Administrative Opinions and Rulings, Use of Symbols and Names Having Fur-Bearing Animal Connotations in Labeling Textile Fiber Products
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Title 16— COMMERCIAL PRACTICES Chapter I— Federal Trade Commission SUBCHAPTER A— PROCEDURES AND RULES OF PRACTICE PART 15— ADMINISTRATIVE OPINIONS AND RULINGS Use of Symbols and Names Having Fur-Bearing Animal Connotations in Labeling Textile Fiber Products § 15.351 Use o f sym bols and nam es having fur-bearing anim al connota tions in labeling textile fiber prod ucts.
(a) The Commission was requested to render an opinion with respect to the labeling of textile fiber products manu factured so as to simulate a fur or fur product.
(b) The requesting party proposed to use a word closely resembling the name 0l_a fur-bearing animal, the fur from which is commonly used in the manu facture of garments, in association with a fabric simulating that fur. f ^ Commission's view, the use of the proposed term to describe such a fabric would probably violate the Textile ^r0 due ts Identification Act and/or “ at part of section 5 of the Federal jade Commission Act which makes de- >_? acts or Practices in commerce unlawful.
f t * * 717> 0s amended; 15 U.S.C. 41-58; '«Stat. 1717; 15 U.S.C. 70) Issued: July 2,1969.
By direction of the Commission. [sieal] J oseph W. Shea, Secretary.
•R. Doc. 69-7809; ' Filed, July 2, 1969; _________ 8:45 a.m.] Vlce Chairman Murphy dissented. PART 15— ADMINISTRATIVE OPINIONS AND RULINGS Stereo Tape Cartridge Club; Consumer Credit Regulations Will Apply § 15.352 Stereo tape cartridge club;
c o n s u m e r credit regulations will apply.
(a) The Commission issued an advisory opinion in response to an application from a businessman who proposed to organize a stereo tape cartridge club. (b) The Commission wrote the applicant:
(1) “You state that the idea of the club is to allow club members to exchange ten tape cartridges per month. A mem bership will cost $480, to be paid in 30 monthly installments of $16 each. That meets the definition of consumer credit which is credit offered or extended to a person primarily for personal, family, household, or agricultural purposes and for which a finance charge is imposed or which is repayable in more than four installments.
(2) “Enclosed for your guidance is a copy of the Federal Reserve press re lease of February 7, 1969, containing Regulation Z issued under the Truth In Lending Act. With some exceptions, the Federal Trade Commission has the prin cipal enforcement duties. The Commis sion points out that all relevant provisions must be complied with by any one extending or arranging for consumer credit. A potential club member in your program is entitled to full disclosure of all financial arrangements, including the fact that a third party may hold the promissory note for collection. (3) “In addition to your straight re tail memberships, you contemplate a ‘cooperative’ membership to be offered in return for certain promotional coopera tion. The Commission invites your atten tion to the enclosed copy of the Commis sion’s Guides Against Deceptive Pricing, effective since January 8, 1964. You will note that it might be an actionable de ceptive practice prohibited by law to identify a commodity as having a certain retail value unless that is a price at which identical commodities have in fact been sold in substantial quantities. No conclusion of legality or illegality is pos sible in the instant matter on the basis of the brief information you have submitted.
(4) “Further, you are advised that it might also be an actionable deceptive practice prohibited by law to fail to fully inform a potential club member not only about all financial arrangements and the accurate retail value of the car tridge player but also about the nature and function of the player; e.g., is the player a self-contained playing machine or does it need an amplifier and speakers to render performance? (5) “For postal regulations, you should consult your local postmaster.” (38 Stat. 717, as amended; 15 U.S.C. 41-58) Issued: July 2,1969.
By direction of the Commission. [seal] J oseph W. Shea, Secretary.
[F.R. Doc. 69-7808; Filed, July 2, 1969; 8:45 am.]