Regulatory Reform Update
In Federal Register notices published on December 21 the Federal Trade Commission announced that it is rescinding two of its guides - the Guides Against Deceptive Labeling and Advertising of Adhesive Compositions and the Guides for the Decorative Wall Paneling Industry. Since 1992, the Commission has been systematically reviewing its rules and industry guides to assess their costs and benefits, as well as their regulatory and economic impact. In many instances, the Commission has modified or rescinded guides and rules.
The Adhesive Compositions Guides, promulgated by the Commission on November 8, 1967, provided guidance to manufacturers, distributors, wholesalers, jobbers, and retailers of adhesive products regarding the labeling and advertising of these products. The Guides counseled against the use of terms suggesting that various adhesive products contained or had the properties of metal, solder or weld, porcelain, epoxy, and rubber if those products did not, in fact, have the same chemical or physical properties as the specified products. The Commission solicited comments on the Adhesive Compositions Guides in the Federal Register on April 9, 1998, and the comment period ended June 8, 1998. Based on the review, the Commission concluded that due to technological changes in the industry, the guides were outdated and no longer needed.
On March 27, 1998, the Commission published a Federal Register notice initiating a regulatory review of the Commission's Guides for the Decorative Wall Paneling Industry, and the comment period ended on May 26, 1998. These Guides, promulgated by the Commission on December 15, 1971, provided guidance to manufacturers, retail distributors, and other suppliers of decorative wall panels with regard to labeling, advertising, and promoting their products in a manner consistent with Section 5 of the Federal Trade Commission Act. The Guides were 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 Commission determined, based on its review, that the guides are no longer necessary because of a strong, self-regulatory industry standard and a high level of industry compliance.
The Commission votes to rescind the Guides were 4-0.
Copies of the full text of the Federal Register notices are available from the FTC's web site at http://www.ftc.gov and also from the FTC's Consumer Response Center, Room 130, 600 Pennsylvania Avenue, N.W., Washington, D.C. 20580; 202-FTC-HELP (202-382-4357); TDD for the hearing impaired 1-866-653-4261. To find out the latest news as it is announced, call the FTC NewsPhone recording at 202-326-2710.
- Media Contact:
- Office of Public Affairs
- Staff Contact:
- Erika Wodinsky (Adhesives Guides)
Eric Nickerson (Decorative Wall Paneling Guides)
(FTC File Nos. Adhesives Guides: P988902; Decorative Wall Paneling Guides: P988303)