.
According to the staff comments, delivered by David Keniry
of the FTC's Boston Regional Office, "[s]uch restrictions on
competition have cost consumers across the country millions of
dollars annually." Restrictions on affiliations with non-
professionals and on associations with other businesses prevent
business corporations and non-optometrists from employing
optometrists, and prevent optometrists from entering into
partnerships and franchise agreements with non-optometrists.
"Such restrictions may deny optometrists access to sources of
capital and tend to inhibit the development of large-scale
practices ...," staff said. Further, staff said, "[r]estrictions
- more -
Maine Optometry Practices--01/09/92)
on these types of business formats prevent the formation and
development of forms of professional practice that may be
innovative, be more efficient, provide comparable or higher
quality services, and offer competition to traditional
providers."
The staff further stated that it supports efforts to remove
restrictions on optometrists practicing in commercial locations.
"Restrictions against such locations can raise prices to
consumers by inhibiting the formation of high-volume commercial
practice," staff said.
Staff concluded by saying, "We encourage the legislature to
take steps to remove these restraints, which impose costs on
consumers yet provide no consumer benefits."
The comments represent the views of the staff of the Boston
Regional Office and the Bureau of Consumer Protection of the
Federal Trade Commission. They are not necessarily the views of
the Commission or any individual Commissioner.
Copies of the comments are available from the FTC's Public
Reference Branch, Room 130, 6th St. and Pennsylvania Ave., N.W.,
Washington, D.C. 20580; 202-326-2222; TTY 1-866-653-4261.
# # #
MEDIA CONTACT: Brenda A. Mack, Office of Public Affairs,
202-326-2182
STAFF CONTACT: David Keniry, Boston Regional Office,
10 Causeway Street, Room 1184
Boston, Massachusetts 0222-1073
617-565-7240
(MA-Opt)