[BILLING CODE 6750-01]

FEDERAL TRADE COMMISSION
16 CFR PART 243

GUIDES FOR THE DECORATIVE WALL PANELING INDUSTRY

AGENCY: Federal Trade Commission.

ACTION: Request for public comments.

SUMMARY: The Federal Trade Commission (“Commission”) is requesting public comments on its Guides for the Decorative Wall Paneling Industry (“Decorative Wall Paneling Guides” or “the Guides”). The Commission is also requesting comments about the overall costs and benefits of its Guides and their overall economic impact, as part of its systematic review of all current Commission regulations and guides.

DATES: Written comments will be accepted until [Insert date 60 days after date of publication in Federal Register].

ADDRESS: Mailed comments should be directed to: Secretary, Federal Trade Commission, Room H-159, Sixth Street and Pennsylvania Ave., N.W., Washington, D.C. 20580. Mailed comments about the Guides for the Decorative Wall Paneling Industry should be identified as “CFR Part 243 -- Comment.” E-mail comments will be accepted at [paneling@ftc.gov]. Those who comment by e-mail should give a mailing address to which an acknowledgment can be sent.

FOR FURTHER INFORMATION CONTACT: Eric Nickerson, Investigator, Federal Trade Commission, Denver Regional Office, 1961 Stout Street, Suite 1523, Denver, CO 80294, telephone number (303) 844-3584, E-mail [enickerson@ftc.gov].

SUPPLEMENTARY INFORMATION:

I. DECORATIVE WALL PANELING GUIDES

The Commission promulgated the Guides for the Decorative Wall Paneling Industry on December 15, 1971, 36 FR 23796 (1971), under section 5 of the Federal Trade Commission Act (“FTC Act”), 15 U.S.C. 45.(1) The Guides became effective on December 15, 1972.

These Guides, like the other industry guides issued by the Commission, “are administrative interpretations of laws administered by the Commission for the guidance of the public in conducting its affairs in conformity with legal requirements.” 16 CFR 1.5. Conduct inconsistent with the Guides may result in corrective action by the Commission under applicable statutory provisions.

The Decorative Wall Paneling Guides provide guidance to manufacturers, retail distributors, and other suppliers (“sellers”) of decorative wall panels in labeling, advertising, and promoting their products in a manner consistent with Section 5 of the FTC Act. The Guides are designed to protect purchasers from being misled by the appearance of a product, or by deceptive descriptions, depictions, designations, or representations in advertisements, labels, or other promotional materials.

The Guides provide examples of non-deceptive references and representations with respect to the construction, composition, or appearance of industry products. The Guides also point out that sellers bear the affirmative responsibility of providing detailed disclosures regarding the composition of the products being offered.

II. REGULATORY REVIEW PROGRAM

The Commission has determined, as part of its oversight responsibilities, to review rules and guides periodically. These reviews seek information about the costs and benefits of the Commission’s rules and guides and their regulatory and economic impact. The information obtained assists the Commission in identifying rules and guides that warrant modification or rescission. The Commission solicits comments on, among other things, the economic impact of and the continuing need for the Guides; possible conflict between the Guides and state, local, or other federal laws; and the effect on the Guide of any technological, economic, or other industry changes.

III. REQUEST FOR COMMENT

The Commission solicits written public comments on the following questions:

(1) Is there a continuing need for the Decorative Wall Paneling Guides?

(a) What benefits have the Guides provided to purchasers of the products affected by the Guides?

(b) Have the Guides imposed costs on purchasers?

(2) What changes, if any, should be made to the Guides to increase the benefits of the Guides to purchasers?

(a) How would these changes affect the costs the Guides impose on firms adhering to their advice? How would these changes affect the benefits to purchasers?

(3) What significant burdens or costs, including costs of compliance, have the Guides imposed on firms subject to their advice?

(a) Have the Guides provided benefits to such firms? If so, what benefits?

(4) What changes, if any, should be made to the Guides to reduce the burdens or costs imposed on firms subject to their advice?

(a) How would these changes affect the benefits provided by the Guides?

(5) Do the Guides overlap or conflict with other federal, state, or local laws or regulations?

(6) Since the Guides were issued, what effects, if any, have changes in the global marketplace, relevant technology or economic conditions had on the Guides? For example, do sellers use E- mail, the Internet or CD ROM to advertise or sell decorative wall panels? If so, in what manner? Does use of this new technology affect consumers’ rights or sellers’ responsibilities under the Guides?

(7) Are there problems today in the labeling, advertising, or selling of decorative wall panels? If yes, what are the nature of these problems? Do the Guides adequately address any problems that may exist?

(8) Are any portions of the Guides outdated or otherwise no longer relevant in this industry?

(9) Are there industry standards covering any of the issues addressed by the Guides? If yes, what are they?

List of Subjects in 16 CFR Part 243: Advertising, Forests and forest products, Labeling, Trade practices, Wall paneling industry.

Authority: 15 U.S.C. 41-58.

By direction of the Commission.

Donald S. Clark
Secretary

(1) Section 5 of the FTC Act declares unfair methods of competition and unfair or deceptive acts or practices to be unlawful.