98-16953. Amended Enforcement Policy Statement Concerning Clear and Conspicuous Disclosure in Foreign Language Advertising and Sales Materials  

  • [Federal Register Volume 63, Number 123 (Friday, June 26, 1998)]
    [Rules and Regulations]
    [Pages 34807-34808]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 98-16953]
    
    
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    FEDERAL TRADE COMMISSION
    
    16 CFR Part 14
    
    
    Amended Enforcement Policy Statement Concerning Clear and 
    Conspicuous Disclosure in Foreign Language Advertising and Sales 
    Materials
    
    AGENCY: Federal Trade Commission.
    
    ACTION: Final rule; Statement of policy.
    
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    SUMMARY: The Commission has determined that it would be appropriate to 
    amend its Enforcement Policy Statement regarding clear and conspicuous 
    disclosures in foreign language advertising and sales materials. The 
    amended policy statement is intended to clarify the 1973 Enforcement 
    Policy Statement.
    
    EFFECTIVE DATE: June 26, 1998.
    
    FOR FURTHER INFORMATION CONTACT:
    Linda K. Badger or Matthew D. Gold, San Francisco Regional Office, 
    Federal Trade Commission, 901 Market Street, Suite 570, San Francisco, 
    CA 94103, (415) 356-5270.
    
    SUPPLEMENTARY INFORMATION: The Federal Trade Commission 
    (``Commission'') has noted that some advertisements appearing in 
    foreign language publications feature advertising copy in both English 
    and a foreign language, but include the required disclosure only in 
    English. Because the target audience for these ads is non-English 
    speaking, the Commission believes that the required disclosure should 
    be provided in the language of the target audience, rather than 
    English. This policy statement clarifies the Commission's policy under 
    these circumstances.
        The Commission, on two occasions, has addressed the issue of 
    disclosures in foreign language advertising. On August 9, 1973, the 
    Commission issued an Enforcement Policy Statement dealing with 
    disclosures in foreign language advertising. That policy statement, 
    which is codified at 16 CFR 14.9, reads in pertinent part: ``(a) Where 
    cease-and-desist orders as well as rules, guides and other statements 
    require `clear and conspicuous' disclosure of certain information, that 
    disclosure must be in the same language as that principally used in the 
    advertisements and sales materials involved.\1\ Staff has been informed 
    that some companies have interpreted the 1973 Enforcement Policy 
    Statement to mean that a disclosure must be in English, regardless of 
    the target audience of the advertisement, if the number of English 
    words in an advertisement exceeds the number of foreign language words.
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        \1\ 38 FR 21494 (Aug. 9, 1973).
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        On November 4, 1986, the Commission issued its Regulations Under 
    the Comprehensive Smokeless Tobacco Health Education Act of 1986.\2\ 
    Those regulations address, inter alia, the language in which the 
    Surgeon General's health warning must appear in advertisements for 
    smokeless tobacco products. The smokless tobacco regulations require 
    that:
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        \2\ 16 CFR 307 (1997).
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        In the case of an advertisement for a smokeless tobacco product in 
    a newspaper, magazine, periodical, or other publication that is not in 
    English, the warning statement shall appear in the predominant language 
    of the publication in which the advertisement appears. In the case of 
    any other advertisement, the warning statement shall appear in the same 
    language as that principally used in the advertisement.\3\
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        \3\ 16 CFR 307.5
    
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    [[Page 34808]]
    
        While the policy statement focuses on the principal language of the 
    advertisement, the smokeless tobacco regulation looks to the 
    predominant language of the publication in determining the language in 
    which the Surgeon General's health warning must appear.
        The Commission believes that, for advertisements in publications, 
    the smokeless tobacco language is better calculated to ensure 
    compliance with the original intent of the 1973 Enforcement Policy 
    Statement--that disclosures be communicated effectively to the 
    advertisement's target audience.
        By amending the policy statement as proposed, the Commission would 
    not be creating a new regulation. The policy statement amendment merely 
    would clarify the original intent of the 1973 Enforcement Policy 
    Statement--that all American consumers, regardless of the language they 
    speak, have access to important information regarding the products they 
    purchase.
    
    List of Subjects in 16 CFR Part 14
    
        Trade practices.
    
        Accordingly, for the reasons set forth in the preamble, the 
    Commission hereby amends Title 16, Part 14 of the Code of Federal 
    Regulations as follows:
    
    PART 14--ADMINISTRATIVE INTERPRETATIONS, GENERAL POLICY STATEMENTS, 
    AND ENFORCEMENT POLICY STATEMENTS
    
        1. The authority citation for part 14 continues to read as follows:
    
        Authority: 15 U.S.C. 41-58
    
        2. Section 14.9 is amended by revising paragraphs (a) and (b) to 
    read as follows:
    
    
    Sec. 14.9  Requirements concerning clear and conspicuous disclosures in 
    foreign language advertising and sales materials.
    
    * * * * *
        (a) Where cease-and-desist orders as well as rules, guides and 
    other statements require ``clear and conspicuous'' disclosure of 
    certain information in an advertisement or sales material in a 
    newspaper, magazine, periodical, or other publication that is not in 
    English, the disclosure shall appear in the predominant language of the 
    publication in which the advertisement or sales material appears. In 
    the case of any other advertisement or sales material, the disclosure 
    shall appear in the language of the target audience (ordinarily the 
    language principally used in the advertisement or sales material).
        (b) Any respondent who fails to comply with this requirement may be 
    the subject of a civil penalty or other law enforcement proceeding for 
    violating the terms of a Commission cease-and-desist order or rule.
    
        By direction of the Commission
    Donald S. Clark,
    Secretary.
    [FR Doc. 98-16953 Filed 6-25-98; 8:45 am]
    BILLING CODE 6750-01-M
    
    
    

Document Information

Published:
06/26/1998
Department:
Federal Trade Commission
Entry Type:
Rule
Action:
Final rule; Statement of policy.
Document Number:
98-16953
Dates:
June 26, 1998.
Pages:
34807-34808 (2 pages)
PDF File:
98-16953.pdf
CFR: (1)
16 CFR 14.9