Consumer Law Library

Guides For Advertising Fallout Shelters

16 CFR Part 229 · Guides · in the Code of Federal Regulations 1968-1993 (25 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 These rules and guides are historical: most were rescinded or replaced, so do not assume any is in force.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, 1993 CFR · Earliest edition: 1968 CFR

Text (1993 edition, OCR)

Federal Trade Commission

PART 229—GUIDES FOR
ADVERTISING FALLOUT SHELTERS

Sec.

229.0

229.1

229.2

229.3
ity.

229.4 Pictorial and other misrepresenta-
tions.

229.5 Deceptive prices.

229.6 Financial terms.

229.7 Guarantees.

229.8 Government connection, approval or
endorsement.

229.9 Maintenance or repairs.

229.10 “Custom made,” ‘‘custom built,” etc.

229.11 Model shelters.

229.12 Combination or dual-purpose shel-
ters.

229.13 Bait advertising.

229.14 Lottery schemes.

229.15 Scare tactics.

AutHoriry: Secs. 5, 6, 38 Stat. 719, as
amended, 721; 15 U.S.C. 45, 46.

Source: 32 FR 15529, Nov. 8, 1967, unless
otherwise noted.

§ 229.0 Definitions.

(a) Fallout shelter. A _ structure
which, when properly installed, has a
protection factor against fallout
gamma radiation of at least 40. Protec-
tion factor is the relative reduction in
the amount of radiation that would be
received by a person in a shelter com-
pared with the amount which he
would receive if unprotected. For ex-
ample, an unprotected person would
receive 40 times more radiation than a
person in a shelter with a protection
factor of 40.

(b) Blast-resistant or limited blast-
resistant shelter. A structure which
qualifies as a fallout shelter and, in ad-
dition, is capable of affording a certain
minimum amount of _ protection
against the effects of a blast overpres-
sure and associated nuclear and ther-
mal radiation. To qualify as a ‘‘blast-
resistant shelter’ a structure must be
capable of withstanding an overpres-
sure of at least 25 pounds per square
inch (psi). To qualify as a “limited
blast-resistant shelter’ a structure
must be capable of withstanding an
overpressure of at least 5 psi. For ex-
ample, 5 psi overpressure would occur
at a range of about 8% miles from a 10
megaton, and about 18 miles from a

Definitions.

Fallout and blast protection.
Installation.

Affirmative disclosures as to capac-

17

§ 229.1

100 megaton explosion. 30 psi over-
pressure would occur at a range of
about 2% miles from a 10 megaton,
and about 5 miles from a 100 megaton
explosion.

Note: These definitions are based upon
the minimum technical requirements estab-
lished by the Office of Civil Defense, De-
partment of Defense.

§ 229.1 Fallout and blast protection.

(a) A structure shall not be described
or designated as a “fallout shelter,” or
by any other term of like implication,
nor shall any representation be made
that a structure affords protection
against radioactive fallout, unless such
structure meets the minimum require-
ments set forth in the foregoing defi- —
nition of a “fallout shelter.”

(b) A structure shall not be de-
scribed or designated as a “blast shel-
ter’ or by any other term of like impli-
cation.

(c) A structure shall not be described
or designated as a “blast-resistant
shelter” or a “limited blast-resistant
shelter,” or by any other term of like
implication, unless it meets the appli-
cable minimum requirements set forth
in this part.

(d) No representation, express or im-
plied, shall be made that a structure
affords protection against nuclear
blast unless such structure meets the
minimum requirements for a “limited
blast-resistant shelter.”

(e) No advertisement for, or repre-
sentation as to the characteristics or
capabilities of, any structure designat-
ed as a “fallout shelter,” “‘blast-resist-
ant shelter,” ‘limited blast-resistant
shelter,” or any other term of like im-
plication, shall be used without the in-
clusion of an affirmative disclosure, in
clear and conspicuous terms, of the
limits of the protection provided by
such structure.

Example 1. With reference to a fallout
shelter which does not qualify as a ‘limited
blast-resistant shelter,’ the advertisement
should disclose that the structure has not
been designed to afford protection against
blast or other related hazards.

Example 2. If the structure qualifies as a
“limited blast-resistant shelter” or a “‘blast-
resistant shelter,” the advertisement should
disclose that the structure, when properly
installed, will protect its occupants from a


§ 229.2

blast of-a stated force (such as 10 megatons)
occurring an approximate number of miles
distant, as set forth in the examples in
§ 229.0¢b).

(f) If a structure meets the mini-
mum requirements for a ‘‘fallout shel-
ter,” factual and nondeceptive repre-
sentations may be made as to the
degree and nature of fallout protec-
tion afforded. Claims that the fallout
protection afforded exceeds the re-
quirements shall not be used, however,
unless the protection so afforded ex-
ceeds the prescribed minimum to a sig-
nificant degree.

(g) Claims, express or implied, of ab-
solute or complete protection from
fallout or blast under any and all con-
ditions shall not be used. (Guide 1]

§ 229.2 Installation.

(a) Any advertisement offering a
shelter shall disclose affirmatively
that the structure must be properly
installed before it can provide protec-
tion as a shelter.

(b) No representation shall be made
that a shelter can be installed in one
day or in any other period of time,
unless the installation can in fact be
completed within the stated period.

(c) Statements which deceptively ex-
aggerate the ease or economy with
which a shelter can be installed shall
not be used. [Guide 2]

§ 229.3 Affirmative disclosures as to ca-
pacity.

(a) Whenever any representation is
made which conveys any implication
as to the size or capacity of the adver-
tised shelter, the advertisement must
clearly and conspicuously disclose the
number of persons the shelter will
protect.

(b) Advertisements containing pic-
tures, a quoted price, the use of the
word “family,” are examples of the
type of representations which are sub-
ject to the above requirement.

(c) Minimum standard requirements
of the Office of Civil Defense in effect
at the time the advertised offer is
made will be applied in determining
the number of persons that the shel-
ter can protect. These requirements
take into account the floor space, the
air space (cubic volume of the shelter),
and the quantity of fresh air required

16 CFR Ch. | (1-1-93 Edition)

by each person occupying the shelter.
(Guide 3]

§ 229.4 Pictorial and other misrepresenta-
tions.

(a) No advertisement shall be used
which would mislead prospective
buyers, through pictorial representa-
tions, or in any other manner, as to
the protection afforded by a shelter or
as to the size, composition, construc-
tion, design, capacity, quality, cost or
manner of installation, fire or water-
resistant properties, location, or utility
of a shelter or any part thereof, or
which would be misleading in any
other material respect.

(b) All construction items featured
in a pictorial representation must be
included in the price stated in the ad-
vertisement.

Example 1. Picturization of fallout shel-
ters which imply protection against blast ef-
fects but which are not capabie of providing
this protection shall not be used.

Example 2. An advertisement shall not
feature the picture of a higher-priced shel-
ter in conjunction with the price of a lower-
priced shelter, thus leading consumers to
believe the higher-priced model can be pur-
chased at the lower price.

(Guide 4]

§ 229.5 Deceptive prices.

(a) No statement, express or implied,
shall be used which misrepresents
prices or savings in any manner.

(b) Claims that the price offer is for
a limited time only or that there will
be an increase in price shall not be
used unless in fact true.

(c) Advertised or quoted prices shall
include the cost of all parts of the
structure which are essential to its
functioning as a shelter.

(d) Advertised or quoted prices also
shall include all charges for the deliv-
ery and installation of the shelter,
unless the advertisement clearly and
conspicuously discloses that delivery
or installation charges are not includ-
ed.

Note: The Guides Against Deceptive Pric-
ing furnish guidance respecting other pric-
ing representations and are to be considered
as supplementing this section.

(Guide 5]

18


Federal Trade Commission

§ 229.6 Financial terms.

(a) Installment purchase plans shall
not be misrepresented in any manner
nor shall an advertiser claim that
loans from any lending institution are
available, or that such loans may be
insured by the Federal Housing Ad-
ministration, unless such is the fact.

(b) Down payments shall not be
quoted in such a manner as to imply
that the down payment constitutes
the entire price. .

(c) If a shelter is offered at a quoted
price under an installment plan which
- requires additionally the payment of
carrying charges, the fact that carry-
ing charges are to be added to the ad-
vertised price must be disclosed.

(ad) If an interest rate is quoted, it
must be simple interest per annum cal-
culated on the basis of the unpaid bal-
ance due as reduced after crediting in-
stallments as paid. [Guide 6]

§ 229.7 Guarantees.

A guarantee shall not be used in
such a manner as to constitute a mis-
representation of a material fact. For
example, ‘“‘guaranteed fallout proof”’ is
a representation that complete protec-
tion against fallout is afforded under
all conditions. This would constitute a
misrepresentation of a material fact,
contrary to the provisions of § 229.1 of
this part.

Note: The Guides Against Deceptive Ad-
vertising of Guarantees furnish guidance re-
specting other guarantee representations
and are to be considered as supplementing
this section.

(Guide 7]

§ 229.8 Government connection, approval
or endorsement.

If a shelter design meets the mini-
mum requirements of the Office of
Civil Defense, the advertiser may
reveal this fact. in advertising. Even
though the shelter design meets the
aforementioned requirements, howev-
er, an advertiser shall not represent
that the shelter has been approved or
endorsed by the Government or is
being offered by an agency of the Gov-
ernment. Thus, the use of seals, insig-
nia, trade or brand names, or any
other term or symbol implying Gov-
ernment connection, approval, or en-

19

§ 229.14

dorsement shall not be used in adver-
tising. [Guide 8]

§ 229.9 Maintenance or repairs.

No statement shall be made which
misrepresents the extent to which
maintenance, repairs or replacement
of a shelter or parts thereof may be
required. [Guide 9]

7 66

§ 229.10
ete.

Claims that a shelter is ‘custom
made,” ‘‘custom built,’’ or representa-
tions of similar import, shall not be
used unless the shelter is to be de-
signed and built specially for the par-
ticular purchaser. [Guide 10]

“Custom made,” “custom built,”

§ 229.11 Model shelters.

An advertiser shall not claim that
prospective purchasers’ homes have
been selected for the installation of
“model shelters,” or that the owners
thereof will receive any amount of
money, a reduction in price or other
thing of value conditioned upon the
sale to others of similar shelters, when
such is not the fact. [Guide 11]

§ 229.12 Combination
shelters.‘

Claims to the effect that a shelter
serves a combination or dual purpose
shall not be used unless factually true:
If a shelter can in fact be utilized for
other purposes which would not inter-
fere with its use as a shelter, factual
and nondeceptive representations as to
such other utilization may be made.
(Guide 12]

or dual-purpose

§ 229.13 Bait advertising.

An advertiser shall not offer a shel-
ter for sale unless such offer is made .
in good faith for the purpose of selling
the advertised shelter. Insincere offers
to sell, made for the purpose of. con-
tacting prospective purchasers and
switching them to a shelter other than
the shelter advertised, are not to be
used. [Guide 13]

§ 229.14 Lottery schemes.

Sales promotional plans involving
lottery shall not be used. (Guide 14]


§ 229.15

§ 229.15 Scare tactics.

‘Scare tactics, such as the employ-
ment of horror pictures calculated to
arouse unduly the emotions of pro-
spective shelter buyers, shall not be
used. [Guide 15]

PART 230—GUIDES FOR
ADVERTISING SHELL HOMES

Sec.

230.1
230.2
230.3
230.4
230.5
230.6
230.7

Extent of completion.
Size or dimensions.
Pictorial representations.
Savings.

Financial terms.

Bait advertising.
Guarantees.

230.8 Model homes.

230.9 Delivery and installation.

Autuority: Secs. 5, 6, 38 Stat. 719, as
amended, 721; 15 U.S.C. 45, 46.

Source: 32 FR 15531, Nov. 8, 1967, unless
otherwise noted.

§ 230.1 Extent of completion.

(a) Since the typical shell home does
not include such features as wiring,
plumbing, heating, interior trim and
finish, or other requisite components,
an advertiser may not represent that
the home is finished or completed to
any degree inconsistent with the facts.

(bo) For example, an advertiser may
not claim that the home in its unfin-
ished state is habitable, or that it has

16 CFR Ch. I (1-1-93 Edition)

porch, carport, chimney, steps, etc.,
must be included in the price quoted
in the advertisement.

(b) An advertisement shall not fea-
ture the picture of a higher-priced
home in conjunction with the price of
a lower-priced home, thus leading pro-
spective purchasers to believe the
higher-priced home can be purchased
at the lower price.

(c) If the price of any home other
than the one pictured in the advertise-
ment is quoted, the price of the pic-
tured home must be disclosed and
quoted with equal size and conspicu-
ousness. [Guide 3]

§ 230.4 Savings.

(a) If savings claims are made (1) the
basis for the comparison must be
clearly disclosed, (2) the savings must -
be factually true, and (3) the advertis-
ing must clearly disclose: (i) That the
buyer must furnish the remaining ma-
terial and (ii) that the saving, if any, is
based upon the buyer completing the
remainder of the work.

(bo) For example, if the advertiser

- has a factually true savings claim to

appliances, fixtures, equipment, mate-

rial or services which are not actually
included at the time it is accepted by
the purchaser.

(c) In every case the advertiser must
clearly and conspicuously disclose it is
a shell home. (Guide 1]

§ 230.2 .Size or dimensions.

(a) An advertiser shall not misrepre-

sent, pictorially or through any other
means, the overall size or dimension of
the home or the rooms or space there-
in.
(b) This section prohibits misrepre-
sentation through the use of picturiza-
tions, as well as the publication of fig-
ures which exaggerate the size or di-
mension. [Guide 2]

§ 230.3 Pictorial representations.

(a) All construction items featured
in a pictorial representation, such as a

20

make in comparison either with a proj-
ect type or custom-built home, he
must disclose the type of home with
which the comparison is being made.

(c) In determining whether the sav-
ings claim is factually true, the com-
parison must be based upon a home of
like quality, material, size, design and
workmanship in the same general lo-
cality where the shell home is to be
built.

(d) If savings claims other than
those outlined in paragraphs (a), (b),
and (c) of this section, are utilized, the
claim must meet the applicable provi-
sions of the Commission’s Guides
Against Deceptive Pricing. [Guide 4]

§ 230.5 Financial terms.

(a) Installment purchase plans shall
not be misrepresented in any manner.
This section prohibits claims to the
effect that loans are available from
any particular lending institution or
through a particular lending program,
or that loans are federally insured, or
that the seller will finance the pur-
chaser’s indebtedness, unless such is
the fact.