Consumer Law Library

FTC advisory opinion digest

Opening text: fdisl'epl'esentation as to origin of flatware

73 F.T.C. 1340 · date not parsed · Digest No. 255

source volume section (73 F.T.C. 1340)

Text is machine-OCR of the printed volume and may contain errors. Advisory opinions are the Commission's views on proposed conduct, not binding orders.

No. 255. fdisl'epl'esentation as to origin of flatware. The Commission rendered an a dy isol'Y opinion toclny in regard to the proper marking of the origin of flatware which is imported in substantial part. Speeifically~ thc\ follO\\ing three questions ,"ere ruled upon by the Commission.

First, can flat,ya re ",11i('11 is gal d plated in thl:: L';"nited State's he. marketed ,yithol1t disclosing the foreign origin of the imported stainless steel blanks. if it is sold under a trade name consistin!!. of C'O1npany name suggesting domestic origin hyphenated ,yith the ,yord American 1 (The gold phting ",ill co~~t from :10-;\0 percent oJ the total cost of the finished product.

Second: if the tnl(1e name refel'l'ec1 to above in the first question is llOt, used. wiIl it- thou he IwcessalT to c1iscloscJ the foel'ign origin of the imported stalnle8s steel bJallks? Third, if a disclosure is rcr1l1ired : 1l1l1st it be stamped all the iiat,yare itsl'lf or can it be pbcecl on a sh'ing tag clthehec1 to the flnhl';ne or the container ~ In response to the TIl'st qlleshon ~ the Commission said that the use. of the proposed trade narne would constitute an ftfl11'1native representation : C'ontl'ftl'Y to fact: that the entire product was made in the United ~'tntes. Since a ::311b:)Llllh;11 portion originates in it fol'('ign ('onntry: it will then be J1Pcessary to c1en.rly disclose the country of origin of the imported stninlpsB steel blanks in immediate connection Yi'ith thE' trade name ,vl1C1'cTel' it 1S llsed. both in ndyertising and 1n lw1ing.

In response to the second anel third questions, the Commission said tlw.t disclosure of the origin of the irnported components \\ould be required eyen though the company l'lecteCl not to l1Htrkef, the flahyare nnder the proposed trnclr mane. The Commission also stated that the disclosure may be made 011 the fiat,ynn' itself. or on f\ strinp.: attached thereto, or on the containl'r. pl'O\' ic1ccl tJw (li~:dosm'e js oJ th;lt rlrp,TcC' of conspieuity and pu' maE~ ll(,Y as '."ill likely be obser\'ec1lJy- prospective pnrC'haS01'S making a caSlUl1 inspection of the merchandise priol' : not afteL the purchase. thC'reof. (File:N o. R83 7100 ~ l'elensed :JIay 30. 19G5.

No. 2:56. Use of unqualified 'Yoi'd '~Diamond" to describe abrasive discs containing other materials.

The Commission ,yns requested to n'nder an ndvisOl'Y opinion C:)lleerning tlw g:tlity oJ dpscriL)jlJg n1)1';\si\"(~ c1i;:.;C's (JI' lap:.;; eC:1\tnj 11 ill~: (lill11lf)))J ;mcl other al11' ;\81v('8 as ;:Dinmol1(l Discs.':