Guides Against Deceptive Labeling and Advertising of Adhesive Compositions

FEDERAL TRADE COMMISSION

16 CFR Part 235

Guides Against Deceptive Labeling and Advertising of Adhesive

Compositions

AGENCY: Federal Trade Commission.

ACTION: Rescission of the Guides Against Deceptive Labeling and

Advertising of Adhesive Compositions.

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SUMMARY: On April 9, 1998 the Commission published a Federal Register

notice initiating the regulatory review of the Federal Trade

Commission's (``Commission'') Guides Against Deceptive Labeling and

Advertising of Adhesive Compositions (``Adhesive Compositions Guides''

or ``the Guides''), 16 CFR Part 235. The Commission has now completed

its review, and determined to rescind the Guides.

EFFECTIVE DATE: December 21, 1998.

ADDRESS: Requests for copies of the Federal Register Notice should be

sent to the Consumer Response Center, Room 130, Federal Trade

Commission, 600 Pennsylvania Ave., N.W., Washington, DC 20580. The

notice and news release announcing the rescission of the Guides are

available on the Internet at the Commission's website, ``http://

www.ftc.gov''.

FOR FURTHER INFORMATION CONTACT: Erika Wodinsky, Assistant Regional

Director, Federal Trade Commission, San Francisco Regional Office, 901

Market Street, Suite 570, San Francisco, CA 98103, telephone number

(415) 356-5270, E-mail ``[email protected]''.

SUPPLEMENTARY INFORMATION: The Adhesive Compositions Guides,

promulgated by the Commission on November 8, 1967, provide guidance to

manufacturers, distributors, wholesalers, jobbers, and retailers of

adhesive products regarding the labeling and advertising of these

products. The Guides counsel against the use of terms that suggest that

various adhesive products contain or have the properties of metal,

solder or weld, porcelain, epoxy, and rubber if those products do not,

in fact, have the same chemical or physical properties as the specified

products. See Guides 1-5. In addition, the Guides contain a general,

overall statement about what types of claims for adhesive products will

be viewed as deceptive in advertising or labeling. In particular, the

Guides address the use of representations that are likely to mislead or

deceive purchasers about the nature, composition, capabilities,

durability, hardness, adhesive strength, lasting effect, thermal or

electrical properties, or resistance to deterioration of adhesive

products. One section of the Guides also advises that a representation

that a product is ``guaranteed'' should contain a clear and conspicuous

disclosure of the extent of the guarantee, any material conditions or

limitations imposed by the guarantor, the manner in which the guarantor

will perform thereunder, and the identity of the guarantor. Finally,

the Guides advise against manufacturers and distributors providing

another person with promotional materials through which that person

deceives consumers with respect to adhesive products.

The Commission has determined, as part of its oversight

responsibilities, to review rules and industry 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 solicited comments on the Adhesive Compositions Guides in

the Federal Register on April 9, 1998, 63 FR 17348. The Commission's

staff also mailed copies of the notice to three industry trade

associations, representing over 150 industry members, to ensure that

all interested parties would have an opportunity to comment. The

comment period ended June 8, 1998.

The Commission received three comments. Two comments were from

consumers who supported retaining the Guides and expressed general

concern about the need to prevent deception in labeling adhesive

products. Although both letters provided thoughtful comment on the

importance of protecting consumers from deception,

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neither offered any specific examples of deception observed in this

industry.

The third comment was submitted by the Adhesives and Sealant

Council, Inc. (``ASC''), an industry trade association. ASC expressed

concern that the Guides, as presently written, have little practical

use due to significant technological changes since their adoption. It

noted that:

Since the early 1970's a wide range of adhesives and sealants,

designed for specific applications, have entered the commercial

market and it would be beneficial to today's more sophisticated

consumers if the Guidelines offered descriptions [of] the various

types of adhesives, i.e., silicones, urethanes, acrylics or epoxy

adhesives.

ASC also suggested that the Guides, if retained, might require a

statement of the type and percentage of any solvent content within a

product. In addition, ASC suggested that the Guides have better

definitions, in light of the new types of materials being used today.

It noted, for example, that ``the term `rubber' normally means natural

rubber unless there is some type of prefix included such as `silicone

rubber,' '' and suggested that the term be defined more broadly to

include ``elastomeric materials not necessarily based on natural

rubber.'' The association recommended that the Guides be discontinued

unless they can be modified substantially.

Industry compliance with the Guides appears to be satisfactory. In

the 31 years since the Guides were issued, the Commission has not

received any complaints or initiated any enforcement actions relating

in any way to these Guides. If, in the future, deceptive practices

prove to be a problem in this industry, however, the Commission may

pursue enforcement actions, under section 5 of the Federal Trade

Commission Act, 15 U.S.C. 45, as needed on a case-by-case basis.

For the reasons explained in this notice, the Commission has

determined to rescind the Guides because they are no longer necessary.

List of Subjects in 16 CFR Part 235

Adhesives, Advertising, Labeling, Trade practices.

PART 235--[REMOVED]

The Commission, under authority of sections 5(a)(1) and 6(g) of the

Federal Trade Commission Act, 15 U.S.C. 45(a)(1) and 46(g), amends

Chapter I of Title 16 of the Code of Federal Regulations by removing

Part 235.

By direction of the Commission.

Donald S. Clark,

Secretary.

[FR Doc. 98-33704 Filed 12-18-98; 8:45 am]

BILLING CODE 6750-01-P