Guides For Shoe Content Labeling And Advertising
16 CFR Part 231 · Guides · in the Code of Federal Regulations 1968-1995 (27 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 These rules and guides are historical: most were rescinded or replaced, so do not assume any is in force.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, 1995 CFR · Earliest edition: 1968 CFR
Text (1995 edition, OCR)
§ 228.17 he did not receive the value he had rea- son to expect under the guarantee. (b) Accordingly, to avoid deception of purchasers as to the value of guaran- tees, adjustments should be made on the basis of a price which realistically reflects the actual selling price of the tire. The following would be considered appropriate price bases for making guarantee adjustments: (1) The original purchase price of the guaranteed tire; or (2) The adjusting dealer’s actual cur- rent selling price at the time of adjust- ment; or (83) A predetermined price which fair- ly represents the actual selling price of the tire. Whenever an advertisement for tires includes reference to a guarantee, the advertisement should also disclose, clearly and conspicuously, the price basis on which adjustments will be made. Such disclosure of the price basis for adjustments should be in terms of actual purchase or selling price, e.g., original purchase price, ad- justing dealer’s current selling price, etc. A mere reference to a guarantor’s “adjustment price,” for example, would not satisfy this disclosure requirement. In addition, written material disclosing the basis for adjustments should be made available to prospective pur- chasers at the point of sale, and if the third method of adjustment is chosen, such written material should include the actual price on which guarantee adjustments will be made. [Guide 16] §228.17 Safety or performance fea- tures. Absolute terms such as ‘“‘skidproof,” “blowout proof,” “blow proof,” ‘‘punc- ture proof’ should not be unqualifiedly used unless the product so described af- fords complete and absolute protection from skidding, blowouts, or punctures, as the case may be, under any and all driving conditions. (Guide 17] §228.18 Other claims and representa- tions. (a) No claim or representation should be made concerning an industry prod- uct which directly, by implication, or by failure to adequately disclose addi- tional relevant information, has the capacity or tendency or effect of de- 16 16 CFR Ch. 1 (1-1-95 Edition) ceiving purchasers or prospective pur- chasers in any material respect. This prohibition includes, but is not limited to, representations or claims relating to the construction, durability, safety, strength, condition or life expectancy of such products. (b) Also included among the prohibi- tions of this section are claims or rep- resentations by members of this indus- try or by distributors of any compo- nent parts of materials used in the manufacture of industry products, con- cerning the merits or comparative merits (as to strength, safety, cooler running, wear, or resistance to shock, heat, moisture, etc.) of such products, components or materials, which are not true in fact or which are otherwise false or misleading. [Guide 18] §228.19 Snow tire advertising. Many manufacturers are now offering winter tread tires with metal spikes. Certain States, or other jurisdictions, however, prohibit the use of such tires because of possible road damage. Ac- cordingly, in the advertising of such products, a clear and conspicuous statement should be made that the use of such tires is illegal in certain States or jurisdictions. Further, when such tires are locally advertised in areas where their use is prohibited, a clear and conspicuous statement to this ef- fect must be included. [Guide 19) PART 231—GUIDES FOR SHOE CONTENT LABELING AND AD- VERTISING Subpart A—Labeling Sec. Labeling in general. Simulated or imitation leather. Concealed innersoles. Split leather. Embossed or processed leather. Ground or shredded leather. Subpart B—Advertising 231.7 Disclosures in advertising. AUTHORITY: Secs. 5, 6, 38 Stat. 719, as amended, 721; 15 U.S.C. 45, 46. SOURCE: 32 FR 15532, Nov. 8, 1967, unless otherwise noted. 231.2 231.3 231.4 231.5 231.6 Federal Trade Commission Subpart A—Labeling $231.1 Labeling in general. (a) (1) The term “‘leather’’ and other terms suggestive of leather may be unqualifiedly used in the labeling of shoes and slippers only when the shoes or slippers are composed in all substan- tial parts of top grain leather, exclu- sive of heels, stiffenings and ornamen- tation. (2) If a shoe or slipper is composed in substantial part of leather, such terms may be used if immediately qualified to show clearly what part or parts are of leather, provided the other require- ments of this part are met and pro- vided further that no reference to leather content shall be so emphasized as to exaggerate or otherwise decep- tively represent the quantity, quality or extent of leather present. (3) The unqualified term “leather’’ and other terms suggestive of leather may not be used to describe shoes and slippers or parts thereof made from split leather or from ground, pulverized or shredded leather. The term may be used if qualified so as to provide an ac- curate, nondeceptive description of the split leather or the ground, pulverized or shredded leather content. (b) In the labeling of shoes and slip- pers, no trade name, coined name, trade-mark, depiction, symbol, or other words or terms may be used, which would tend to convey the im- pression that the shoes or slippers are made of a certain kind or type of mate- rial when they are not. (c) Examples of words and terms pro- hibited by this section, when applied to nonleather material are: “Duraleather.” “Barkhyde.” (d) All labeling disclosures required by this subpart A must be in the form of stamps, tags or labels imbedded in or attached to the product itself and so affixed as to remain thereon until com- pletion of the sale to the retail cus- tomer. The disclosures required need not be in a single location or on the same stamp, tag or label, but they must all be easily and readily observed and understood upon casual inspection of the shoes or slippers. [Guide 1] 17 § 231.4 $231.2 Simulated or imitation leather. ‘Shoes or slippers composed either wholly, or in any part other than heels, of visible, or partly visible, nonleather material having the appearance of leather, or split leather, must bear la- beling which clearly identifies the part or parts so composed and which clearly discloses either: (a) The materia] is simulated or imi- tation leather, or (b) The general nature of the mate- rial in such manner as will show it is not leather or split leather. (c) Examples of disclosures which will meet the requirements of this sec- tion, when justified by the facts, are: “Outersole, innersole and linings composed of imitation leather,” or ‘‘imitation leath- er shoeboard.”’ “Midsoles composed of cellulose fibres,’’ or “cellulose fibre shoeboard.”’ “Sock lining, quarter lining and heel pad are imitation leather made fram ground leath- er fibres.” “Vinyl linings.”’ (d) A disclosure that will not meet the requirements of this section is: “Shoeboard innersole.”’ (Guide 2] $231.8 Concealed innersoles. (a) Shoes or slippers containing in- nersoles of nonleather material which are concealed from view, but which also contain other visible parts of leather, must bear a label clearly dis- closing the presence of the nonleather innersole. (b) Examples of disclosures which will meet the requirements of this sec- tion are: “Innersole of nonleather shoeboard.”’ “Innersole of cellulose fibre’ or ‘‘cellulose fibre shoeboard.”’ ‘“Innersole of rubberized felt.” (c) A disclosure which will not meet the requirements of this section is: “Shoeboard Innersole.”’ (Guide 3] §231.4 Split leather. (a) Shoes or slippers composed either wholly or in part of visible split leather which simulates top grain leather must bear a label clearly disclosing the ma- §231.5 terial is split leather and clearly iden- tifying the part or parts to which the disclosure applies. (Leather made from portions of hides or skins which have been split into two or more thicknesses, other than the grain or hair side, shall be considered split leather.) (b) Example of disclosures which will meet the requirement of this section is: “Upper composed or split cowhide.”’ [Guide 4] §231.5 Embossed or processed leather. (a) Shoes or slippers composed either wholly or in part of visible leather which has been embossed, dyed, or oth- erwise processed, so as to simulate the appearance of a different kind or type of leather, must bear a label clearly disclosing the kind or type of leather of which they are actually made. (b) If representations as to the leath- er appearance of the shoes or slippers are made, the label must reveal the simulated or imitation nature of the visible surface, and the disclosure as to the true composition of the material must be set forth in immediate con- junction with such representations. Erample. ‘“‘Simulated alligator made of split cowhide.” [Guide 5] $231.6 Ground or shredded leather. Shoes or slippers, composed either wholly or in part of visible ground, pul- verized or shredded leather that has the appearance of being leather must bear a label clearly identifying the part or parts involved and clearly dis- closing either: (a) The material is simulated or imi- tation leather, or (b) The material is of ground, pulver- ized or shredded leather. [Guide 6] Subpart B—Advertising §231.7 Disclosures in advertising. (a) Whenever a shoe or slipper is vis- ually depicted in advertising, including catalogs, with sufficient clarity so that the picturization itself would have a tendency to create the impression that pictorially visible nonleather parts ex- clusive of heels are composed of leather 18 16 CER Ch. | (1-1-95 Edition) or split leather or that pictorially visi- ble leather parts exclusive of heels are composed of a different kind or type of leather than is the case, the advertis- ing must contain a statement clearly and conspicuously disclosing either: (1) The visible part or parts are simu- lated or imitation leather, or (2) The general nature of the visible part or parts in such manner as will show they are not leather or not the type of leather depicted. Erample. An advertisement contains a pic- ture of a shoe in sufficient detail as to lead a casual reader to expect the upper and lin- ings were composed of leather. This adver- tisement must disclose the true composition of these parts or disclose that they are imi- tation leather. (b) The term “leather” and other terms suggestive of leather may be unqualifiedly used in advertising of shoes and slippers only when the shoes or slippers are composed in all substan- tial parts of top grain leather, exclu- sive of heels, stiffenings and ornamen- tation. (1) If a shoe or slipper is composed in substantial part of leather, such terms may be used in advertising if imme- diately qualified to show clearly what part or parts are of leather, provided no reference to leather content shall be so emphasized as to exaggerate or oth- erwise deceptively represent the quan- tity, quality or extent of leather present. (2) The unqualified term ‘‘leather” and other terms suggestive of leather may not be used to describe shoes and slippers or parts thereof made from split leather or from ground, pulverized or shredded leather. The term may be used if qualified so as to provide an ac- curate, nondeceptive description of the split leather or the ground, pulverized or shredded leather content. (3) Terms suggestive of leather may be used to describe the appearance of a nonleather material which has the ap- pearance of leather if immediately ac- companied by a disclosure that the term refers only to the appearance and that the material is not leather. Erample. ‘‘Imitation Alligator.” (c) In the advertising of shoes and slippers, no trade name, coined name, trade-mark, depiction, symbol, or Federal Trade Commission other words or terms may be used which would tend to convey the im- pression that the shoes or slippers ad- vertised are made of a certain kind or type of material when they are not. (d) Examples of words and terms pro- hibited by this section, when applied to nonleather material are: “Duraleather.” “Barkhyde.” [Guide 7] PART 233—GUIDES AGAINST DECEPTIVE PRICING Sec. 233.1 Former price comparisons. 233.2 Retail price comparisons; comparable value comparisons. 233.38 Advertising retail prices which have been established or suggested by manu- facturers (or other nonretail distribu- tors). 233.4 Bargain offers based upon the pur- chase of other merchandise. 233.5 Miscellaneous price comparisons. AUTHORITY: Secs. 5, 6, 38 Stat. 719, as amended, 721; 15 U.S.C. 45, 46. SOURCE: 32 FR 15534, Nov. 8, 1967, unless otherwise noted. §233.1 Former price comparisons. (a) One of the most commonly used forms of bargain advertising is to offer a reduction from the advertiser’s own former price for an article. If the former price is the actual, bona fide price at which the article was offered to the public on a regular basis for a reasonably substantial period of time, it provides a legitimate basis for the advertising of a price comparison. Where the former price is genuine, the bargain being advertised is a true one. If, on the other hand, the former price being advertised is not bona fide but fictitious—for example, where an arti- ficial, inflated price was established for the purpose of enabling the subsequent offer of a large reduction—the ‘“‘bar- gain’? being advertised is a false one; the purchaser is not receiving the un- usual value he expects. In such a case, the “reduced” price is, in reality, prob- ably just the seller’s regular price. (b) A former price is not necessarily fictitious merely because no sales at the advertised price were made. The advertiser should be especially careful, 19 § 233.1 however, in such a case, that the price is one at which the product was openly and actively offered for sale, for a rea- sonably substantial period of time, in the recent, regular course of his busi- ness, honestly and in good faith—and, of course, not for the purpose of estab- lishing a fictitious higher price on which a deceptive comparison might be based. And the advertiser should scru- pulously avoid any implication that a former price is a selling, not an asking price (for example, by use of such lan- guage as, ‘‘Formerly sold at $——”’), unless substantial sales at that price were actually made. (c) The following is an example of a price comparison based on a fictitious former price. John Doe is a retailer of Brand X fountain pens, which cost him $5 each. His usual markup is 50 percent over cost; that is, his regular retail price is $7.50. In order subsequently to offer an unusual ‘‘bargain’’, Doe begins offering Brand X at $10 per pen. He re- alizes that he will be able to sell no, or very few, pens at this inflated price. But he doesn’t care, for he maintains that price for only a few days. Then he “cuts” the price to its usual level— $7.50—and advertises: ‘“Terrific Bar- gain: X Pens, Were $10, Now Only $7.50!” This is obviously a false claim. The advertised “bargain” is not genu- ine. (d) Other illustrations of fictitious price comparisons could be given. An advertiser might use a price at which he never offered the article at all; he might feature a price which was not used in the regular course of business, or which was not used in the recent past but at some remote period in the past, without making disclosure of that fact; he might use a price that was not openly offered to the public, or that was not maintained for a reason- able length of time, but was imme- diately reduced. (e) If the former price is set forth in the advertisement, whether accom- panied or not by descriptive terminol- ogy such as “Regularly,’’ ‘‘Usually,” “Formerly,” etc., the advertiser should make certain that the former price is not a fictitious one. If the former price, or the amount or percentage of reduc- tion, is not stated in the advertise- ment, as when the ad merely states,