[Federal Register Volume 60, Number 244 (Wednesday, December 20, 1995)]
[Rules and Regulations]
[Pages 65530-65532]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-31012]
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FEDERAL TRADE COMMISSION
16 CFR Part 404
Trade Regulation Rule Concerning Deceptive Advertising and
Labeling as to Size of Tablecloths and Related Products
AGENCY: Federal Trade Commission.
ACTION: Repeal of rule.
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SUMMARY: The Federal Trade Commission announces the repeal of the Trade
Regulation Rule concerning Deceptive Advertising and Labeling as to
Size of Tablecloths and Related
[[Page 65531]]
Products. The Commission has reviewed the rulemaking record and
determined that due to changes in industry practices and state laws,
the Rule no longer serves the public interest and should be repealed.
This notice contains a Statement of Basis and Purpose for repeal of the
Rule.
EFFECTIVE DATE: December 20, 1995.
ADDRESSES: Requests for copies of the Statement of Basis and Purpose
should be sent to Public Reference Branch, Room 130, Federal Trade
Commission, 6th Street & Pennsylvania Avenue N.W., Washington, DC
20580.
FOR FURTHER INFORMATION CONTACT:
Janice Podoll Frankle, Esq., (202) 326-3022, Division of Enforcement,
Bureau of Consumer Protection, Federal Trade Commission, Washington, DC
20580.
SUPPLEMENTARY INFORMATION:
Statement of Basis and Purpose
I. Background
The Trade Regulation Rule concerning Deceptive Advertising and
Labeling as to Size of Tablecloths and Related Products (Tablecloth
Rule), 16 CFR Part 404, was promulgated in 1964 (29 FR 11261). The
Tablecloth Rule declares that in connection with the sale or offering
for sale of tablecloths and related products, such as doilies, table
mats, dresser scarves, place mats, table runners, napkins and tea sets,
any representation of the cut size (that is, the dimensions of
unfinished materials used in the construction of such products)
constitutes an unfair method of competition and an unfair and deceptive
act or practice unless.
(a) ``Such `cut size' dimensions are accompanied by the words `cut-
size' ''; and
(b) ``The `cut size' is accompanied by a clear and conspicuous
disclosure of the dimensions of the finished products and by an
explanation that such dimensions constitute the finished size.''
On May 23, 1995, the Commission published an Advance Notice of
Proposed Rulemaking (ANPR) seeking comment on proposed repeal of the
Tablecloth Rule (60 FR 27242). In accordance with section 18 of the
Federal Trade Commission (FTC) Act, 15 U.S.C. 57a, the ANPR was sent to
the Chairman of the Committee on Commerce, Science and Transportation,
United States Senate, and the Chairman of the Subcommittee on Commerce,
Trade and Hazardous Materials, United States House of Representatives.
The comment period closed on June 22, 1995. The Commission received no
comments.
On September 18, 1995, the Commission published a Notice of
Proposed Rulemaking (NPR) initiating a proceeding to consider whether
the Tablecloth Rule should be repealed or remain in effect (60 FR
48067).\1\ This rulemaking proceeding was undertaken as part of the
Commission's ongoing program of evaluating trade regulation rules and
industry guides to ascertain their effectiveness, impact, cost and
need. This proceeding also responded to President Clinton's National
Regulatory Reinvention Initiative, which, among other things, urges
agencies to eliminate obsolete or unnecessary regulations. In the NPR,
the Commission announced its determination, pursuant to 16 CFR 1.20, to
sue expedited procedures in this proceeding.\2\ The comment period
closed on October 18, 1995. The Commission received no comments and no
requests to hold an informal hearing.
\1\ In accordance with section 18 of the FTC Act, 15 U.S.C. 57a,
the Commission submitted the NPR to the Chairman of the Committee on
Commerce, Science and Transportation, United States Senate, and the
Chairman of the Subcommittee on Commerce, Trade and Hazardous
Materials, United States House of Representatives, 30 days prior to
its publication.
\2\ These procedures included; publishing a Notice of Proposed
Rulemaking; soliciting written comments on the Commission's proposal
to repeal the Rule; holding an informal hearing, if requested by
interested parties; receiving a final recommendation from Commission
staff; and announcing final Commission action in the Federal
Register.
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II. Basis for Repeal of Rule
The Commission periodically reviews its rules and guides, seeking
information about their costs and benefits and their regulatory and
economic impact. The information obtained assists the Commission in
identifying rules and guides that warrant modification or rescission.
On April 19, 1993, the Commission published in the Federal Register a
request for public comments on the Tablecloth Rule, 58 FR 21124. The
Commission asked commenters to address the costs and benefits of the
Rule, the burdens it imposes, and the basis for assessing whether it
should be retained or amended.
The Commission received only one comment specifically addressing
this Rule along with a general comment referring to several rules under
review. The comment specific to this Rule was submitted by a trade
group representing the textile rental, linen supply, uniform rental,
dust control and commercial laundry services industries. In its one-
page comment letter, the association stated there is a continuing need
for this Rule. The commenter asserted that the Rule does not impose any
additional costs or burdens on entities subject to the Rule and that
the rule raises the level of professionalism in the industry.
In addition, one general comment, applicable to several rules being
reviewed, was received from an advertising agency association. This
organization recommended rescission of the Tablecloth Rule because the
general prohibitions covering false and deceptive advertising apply to
the industry. Thus, the commenter concluded that the Rule creates
unnecessary administrative costs for the government, industry members
or consumers.
Prior to the 1993 request for comments, Commission staff conducted
an informal review of industry practices by examining the marking of
dimensions on tablecloths and other items subject to the Rule available
for retail sale at several national chain stores. This informal review
revealed no instances of Rule violations. In fact, it appeared from the
limited review that industry products were marked with only the
finished size. Additionally, the Commission has no record of receiving
any complaints regarding non-compliance with the Rule, or of initiating
any law enforcement actions alleging violations of the Rule's
requirements. Finally, the National Conference on Weight and Measures'
Uniform Packaging and Labeling Regulation, which has been adopted by 47
states, regulates the labeling of tablecloths, and provides that these
items must be labeled with their finished size.
Because the practices that brought about the Tablecloth Rule are no
longer common industry practices and are otherwise addressed by state
law, the Rule is no longer necessary and should be repealed.
III. Regulatory Flexibility Act
The Regulatory Flexibility Act (RFA), 5 U.S.C. 601-11, requires an
analysis of the anticipated impact of the repeal of the Rule on small
businesses. The reasons for repeal of the Rule have been explained in
this Notice. Repeal of the Rule would appear to have little or no
effect on small businesses. Moreover, the Commission is not aware of
any existing federal laws or regulations that would conflict with
repeal of the Rule. For these reasons, the Commission certifies,
pursuant to Section 605 of the RFA, 5 U.S.C. 605, that this action will
not have a significant economic impact on a substantial number of small
entities.
IV. Paperwork Reduction Act
The Tablecloth Rule imposes third-party disclosure requirements
that
[[Page 65532]]
constitute ``information collection requirements'' under the Paperwork
Reduction Act, 44 U.S.C. 3501 et seq. Accordingly, repeal of the Rule
would eliminate any burdens on the public imposed by these disclosure
requirements.
List of Subjects in 16 CFR Part 404
Advertising, Tablecloths and related products, Trade practices.
PART 404--[REMOVED]
The Commission, under authority of Section 18 of the Federal Trade
Commission Act, 15 U.S.C. 57a, amends chapter I of title 16 of the Code
of Federal Regulations by removing Part 404.
By direction of the Commission.
Donald S. Clark,
Secretary.
[FR Doc. 95-31012 Filed 12-19-95; 8:45 am]
BILLING CODE 6750-01-M