Granite Industry
16 CFR Part 99 · Trade practice rules · in the Code of Federal Regulations 1974-1974 (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 These rules and guides are historical: most were rescinded or replaced, so do not assume any is in force.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, 1974 CFR · Earliest edition: 1974 CFR
Text (1974 edition, OCR)
Chapter I—Federal Trade Commission industry engaged in commerce to pay or contract for the payment of adver- tising or promotional allowances or any other thing of value to or for the benefit of a customer of such member in the course of such commerce as compensa- tion or in consideration for any services or facilities furnished by or through such customer in connection with the proc- essing, handling, sale, or offering for sale of any products or commodities manu- factured, sold, or offered for sale by such meinber, unless such payment or consid- eration is available on proportionally equal terms to all other customers com- peting in the distribution of such prod- ucts or commodities. (a) Prohibited discriminatory services or facilities. It is an unfair trade prac- tice for any member of the industry en- gaged in commerce to discriminate in favor of one purchaser against another purchaser or purchasers of a commodity bought for resale, with or without proc- essing, by contracting to furnish or by furnishing, or by contributing to the furnishing of any services or facilities connected with the processing, handling, sale, or offering for sale of such commod- ity so purchased upon terms not accorded to ali purchasers on proportionally equal terms. (e) Inducing or receiving an illegal discrimination in price. It is an unfair trade practice for any member of the industry engaged in commerce, in the course of such commerce, knowingly to induce or receive a discrimination in price which is prohibited by the fore- going provisions of this section. (Sec. 2, 38 Stat. 730, as amended, secs. 2, 3, 4, 49 Stat. 1527, 1528; 15 U.S.C, 18, 18a, 13b, 21a) § 97.20 Aiding or abetting use of unfair trade practices: It is an unfair trade practice for any person, firm, or corporation to aid, abet, coerce or induce another, directly or in- directly, to use or promote the use of any unfair trade practice specified in this part. Group II § 97.101 Publication of price lists and terms of sale. The industry approves the practice of each individual member of the industry independently publishing and circulating to the purchasing trade his own price lists fully setting forth his terms of sale. § 97.104 § 97.102 Return of merchandise. The practice, by members of the in- dustry, of selling merchandise and later permitting the purchaser to return it for credit or refund of purchase price, with- out just cause, creates waste and loss, increases the cost of doing business to the detriment of both the industry and the public, and is condemned by the in- dustry, subject however, to the general limitation that members of the industry shall not engage in any combmation or conspiracy in restraint of trade or use any other illegal methods in the regula- tion, control or prevention of the return of merchandise. § 97.103 Repudiation of contracts. Lawful contracts are business obliga-~ tions which should be performed in letter and in spirit. The repudiation of contracts by sellers on a rising market, or by buyers on a declining market, is. condemned by the industry. § 97.104 Arbitration. The industry approves the practice of handling business disputes between inembers of the industry and their cus- temers in a fair and reasonable manner, coupled with a spirit of moderation and good will, and every effort should be made by the disputants themselves to compose their differences. If unable to do so they should, if possible, submit these disputes to arbitration. PART 99-——BARRE GRANITE INDUSTRY GrovurTt Sec. 99.1 Deceptive deviation from established standards. 99.2 Sales below cost. 99.4 False marking or branding. 99.6 Inducing breach of contract. 99.7 Imitation of trade-marks, trade names, etc. 99.8 Consignment selling. 99.9 Enticing employees. $9.10 Defamation of competitors. 99.11 Substitution. 99.12 Deceptive selling methods. 99.18 Misrepresentation in general. 99.14 Espionage. 99.15 Substitution of inferior materials. 99.16 Deceiving competitors as to bids of others. Group IT 99.101 Substitution of products. 99.102 Failure to accept delivery. 99.108 Violation of discount agreement. 99.104 Consumer protection. 497 § 99.1 Sec. 99.105 99.106 99.107 99.108 False Invoicing. Arbitration. ; Fictitious bids. Publication of price lists and terms of sale. Unethical acquisition of bid infor- mation, Dissemination of credit information. Unauthorized use of designs, etc. Classification of product. Tolerance in measurements, Solicitation of information with a view to price cutting. Solicitation of favors in bidding. Cost accounting. Repudiation of contracts. Fictitious price lists. Superficial foot as unit of measure; tolerances. Cubic foot as unit of measure; toler- ances, Gratuities or gifts to purchasers. COMMITTEE ON TRADE PRACTICES 99.201 Industry committee. AuTHoriry: The provisions of this Part 99 issued under secs. 6(g), 5, 38 Stat. 722, 719; 15 U.S.C, 46(g), 45, unless otherwise noted. Source: The provisions of this Part 99 contained in trade practice rules, Barre Granite Industry, FTC, Nov. 30, 1988, unless otherwise noted. 99.109 99.110 99.111 99.112 99.113 99.114 99.115 99.116 99.117 99.118 99.119 99.120 99.121 Group I § 99.1 Deceptive deviation from estab- lished standards. Deviation from the established stand- ards of the industry by any deceptive or false means or device with the effect of misleading or deceiving purchasers or prospective purchasers is an unfair trade practice, § 99.2 Sales helow cost. The selling of goods below cost with the intent and with the effect of injuring a competitor, and where the effect may be to substantially lessen competition or tend to create a monopoly or to unrea- sonably restrain trade, is an unfair trade practice. § 99.4. False marking or branding. The false marking or branding of products of the industry, with the effect of misleading or deceiving purchasers with respect to the quantity, quality, grade or substance of the goods pur- chased, is an unfair trade practice. § 99.6 Inducing breach of contract. Wiillfully inducing or attempting to in- duce the breach of existing contracts be- tween competitors and their customers - Title. 16—Commercial Practices by any false or deceptive means whatso- ever, 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 embarrassing competitors in their businesses, is an un- fair trade practice. § 99.7 Imitation of trade-marks, trade names, etc. : The imitation of the trade-marks, trade names, slogans, or other marks of identification of competitors, having the tendency and capacity to mislead or de- ceive purchasers or prospective pur- chasers, is an unfair trade practice. § 99.8 Consignment selling. The shipment of goods on consign- ment, with the intent and with the effect of injuring a competitor and where the effect may be to substantially lessen com- petition or tend to create a monopoly or to unreasonably restrain trade, is an unfair trade practice. § 99.9 Enticing employees. Willfully enticing away the employees of competitors with the purpose and ef- fect of unduly hampering, mjuring, or embarrassing competitors in their busi- nesses is an unfair trade practice. § 99.10 Defamation of competitors. The defamation of competitors by falsely lmputing to them. dishonorable conduct, inability to perform contracts, questionable credit standing, or by other false representations, or the false dispar- agement of the grade or quality of their goods, with the tendency and capacity to mislead or deceive purchasers or pro- spective purchasers, is an unfair trade practice. § 99.11 Substitution. The practice of shipping or delivering products which do not conforin to the samples submitted or representations made prior to securing the orders, with- out the consent of the purchasers to such substitutions, and with the effect of de- ceiving or misleading purchasers, is an unfair trade practice. § 99.12 Deceptive selling methods. The sale or offering for sale of any product of the industry by any false means or device which has the tendency and capacity to mislead or deceive cus- tomers or prospective customers as to the quantity, quality, substance or size of such product is an unfair trade practice, 498 Chapter I—Federal Trade Commission § 99.13 Misrepresentation in general. The making, or causing or permitting to be made or published, of any false, un- true, or deceptive statement by way of advertisement or otherwise concerning the grade, quality, quantity, substance, character, nature, origin, size, or prepa- ration of any product of the industry, having the tendency and capacity to mislead or deceive purchasers or pro- spective purchasers, is an unfair trade practice. § 99.14 Espionage. Securing informatlon from competi- tors concerning their businesses by false or misleading statements or representa- tions or by false impersonations of one in authority and the wrongful use there- of to unduly hinder or stifle the competi- tion of such competitors is an unfair trade practice. § 99.15 Substitution of inferior ma- terials. The practice of using or substituting in structures materials inferior in qual- ity to those specified by the purchasers, without the consent of the purchasers to such uses or substitutions, and with the effect of deceiving or misleading such purchasers, or the use of materials in- ferior in quality to those required by the applicable governmental laws, rules and regulations in the territory affected, is an unfair trade practice. § 99.16 Deceiving competitors as to bids of others. To mislead or deceive any bidder as to the amounts and conditions of other bids or by any other false information, for the purpose of inducing him to cut his own bid, is an unfair trade practice. Group II § 99.101 Substitution of prodncts. The substitution by a wholesaler or a’ retailer of another product for the prod- uct ordered is condemned by the in- dustry. — § 99.102 Failure to accept delivery. The failure by a retailer to accept the delivery of orders given by him is con- demned by the industry. § 99.103 Violation of discount agree- ment. Violation by either party, buyer or seller, of the agreement between them as to the discount for cash is condemned by the industry. § 99.111 § 99.104 Consumer protection. All members of this industry shall pro- tect the consumer not only as far as is required by law, but as required by good morals and the best ethics of business. § 99.105 False invoicing. Withholding froin, or inserting in, the invoice statements which make the in- voice a false record, wholly or in part, of the transaction represented on the face thereof, is condemned by the industry. § 99.106 Arbitration. The industry approved the practices of handling disputes in a fair and reason- able manner, coupled with a spirit of moderation and good will, and every ef- fort should be made by the disputants themselves to arrive at an agreement. If unable to do so they should agree, if possible, upon arbitration under some one of the prevailing codes. § 99.107 Fictitious bids. The industry approves of the “one-bid” policy and condemns fake or fictitious bids made for the purpose of deceiving competitors and securing undue advan- tage. If plans and specifications are changed and new bids called for after the original bids have been submitted and opened, the same fairness should obtain as with the original bid. § 99.108 Publication of price lists and terms of sale. (a) The industry approves the prac- tice of each individual member of the industry independently publishing and circulating to the purchasing trade his own price lists. — (b) The industry approves the prac- tice of making the terms of sale a part of all published price schedules. § 99.109 Unethical acquisition of bid information. Surreptitiously obtaining information relative to competitors’ bids in the prep- aration of one’s own bid is condemned by the industry. § 99.110 Dissemination of credit in- formation. The industry records its approval of distributing to its members information covering delinquent and slow accounts insofar as this may be lawfully done. § 99.111 Unauthorized use of designs, etc. The practice of usurping designs, styles, or patterns, originated by a com- 499 § 99.112 petitor and appropriating for one’s own use within 5 years after such origi- nation, is condemned by the industry. § 99.112 Classification of product. For the benefit of the granite industry and the purchasing public the granite designated and known throughout the country as Barre granite is classified into three grades as follows: 1. Dark monu- mental granite shall be that grade of materiai suitable for polishing but adaptable for all finishes; 2. Light mon- umental granite shall be that grade of material adapted to ali finishes except polishing; 3. Light mausoleum granite shall be that grade of material which because of the texture is not suitable for monumental purposes but which custom has accepted as the standard grade for mausoleum use. § 99.113 Tolerance in measurements. Owing to the nature of the material, in filling an order for a monument of cer- tain specified dimensions the industry approves of the established practice of permitting an allowance of one-half inch on any dimension. § 99.114 Solicitation of information with a view to price cutting. To induce or attempt to induce an architect, owner, builder or retailer to reveal to a bidder the amounis and con- ditions of any bid received on a competi- tive job, with a view of giving the favored concern an opportunity to meet or cut below the lowest bid, whether the favored concern was one of the original bidders or not, is condemned by the industry. § 99.115 Solicitation of bidding. The inducing or attempting to in- duce an architect, owner, builder or re- tailer to reveal to any bidder on a com- petitive job information relative to bids already received, which information would give the favored bidder an advan- tage in the preparation of his own bid, is condemned by the industry. § 99.116 Cost accounting. It is the judgment of the industry that each member should install a proper and accurate method for determining his cost. § 99.117 Repudiation of contracts. Contracts, either written or oral, are business obligations which shouid be per- favors in 500 Title 16—Commerciol Practices formed in letter and spirit. The repudi- ation of contracts by sellers on a rising market, or by buyers on a declining mar- ket, is equally reprehensible, and its condemned by the industry. § 99.118 Fictitious price lists. Issuing fictitious bargain price lists is a detriment to the trade and is con- demned by the industry. § 99.119 Superficial foot as unit of measure; tolerances. The industry recognizes the super- ficial foot as a unit of measure in slabs. The industry further recognizes that the working size of a dimension slab shall be construed as aliowing not over 2 inches oversize and on mill length slabs not over 10 percent allowance on length and not over 2 inches on width. § 99.120 Cubic foot as unit of measure; tolerances. The industry recognizes the cubic foot as a unit of measure. The industry fur- ther recognizes that the working size of said unit on rough dimension stock shall be construed as permitting an allowance of 2 inches or less on any dimension. § 99.121 Gratuities or gifts to pur- chasers. The giving of gratuities to purchasers solely for the purpose of securing their patronage promotes illegitimate sales- manship, frequently leads to bribery, and is condemned by the industry. COMMITTEE ON TRADE PRACTICES § 99.201 Industry committee. The provisions of § 16.1 of this sub- chapter shall be applicable to an industry committee established under this part. [21 F.R. 1174, Feb. 21, 1956] PART 101—UNIFORM INDUSTRY Group I Sec. 101.1 Misrepresentation of industry prod- ucts. 101.2 Misbranding. . 101.3 Misrepresentation as to character of business. 101.4 Misrepresenting unforms as “cus- tom made,” “made to order,” etc. 101.5 Deceptive numbering. 101.6 Deception as to used garments. 101.7 Deceptive use of competitor's plates, cuts, or illustrations. 101.8 Imitation of trade-marks, trade names, etc. 101.9 Substitution of products.