Antitrust Law Daily Wrap Up, CONSUMER PROTECTION NEWS: FTC Proposes to Align the Fur Labeling Rule Guarantee Provisions with Textile Rules, (Jun 19, 2013)

By William Zale, J.D.

The FTC is seeking public comment on proposed changes to the guaranty provisions of the Fur Rules, under the Fur Products Labeling Act. These changes would align the Fur Rules with proposed changes to the guaranty provisions of the Rules under the Textile Fiber Products Identification Act.

The Fur Rules require manufacturers and retailers to label fur products with certain information, such as the animal’s name and an imported fur’s country of origin. The Textile Rules require that certain textiles sold in the United States carry labels disclosing the generic names and percentages by weight of the fibers in the product, the manufacturer or marketer name, and the country where the product was processed or manufactured.

The Fur and Textile Acts shield entities that obtain guaranties from product providers from liability—guaranties that designate particular products, and continuing guaranties that apply to all products transferred from a particular guarantor. The guaranty protections apply only to entities that receive a guaranty in good faith. The FTC has proposed changes to the Textile Rules that are similar to these proposed Fur Rules changes.

In September 2012, the FTC proposed changes addressing other issues in the Fur Rules. The FTC will seek comment on the proposed changes to the Fur Rules’ guaranty provisions before finalizing the changes proposed in September 2012, and then publish a single document announcing all Fur Rules changes at once in order to help businesses understand their compliance obligations.

Comments may be submitted online and must be received by July 23, 2013. The Commission vote approving the Notice of Proposed Rulemaking was 4-0.

News: ConsumerProtection FederalTradeCommissionNews