Subscription And Mailorder Book Publishing Industry
16 CFR Part 150 · Trade practice rules · in the Code of Federal Regulations 1969-1969 (1 annual editions)
Scanned CFR pages, OCR text may contain errors; the linked Library of Congress PDF is the authority. Not legal advice; not affiliated with the FTC. These rules and guides are historical: most were rescinded or replaced, so do not assume any is in force.
Latest edition: Library of Congress, 1969 CFR · Earliest edition: 1969 CFR
Decisions that mention this industry's rules (3)
Text (1969 edition, OCR)
Title 16—Commercial Practices (This book contains Part 150 to End) CHAPTER I—Federal Trade Commission (Continued) . . . . .. . 150 CHAPTER I—FEDERAL TRADE COMMISSION (Continued) (Part 150 to End) SUBCHAPTER B—TRADE PRACTICE CONFERENCE RULES (continued) Part 150 152 154 155 157 158 160 161 162 163 164 165 166 167 168 169 170 171 172 173 174 175 176 177 179 180 181 182 Subscription and mail order book publishing industry. Hosiery industry. Luggage and related products industry. Rayon and silk dyeing, printing, and finishing industry. Catalog jewelry and giftware industry. Musical instrument and accessories industry. Water heater industry. Razor and razor blade industry. Wood cased lead pencil industry. Button jobbing industry. Low pressure refrigerants industry. Artificial limb industry. Piston ring industry. Construction equipment distributing industry. Wholesale confectionery industry (Philadelphia trade area). Masonry waterproofing industry. Trade practice rules respecting the terms “waterproof,” “shockproof,” “nonmagnetic,” and related designations, as applied to watches, watch- cases, and watch movements. Household fabric dye industry. Vertical turbine pump industry. Doll and stuffed toy industry. Watch case industry. Office machine marketing industry. Wholesale confectionery industry. Hand knitting yarn mdustry. Trade pamphlet binding industry of the New York City trade area. Rayon, nylon and silk converting industry. Handkerchief industry. Yeast industry. Part 183 185 186 188 189 190 191 192 193 194 195 196 197 198 199 200 201 202 205 206 207 209 210 211 212 213 214 215 216 217 218 219 220 221 222 223 224 225 226 227 228 229 230 231 232 Title 16—Chapter 1 Oil heating industry of the New England States. Peat industry. Candy manufacturing industry. Tie fabrics industry. Fine and wrapping paper distributing industry. Shoe finders industry. Venetian blind industry. Optical products industry. Slide fastener industry. Cocoa and chocolate industry. Bedding manufacturing and wholesale distributing industry. Parking meter industry. Relating to the sale and financing of motor vehicles. Milk bottle cap and closure industry. Canvas cover industry. Feather and down products industry. Seam binding industry. Sun glass industry. Upholstery and drapery fabrics industry. Gladiolus bulb industry. Narrow fabrics industry. Grocery industry. Commercial and industrial floor and vacuum machinery industry. Set-up paper box industry. Public refrigerated storage industry. Industrial bag and cover industry. Hearing aid industry. Portrait photographic industry. Millinery industry. Cedar chest manufacturing industry. Photoengraving industry of the Southeastern States (Virginia, North Carolina, South Carolina, Georgia, Florida, Tennessee, Alabama, and Mississippi) Waterproof paper industry (asphaltic type). Library binding industry. Cosmetic and toilet preparations industry. Chemical soil conditioner industry. Orthopedic appliance dustry. Fire extinguishing appliance industry. Tobacco smoking pipe, and cigar and cigarette holder industry. Fountain pen and mechanical pencil industry. Wholesale plumbing and heating industry. Tire advertising and labeling guides. Gudies for advertising fallout shelters. Guides for advertising shell homes. Guides for shoe content labeling and advertising. Guides for advertising radiation monitoring instruments. Part 233 234 235 236 237 238 239 240 242 244 245 248 Title 16—Chapter | Guides against deceptive pricing. Guides for the mail order insurance industry. Guides against deceptive labeling and advertising of adhesive composition, Guide for avoiding deceptive use of word “mill” in the textile industry. Guides against debt collection deception. Guides against bait advertising. Guides against deceptive advertising of guarantees. Guides for advertising allowances and other merchandising payments and services; compliance with sections 2(d) and 2(e) of the Clayton Act, as amended by the Robinson-Patman Act. Guide against deceptive use of the word “free” in connection with the sale of photographic film and film processing service. Guides for the Greeting Card Industry relating to discriminatory practices. Guides for the Watch Industry. Guides for the Beauty and Barber Equipment and Supplies Industry. SUBCHAPTER C-—-REGULATIONS UNDER SPECIFIC ACTS OF CONGRESS 300 301 302 303 310 400 401 402 403 404 405 406 408 410 412 413 414 Rules and regulations under the Wool Products Labeling Act of 1939. Rules and regulations under Fur Products Labeling Act. Rules and regulations under Flammable Fabrics Act. Rules and regulations under the Textile Fiber Products Identification Act. Quantity limit rules under section 2 (a) of the Clayton Act as amended by the Robinson-Patman Act. SUBCHAPTER D—-TRADE REGULATION RULES Advertising and labeling as to size of sleeping bags. Misuse of “automatic” or terms of similar import as descriptive of house- hold electric sewing machines. Deception as to nonprismatic and partially prismatic instruments bemg prismatic binoculars. Deceptive use of “leakproof,” “guaranteed leakproof,” etc., as descriptive of dry cell batteries. Deceptive advertising and labeling as to size of tablecloths and related products. Misbranding and deception as to leather content of waist belts. Deceptive advertising and labeling of previously used lubricating oil. Unfair or deceptive advertising and labeling of cigarettes in relation to the health hazards of smoking. Deceptive advertising as to sizes of viewable pictures shown by television receiving sets. Discriminatory practices in men’s and boy’s tailored clothing industry. Failure to disclose that skin irritation may result from washing or handling glass fiber curtains and draperies and glass fiber curtain and drapery fabrics. Deception as to transistor count of radio receiving sets, including transceivers. § 150.0 SUBCHAPTER E—RULES, REGULATIONS, Title 16—-Chapter | STATEMENT OF GENERAL POLICY OR INTERPRETATION AND EXEMPTIONS UNDER THE FAIR PACK- AGING AND LABELING ACT 500 503 Regulations under section 4 of the Fair Packaging and Labeling Act. Statements of General Policy or Interpretation. Cross Rererences: Agricultural Research Service, Department of Agriculture: 7 CFR Chapter ITI; 9 CFR Chapter I. Commodity Exchange Authority, Department of Agriculture: 17 CFR Chapter I. Food and Drug Administration, Department of Health, Education, and Welfare: 21 CFR Chapter I, Securities and Exchange Commission: 17 CFR Chapter ITI. SUPPLEMENTAL PUBLICATIONS: Federal Trade Commission decisions, Volumes 1-52. Index digest of volumes, 1, 2, and 3 of decisions of the Federal Trade Commission with annotation of Federal cases. pertaining to the Federal Trade 1944-1948, 1949-1955. Mar. 16, 1915—June 30, 1921. Commission. Statutes and decisions 1914-1929, 1930-1938, 1939-1943, SUBCHAPTER B—GUIDES AND TRADE PRACTICE RULES (Cont'd) PART 150—-SUBSCRIPTION AND MAIL ORDER BOOK PUBLISHING INDUS- TRY Group I Sec. 150.0 Definition. 150.1 Misrepresentation of books or serv- ices, 150.2 Misrepresentation of books as being free. 15038 Use of deceptive name or title. 150.4 Deceptive use of name, initials, or signature in connection with arti- eles brought forward from eariler edition. 150.6 Deceptive use of copyright renewal date. 150.6 Misrepresentation as to editor, con- tributing editor, etc. 150.7 Deceptive testimonials, 150.8 Disclosure of nature and scope of services offered. 150.9 Misrepresentation as to research serv- ice, 150.10 Misrepresentation as to price reduc- tions, 150.11 Misrepresentation as to nature of business. 160.12 Misrepresentation as to connection with educational institution. 150.18 Misrepresentation as to societies, clubs, or organizations. 150.14 Misrepresentation as to earnings of sales representatives. 150.15 Securing sales representatives by un- fair means. 150.16 Promoting or permitting use of de- ceptive sales literature, etc. 150.17 Inducing breach of contract. 150.18 Enticing away employees of com- petitors. Sec. 150.19 Defamation of competitors or dis- paragement of their products. Imitation of trade-marks or trade names, Bribery and subsidization. Aiding or abetting use of unfair trade practices. AvutHorIry: The provisions of this Part 150 issued under secs. 6(g), 5, 88 Stat. 722, 719; 15 U.S.C. 46(g), 45. Source: The provisions of this Part 150 appear at 5 F.R. 3506, Sept. 4, 1940, unless otherwise noted, § 150.0 Definition. For the purposes of this part the term “book” or “books” as used in this section shall be construed as embracing any or all books, supplements, yearbooks, pam~ phlets, loose-leaf material, and other printed material, sold, offered for sale, or distribution by members of the industry, unless the context of the particular sec~ tion indicates or implies a contrary construction. § 150.1 Misrepresentation of books or services. It is an unfair trade practice to make or publish, or cause to be made or pub-~ lished, directly or indirectly, any false, misleading, or deceptive statement or representation, whether in the form of advertisement, testimonial, endorsement, depiction, illustration, or other form of representation, however disseminated or published, concerning the grade, quality, material, size, contents, use, value, price, 150.20 160.21 150.22 Title 16—Chapter | origin, preparation, manufacture, or date of publication or copyright of any book, or the current or up-to-date character thereof, or concerning the grade, quality, material, substance, size, manufacture, or value of the binding thereof or the lettering thereon, or concerning any service offered in connectlon therewith, or in any other material respect. § 150.2 Misrepresentation of books as being free. In the sale or offering for sale of books, it is an unfair trade practice to repre- sent, through advertising or otherwise, that such books are given free and that payments required in connection there- with are for supplements thereto or for extension, revision, continuation, year- book, or other similar services, or for services to be rendered by a research or other bureau, when such is not the fact; or that a certain number of books have been reserved to be given away free of cost to selected persons as a means of advertising, or that a certain number of persons in a community have been des- ignated to receive a book or books or any form of service free of cost, when such is not the fact. § 150.2 Use of deceptive name or title. In the sale or offering for sale of books, it is an unfair trade practice: (a) To pass off one book for another by use of the same or a deceptively sim- ilar name or title; or (b) To use a name or title different from that under which such book or substantially the same text or content material is being or has previously been published and offered for sale in any form, with the capacity and tendency or effect of misleading or deceiving pur- chasers or prospective purchasers by rea- son of the use of such name or title or by reason of the failure to make proper disclosure of such other name or title; or (c) To represent, in advertising or otherwise, by the use of an edition title such as “Teachers’ Edition,” “Doctors’ Edition,” “Lawyers’ Edition,” or “School Edition,” or by other means, that the contents of a book or edition have been especially adapted for the use of a cer- tain profession or class of persons, when such is not the fact; or (d) To use any name or title which has the capacity and tendency or effect of misleading or deceiving purchasers or prospective purchasers with respect to the purpose, use, contents, or scope of ~ § 150.6 such book, or in any other material re- spect. § 150.4 Deceptive use of names, initials, or signature in connection with ar- ticles brought forward from earlier edition. In respect to articles or textual mate- rial brought forward from a former edi- tion, it is an unfair trade practice: (a) To use in connection therewith any name, initials, or signature in such a Manner as to have the capacity and tendency or effect of misleading or de- ceiving purchasers or prospective pur- chasers into the belief: (1) That the name, initials, or signa- ture so used is that of the actual author of the article or textual material, when such is not the fact; or (2) That the article or material is new, when such is not true in fact; or (3) That the article or materia] has been revised, when no substantial revi- sion has been made; or (4) That the article or material or any substantial part thereof has not previ- ously been published or used in any former editions, or otherwise, when such is not true in fact; or (b) To mislead or deceive in any other respect. § 150.5 Deceptive use of copyright re- newal date. It is an unfair trade practice to set forth the date of any copyright renewal in such manner, whether by omission of other copyright dates or otherwise, as to have the capacity and tendency or effect of misleading or deceiving purchasers or prospective purchasers into the belief that such renewal date is the date of original copyright or publication, or of otherwise misleading or deceiving pur- chasers or prospective purchasers with respect thereto. Nore: When other applicable copyright dates are properly set out and no deception, direct or indirect, is invoived in the omis- sion of a copyright date prior to 1909, such copyright date prior to 1909 need not be shown under this section. § 105.6 Misrepresentation as to editor, contributing editor, etc. It is an unfair trade practice to repre- sent, by means of any listing, advertise- ment, or in any other manner, that any person is a contributor to, or contribut- ing or other editor of, a book, when such is not true in fact, or to make any false, misleading, or deceptive representation § 150.7 with respect to any person who is, or is represented as being, a contributor to, or contributing or other editor of, a book. § 150.7 Deceptive testimonials. (a) It is an unfair trade practice for any member of the industry to use any testimonial or purported testimonial, or representation with respect thereto, which is false, misleading, or deceptive; or to cause any testimonial or part thereof to be used in such manner as to have the capacity and tendency or effect of misleading or deceiving purchasers or prospective purchasers into the belief: (1) That the testimonial was given without solicitation or payment there- for, when such is not the fact; or (2) That the testimonial was given by a school, library, or other institu- tion, when in fact such testimonial was given by an individual connected there- with but acting in a personal capacity and not officially on behalf of such school, library, or other institution; or (3) That the testimonial is a bona fide and genuine testimonial given by a person whose name is used in connec- tion therewith, when the testimonial was not given by such person, or when the testimonial was not given with respect to the particular book or books to which it purports to relate, or when the testi- monial is otherwise inapplicable or mis- leading or deceptive, (b) In order to avoid deception in the use of bona fide and genuine testimoni- als, the complete testimonial should be given wherever practicable, and words, phrases, sentences, or other parts of such testimonial, shali not be separated from their context, or rearranged or otherwise used in such manner as to have the ca- Pacity and tendency or effect of mislead- ing or deceiving purchasers or prospec- tive purchasers in any respect. § 150.8 Disclosure of nature and scope of services offered. To the end that purchasers and pro- spective purchasers may not be misled or deceived with respect to any research, revision, extension, continuation, year- book, or other type of service offered by a member of the industry, full and non- deceptive disclosure of the nature and scope of the particular service offered should be made in ali contracts and order forms, sales literature, advertising, and other representations having refer- ence to such service; and it is an unfair trade practice to conceal such informa-’ Title 16—-Chapter | tion or to fail or refuse to make said disclosure thereof, such concealment or nondisclosure having the capacity and tendency or effect of misleading or de- ceiving purchasers or prospective pur- chasers. § 150.9 Misrepresentation as to research service. Where a research service or a service for the answering of questions is offered, it is an unfair trade practice (a) to rep- resent, in advertising or otherwise, that the service offered is performed by an organization which is in fact nonexist- ent, or that such organization or any organization is independent of the in- dustry member offering the service, when such is not the fact, or to use the names of well-known authors, editors, or au- thorities in connection with such service, when the persons named do not actually perform or supervise such research or actually answer or supervise the answer- ing of such questions; or (b) to cause any other misrepresentation to be made regarding any such service offered, § 150.10 Misrepresentation as to price reductions. It is an unfair trade practice for any member of the industry to represent, in advertising or otherwise, that the price of any book or service has been reduced from what is in fact a fictitious price, or that such price is a reduced or special price when such price is in fact the reg- ular selling price of such book or service, or that the regular price thereof is higher when such is not the fact, or to otherwise falsely or deceptively repre- sent the past, current, or future price of any book or service. § 150.11 Misrepresentation as to nature of business. It is an unfair trade practice for a member of the industry: (a) To use, or to cause or permit to be used, any representation which has the capacity and tendency or effect of mis- leading or deceiving purchasers or pro- spective purchasers into the belief: (1) That such member is an associa- tion or organization of educators, teach- ers, engineers, or scientists, or of persons having other professional or technical training or other qualifications, when such is not true in fact; or (2) That the business of such member is other than a private business enter- prise operated for profit, when such is not the fact; or Title 16—Chapter | (3) That such member is a book pub- lisher, when such is not the fact; or (b) To misrepresent in any manner the character, extent, or type of the busi- ness of such member. § 150.12 Misrepresentation as to con- nection with educational institution. It is an unfair trade practice for any member of the industry to represent, through advertising or otherwise, that it or its sales representatives are connected in any manner with any school, college, university, or other educational institu- tion, or with any board or committee thereof, or with any other organization, or that any book or service sold or offered by it is required, endorsed, or approved by any such institution, board, commit- tee, or organization, when such is not the fact. § 150.13 Misrepresentation as to so- cieties, clubs, or organizations. It is an unfair trade practice for any member of the industry, in selling or pro- moting the sale of books or services, to offer membership in fictitious societies, clubs, or other organizations; or to make any representations or claims which im- ply the existence of any such fictitious so- ciety, club, or organization; or to misrep- resent the value, facilities, services, functions, character, or standing of any existing society, club, or organization; or otherwise to make any misleading or deceptive representations or claims as to any society, club, or organization which is in existence, or is intended or expected to be organized, or is fictitious. § 150.14 Misrepresentation as to earn- ings of sales representatives. It is an unfair trade practice for any member of the industry to make or pub- lish, or cause to be made or published, directly or indirectly, any false, mislead- ing, or deceptive statement or repre- sentation, by way of advertisement or otherwise, concerning the salary, com- mission, income, earnings, or other re- muneration which agents, canvassers, solicitors, or other sales representatives receive or may receive. § 150.15 Securing sales representatives by unfair means. In connection with, or in the promo- tion of, the sale or distribution of books, the conditions under which specified amounts, in the form of salaries, commis- sions, or other form of payment, will be paid to agents, canvassers, solicitors, or § 150.17 other representatives, should be clearly and nondeceptively stated in all adver- tisements for sales, representatives in which payment of specific or minimum amounts is guaranteed or offered, to the end that misunderstanding and decep- tion may be avoided and prevented; and it is an unfair trade practice to secure or attempt to secure the services of any person as agent, canvasser, solicitor, or other sales representative by means of misleading or deceptive representations with respect to amounts guaranteed or offered such representatives, or by any other unfair means. § 150.16 Promoting or permitting use of deceptive sales literature, etc. The members of the industry shall use due diligence to prevent the use, by their salesmen, agents, representatives, dis- tributors, dealers, or other sellers, of any representations or other acts or practices which, directly or indirectly, may tend to mislead or deceive purchasers or prospec- tive purchasers. Sales literature, adver- tisements, contracts, and other docu- ments or representations, written or oral, supplied by members of the indus- try to them or to purchasers or prospec- tive purchasers, shall be truthful and clearly nondeceptive, free from mislead- ing or false implications or other matter which may tend to deceive or mislead. And it is an unfair trade practice for any member of the industry, directly or in- directly, to cause to be used, or to aid, encourage, or abet a salesman, agent, representative. or distributor, dealer, or other person in the use of, any sales liter- ature, advertisements, contracts, docu- ments, or written or oral representa- tions, or selling methods, which are cal- culated to mislead or deceive, or which have the capacity and tendency or effect of misleading or deceiving, purchasers or prospective purchasers in respect of any book or service offered by such member or in any other material respect. § 150.17 Inducing breach of contract. Inducing or attempting to induce the breach of existing lawful contracts be- tween competitors and their customers or their suppliers, or between a competitor and his agent or other representative, by any false or deceptive means whatsoever, or interfering with or obstructing the performance of any such contractual duties or services by any such means, with the purpose and effect of unduly hampering, injuring, or prejudicing com- § 150.18 petitors in their businesses, is an unfair trade practice. § 150.18 Enticing away employees of competitors. Willfully enticing away the employees of competitors with the purpose and ef- fect of unduly hampering, injuring, or prejudicing competitors in their busi- nesses is an unfair trade practice. § 150.19 Defamation of competitors or disparagement of their products. The defamation of competitors by falsely imputing to them dishonorable conduct, inability to perform contracts, questionable credit standing, or by other false representations, or the false dis- paragement of the grade, quality, mate- rial, contents, use, value, preparation, or manufacture of books sold or offered for sale by competitors, or of their selling methods, prices, credit terms, policies, services or values, is an unfair trade practice. § 150.20 Imitation of trade-marks or trade names. The imitation or simulation of the trade-marks or trade names of competi- tors, with the capacity and tendency or effect of misleading or deceiving pur- chasers or prospective purchasers, is an unfair trade practice. § 150.21 Bribery and subsidization. (a) Commercial bribery. It 1s an un- fair trade practice for any member of the industry, directly or indirectly, to give, or offer to give, or permit or cause to be given, money or anything of value to em- ployees or agents of customers or pro- spective customers, without the knowl- edge of their employers or primcipals, as an inducement to influence or cause their employers or principals to purchase or contract to purchase books or services of such industry inember, or to refrain from purchasing books or services from com- petitors of such member. (b) Subsidizing school officials to in- fluence purchase of books by pupils or parents. Subsidizing school principals, teachers, or school officials, or making payments or gifts to them, directly or in- directly, to induce or cause them to recommend, influence, or promote the purchase of books of a meinber of the industry by pupils or the parents or guardians of pupils, is an unfair trade practice. 10 Title 16—Chapter | § 150.22 Aiding or abetting use of un- fair trade practices. It is an unfair trade practice for any person, firm, or corporation to use or to aid, abet, coerce, or induce another, di- rectly or indirectly, to use or promote the use of any unfair trade practice specified in this part, or of any other unfair method of competition or unfair or de- ceptive act or practice. PART 152—HOSIERY INDUSTRY Norte: Nothing in these rules is to be con- strued as relieving anyone of the necessity of complying with the requirements of the Wool Products Labeling Act of 1939 or the requirements of the Textile Fiber Products Identification Act or with the rules and regulations issued under such Acts. Sec. 152.0 Definitions. Group I 152.1 Scope of rules; imports and exports. 152.2 Deception (general). 152.3 “Lisle.” 152.4 “Trregulars,” or “seconds”. 152.5 Removal, obliteration, or alteration of marks. 152.6 Misrepresentation as to character of business. 152.7 Deceptive price representations. 152.8 Substitution of products. 152.9 Size markings and designations. 152.10 Commerctal bribery. 152.11 Exclusive deals. 152.12 Guarantees, warranties, etc. 152.18 Push money. 152.14 Prohibited discrimination. 152.15 Aiding or abetting use of unfair trade practices. Group II 152.101 Information as to treatment and care of products. AvUTHoRITy: The provisions of this Part 152 issued under secs. 6, 5, 38 Stat. 721, 719; 15 U.S.C. 46, 45. Source: The provisions of this Part 152 appear at 25 F.R. 8250, Aug. 30, 1960, unless otherwise noted. § 152.0 Definitions. As used in this part the terms “indus- try Member” and “industry products” shall have the following meaning: (a) Industry member. Any person, firin, corporation, or organization (in- cluding manufacturers, wholesalers, job- bers, importers, retailers, etc.) engaged in the sale, offering for sale, or distribu- tion, in commerce, of industry products as defined below.