[Federal Register Volume 60, Number 180 (Monday, September 18, 1995)]
[Proposed Rules]
[Pages 48070-48071]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-23040]
-----------------------------------------------------------------------
FEDERAL TRADE COMMISSION
16 CFR Part 405
Trade Regulation Rule on Misbranding and Deception as to Leather
Content of Waist Belts
AGENCY: Federal Trade Commission.
ACTION: Advance notice of proposed rulemaking.
-----------------------------------------------------------------------
SUMMARY: The Federal Trade Commission (the ``Commission'') proposes to
commence a rulemaking proceeding to repeal its Trade Regulation Rule on
Misbranding and Deception as to Leather Content of Waist Belts (``the
Leather Belt Rule'' or ``the Rule''). The proceeding will address
whether the Leather Belt Rule should be repealed or remain in effect.
The Commission is soliciting written comment, data, and arguments
concerning this proposal.
DATES: Written comments must be submitted on or before October 18,
1995.
ADDRESSES: Written comments should be identified as ``16 CFR Part 405''
and sent to Secretary, Federal Trade Commission, Room 159, Sixth Street
and Pennsylvania Ave., N.W., Washington DC 20580.
FOR FURTHER INFORMATION CONTACT:
Lemuel Dowdy or Edwin Rodriguez, Attorneys, Federal Trade Commission,
Division of Enforcement, Bureau of Consumer Protection, 601
Pennsylvania, Ave., NW., S-4302, Washington, DC 20580, (202) 326-2981
or (202) 326-3147.
SUPPLEMENTARY INFORMATION:
Part A--Background Information
This notice is being published pursuant to Section 18 of the
Federal Trade Commission (``FTC'') Act, 15 U.S.C. 57a et seq., the
provisions of Part 1, Subpart B of the Commission's Rules of Practice,
16 CFR 1.7, and 5 U.S.C. 551 et eq. This authority permits the
Commission to promulgate, modify, and repeal trade regulation rules
that define with specificity acts or practices that are unfair or
deceptive in or affecting commerce within the meaning of section 5
(a)(1) of the FTC Act, 15 U.S.C. 45(a)(1).
The Leather Belt Rule was promulgated on June 27, 1964, to remedy
deceptive practices involving misrepresentations about the leather
content of waist belts that are not offered for sale as part of a
garment. The Rule prohibits representations that belts not made from
the hide or skin of an animal are made of leather or that belts are
made of a specified animal hide or skin when such is not the case. In
addition, it requires that belts made of split leather, and ground,
pulverized or shredded leather bear a label or tag disclosing the kind
of leather of which the belt is composed. The Rule also requires that
non-leather belts having the appearance of leather bear a tag or label
disclosing their composition or disclosing that they are not leather.
As part of its continuing review of its trade regulation rules to
determine their current effectiveness and impact, the Commission
published a Federal Register notice on March 27, 1995, asking questions
about the benefits and burdens of the Rule to consumers and
industry.\1\ The request for comments elicited ten comments. Six
comments were submitted by consumers and four by leather or leather
goods manufacturers. Three comments recommend that the Commission amend
the Rule to allow the use of the term ``bonded leather'' when a leather
good is made of ground, pulverized, or shredded leather that is bonded
with an adhesive. Seven comments support the continuation of the
Leather Belt Rule as it currently exists. Two comments, from industry
members, support guidelines for leather goods as a whole, as opposed to
piecemeal regulation of individual leather products.
\1\ 60 FR 15725. On the same date, the Commission published a
Federal Register notice soliciting comments on its Industry Guides
for luggage, shoes, and ladies' handbags. 60 FR 15724. See Guides
for the Luggage and Related Products Industry, 16 CFR Part 24;
Guides for Shoe Content Labeling and Advertising, 16 CFR Part 231;
and Guides for the Ladies' Handbag Industry, 16 CFR Part 247.
---------------------------------------------------------------------------
The consumer comment express continuing support for the Rule,
contending that its disclosure requirements help consumers make
informed purchasing decisions. One industry comment supports the Rule
for the same reason. These commenters state that the rule helps
consumers identify belts made of different types of cowhide leather,
such as top grain leather, and split leather. In addition, they believe
that the disclosures required by the Rule allow consumers to identify
belts made of vinyl, plastic, polyurethane, paper and other synthetic
materials that can be made to look like leather. Without these
disclosures, the consumer commenters believe, consumers cannot be
certain of the quality of the leather used in belts, or that belts are
made of leather at all. Two
[[Page 48071]]
of the comments express support for consolidating the Rule and the
Guides into one set of guidelines for leather goods, which would set
out definitions for leather that apply to all finished leather goods.
In two separate documents published elsewhere in this issue of the
Federal Register, the Commission has announced that, to eliminate
unnecessary duplication, it has rescinded the three separate guides for
various leather products and seeks public comment on one set of
proposed, consolidated guidelines: the Guides for Select Leather and
Imitation Leather Products.\2\ Accordingly, the Commission has
tentatively determined that a separate Leather belt Rule is no longer
necessary, and seek comments on he proposed repeal of the Rule.
\2\ Repealing the rule would eliminate the Commission's ability
to obtain civil penalties for any future misrepresentations of the
leather content of belts. However, the Commission has tentatively
determined that repealing the rule would not seriously jeopardize
the Commission's ability to act effectively. Any significant
problems that might arise could be addressed on a case-by-case
basis, administratively under Section 5 of the FTC Act, 15 U.S.C.
45, or through Section 13(b) actions, 15 U.S.C. 53(b), filed in
federal district court. Prosecuting serious misrepresentations in
district court allows the Commission to obtain injunctive relief as
well as equitable remedies, such as redress or disgorgement.
---------------------------------------------------------------------------
Part B--Objectives
Based on this review, the Commission has tentatively determined
that the Leather Belt Rule may not be necessary and in the public
interest. The Commission believe that a single set of industry guides
for leather products serves the public interest better than a Rule for
leather belts and miscellaneous guides for other leather products. The
objective of this notice is to solicit comment on whether the
Commission should initiate a rulemaking proceeding to repeal the
Leather Belt Rule.
Part C--Alternative Actions
The Commission is not considering any alternative other than the
possibility of repealing the Leather Belt Rule.
Part D--Request for Comments
Members of the public are invited to comment on any issues or
concerns they believe are relevant or appropriate to the Commission's
review of the Leather Belt Rule. The Commission requests that factual
data upon which the comments are based be submitted with the comments.
In this section, the Commission identifies the issues on which it
solicits public comments. The identification of issues is designed to
assist the public and should not be construed as a limitation on the
issues on which public comment may be submitted.
Questions
(1) Is the misrepresentation of the leather contents of belts by
manufacturers and distributors of belts still a significant problem in
the marketplace?
(2) What benefits do consumers derive from the Rule?
(3) Should the Rule be kept in effect or should it be repealed?
(4) How would repealing the Rule affect the benefits experienced by
consumers?
(5) How would repealing the Rule affect the benefits and burdens
experienced by firms subject to the Rule's requirements?
(6) Are there any other federal or state laws or regulations, or
private industry standards, that eliminate the need for the Rule?
(7) Are the proposed Guides for Select Leather and Imitation
Leather Products likely to provide all or most of the benefits now
provided by the Rule?
Authority: Section 18(d)(2)(B) of the Federal Trade Commission
Act, 15 U.S.C. 57a(d)(2)(B).
List of Subjects in 16 CFR Part 405
Advertising, Clothing, Labeling, Leather and leather products
industry, Trade practices.
By direction of the Commission.
Donald S. Clark,
Secretary.
[FR Doc. 95-23040 Filed 9-15-95; 8:45 am]
BILLING CODE 6750-01-M