[Federal Register Volume 60, Number 234 (Wednesday, December 6, 1995)]
[Proposed Rules]
[Pages 62352-62354]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-28555]
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FEDERAL TRADE COMMISSION
16 CFR Part 303
Rules and Regulations Under the Textile Fiber Products
Identification Act
AGENCY: Federal Trade Commission.
ACTION: Notice of proposed rulemaking.
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SUMMARY: On January 27, 1992, Courtaulds Fibers, Inc. (``Courtaulds'')
applied to the Federal Trade Commission (``the Commission'') requesting
establishment of a new generic name and definition for a fiber it
manufactures. It recommended ``lyocell'' be adopted as the new generic
name for this fiber. The application was filed pursuant to Rule 8 (16
CFR 303.8) of the Rules and Regulations Under the Textile Fiber
Products Identification Act, 15 U.S.C. 70 et seq., and Subpart C of
Part 1 of the Commission's Rules of Practice, 16 CFR 1.26. In the
application Courtaulds stated that its cellulosic fiber differs in kind
and chemical structure from any of the existing fiber definitions of
Rule 7 (16 CFR 303.7).
Commission staff, with the assistance of an expert on textiles,
after review of Courtauld's application, determined that various tests
were necessary in order to evaluate whether lyocell was, in fact, a new
generic fiber. Courtaulds performed these tests using the procedures
and under the conditions outlined by the textile expert. In March 1995,
Courtaulds submitted the results of these tests, as well as other
materials relating to its application.
Although the Commission has determined that the proposed new fiber
falls within the existing Rule 7(d) (16
[[Page 62353]]
CFR 303.7(d)) definition of ``rayon,'' the Commission believes it is in
the public interest to amend the Rule to recognize the fiber's unique
characteristics.
Rule 7(d) currently defines ``rayon'' as: a manufactured fiber
composed of regenerated cellulose, as well as manufactured fibers
composed of regenerated cellulose in which substituents have replaced
not more than 15% of the hydrogens of the hydroxyl groups.
Based on its review of the Courtaulds application and related
materials, the Commission proposed to retain the current Rule 7(d)
definition and to add the following sentence: Where the fiber is
composed of cellulose precipitated from an organic solution in which no
substitution of the hydroxyl groups takes place and no chemical
intermediates are formed, the term lyocell may be used as a generic
description of the fiber.
The Commission now solicits comments as to whether Rule 7(d) should
be amended and, if so, the form of such an amendment.
DATE: Written comments will be accepted until February 5, 1996.
ADDRESS: Comments and other submissions should be directed to:
Secretary, Federal Trade Commission, Room H-159, Sixth and Pennsylvania
Avenue NW., Washington, DC 20580. Submissions should be identified as
``Rule 7(d) Under the Textile Act--Comment.''
FOR FURTHER INFORMATION CONTACT:
Bret S. Smart, Program Advisor, Los Angeles Regional Office, Federal
Trade Commission, 11000 Wilshire Boulevard, #13209, Los Angeles, CA
90024, (310) 235-7890.
SUPPLEMENTARY INFORMATION:
Section A. Background
Rule 6 (16 CFR Sec. 303.6) of the Rules and Regulations Under the
Textile Act requires covered persons to use the generic names of the
fibers contained in covered textile fiber products when making required
disclosures of the fiber content of the products. Rule 7 (16 CFR 303.7)
sets forth the generic names and definitions that the Commission has
established for manufactured fibers. These generic manufactured fibers
have been found by the Commission to be individually unique and
distinctive by virtue of their chemical composition and physical
properties. Rule 8 (16 CFR 303.8) sets the procedures for establishing
new generic names. Upon receipt of an application for a new generic
name, the Commission must, within 60 days, either deny the application
or assign to the fiber a numerical or alphabetical symbol for temporary
use during further consideration of the application.
Courtaulds submitted its application requesting establishment of
``lyocell'' as a new generic fiber name on January 27, 1992. After an
initial analysis the Commission granted Courtaulds the designation
``CF0001'' for temporary use in identifying the fiber until the final
determination is made as to the disposition of the application.
Commission staff, with the assistance of an expert on textiles,
determined that various tests were necessary in order to evaluate
whether lyocell was, in fact, a new generic fiber. Courtaulds performed
these tests using the procedures and under the conditions outlined by
the textile expert. In March 1995, Courtaulds submitted the results of
these tests, as well as other materials relating to its application.
The application and related materials have been placed on the
rulemaking record.
The effect of the proposed amendment would be to allow use of the
name ``lyocell'' as an alternative to the generic name ``rayon'' for
the subcategory of rayon fibers meeting the further criteria contained
in the sentence added by the proposed amendment. Within the established
21 generic names for manufactured fibers, there are presently two cases
where such generic name alternatives may be used. Specifically,
pursuant to Rule 7(e) (16 CFR 303.7(e)), within the generic category
``acetate,'' the term ``tricacetate'' may be used as an alternative
generic description for a specifically defined subcategory of acetate
fiber. And pursuant to Rule 7(j) (16 CFR 303.7(j)), within the generic
category ``rubber,'' the term ``lastrile'' may be used as an
alternative generic description for a specifically defined subcategory
of rubber fiber.
The Commission takes this opportunity to clarify its policy
concerning the criteria by which it will decide the disposition of
petitions filed under Rule 8 of the Textile Act Rules, 16 CFR 303.8
(1995). In 1973, at the conclusion of the rulemaking that led to
creation of the new generic name ``aramid,'' the Commission declared
the following policy for adopting generic fiber names:
[T]he Commission, in the interest of elucidating the grounds on
which it has based this decision and shall base future decisions as
to the grant of generic names for textile fibers, sets out the
following criteria for grant of such generic names.
1. The fiber for which a generic name is requested must have a
chemical composition radically different from other fibers, and that
distinctive chemical composition must result in distinctive physical
properties of significance to the general public.
2. The fiber must be in active commercial use or such use must
be immediately foreseen.
3. The grant of the generic name must be of importance to the
consuming public at large, rather than to a small group of
knowledgeable professionals such as purchasing officers for large
Government agencies.
The Commission believes it is in the public interest to prevent
the proliferation of generic names, and will adhere to a stringent
application of the above-mentioned criteria in consideration of any
future applications for generic names and in a systematic review of
any generic names previously granted which no longer meet these
criteria.
As exemplified by today's action and reflected in this notice, the
Commission generally reaffirms its 1973 criteria. In addition, it notes
that where appropriate, in considering applications for new generic
names for fibers that are of the same general chemical composition as
those for which a generic name already has been established, rather
than of a chemical composition that is radically different, but that
have distinctive properties of importance to the general public as a
result of a new method of manufacture or their substantially
differentiated physical characteristics, such as their fiber structure,
it may allow such fiber to be designated in required information
disclosures by either its generic name, or alternatively, by its
``subclass'' name. The Commission will consider this disposition when
the distinctive feature or features of the subclass fiber make it
suitable for uses for which other fibers under the established generic
name would not be suited or would be significantly less well suited.
The Commission believes that Courtaulds' current application
describes a subclass of generic rayon fibers with significant
distinctions to consumers resulting from physical characteristics of
the fiber and its new mode of manufacture that meet the above standard
for allowing designation by the subclass name ``lyocell.'' Courtaulds'
application and other documents and materials related to the petition
describe the lyocell fiber, its manufacture and possible uses as
follows:
Lyocell fiber results from the dissolution of cellulose into an
aqueous solution of N-methyl morpholine oxide and the precipitation of
the fiber out of solution. This process is unique among methods used to
manufacture other existing rayons. As a result, the molecular structure
of lyocell fiber is radically different from that of other rayons in
that it has a substantially
[[Page 62354]]
higher degree of polymerization and greater crystallinity. These
differences induce high wet and dry tenacity as well as high initial
wet modulus in lyocell fiber. Consequently, garments made from the
fiber are highly resistant to shrinkage and wrinkling and therefore do
not require drycleaning, unlike other rayons. In addition to its use in
apparel, Courtaulds maintains that lyocell may be used to produce
biodegradable paper and hydro-entangled nonwoven products since, unlike
other rayons, it fibrillates upon beating.
Section B. Invitation to Comment
In today's notice, the Commission is soliciting comments on all
aspects of the appropriateness of the proposed amendment to Rule 7(d).
Before adopting this proposed amendment, the Commission will give
consideration to any written comments and materials submitted to the
Secretary of the Commission within the time period stated above.
Submissions will be available for public inspection in accordance with
the Freedom of Information Act, 5 U.S.C. 552, and Commission
Regulations on normal business days between the hours of 8:30 a.m. and
5 p.m. at the Public Reference Room, Room 130, Federal Trade
Commission, 6th & Pennsylvania Avenue NW., Washington, DC 20580.
Section C. Regulatory Flexibility Act
The provisions of the Regulatory Flexibility Act relating to an
initial and final regulatory analysis, 5 U.S.C. 603-604, are not
applicable to this document because it is believed the amendment, if
promulgated, will not have a significant economic impact on a
substantial number of small entities. In considering the economic
impact of the proposed amendment on manufacturers and retailers, the
Commission notes that the amendment will impose no obligations,
penalties, or costs. The amendment would simply allow covered companies
to use the term ``lyocell'' as an alternative generic description for
``rayon'' for a well-defined subcategory of rayon fibers. The amendment
would impose no additional labeling requirements nor would it mandate
any changes in labeling.
To ensure, however, that no substantial economic impact is being
overlooked, public comment is requested on the effect of the proposed
amendment on costs, profit, competitiveness, and employment in small
entities. Subsequent to the receipt of public comments, the Commission
will decide whether the preparation of a final regulatory flexibility
analysis is warranted. Accordingly, based on available information, the
Commission hereby certifies, pursuant to the Regulatory Flexibility
Act, 5 U.S.C. Sec. 605(b), that the proposed amendment will not have a
significant economic impact on a substantial number of small entities.
This notice serves as certification to that effect for the purposes of
the Small Business Administration.
Section D. Paperwork Reduction Act
This proposed amendment does not constitute a ``collection of
information'' under the Paperwork Reduction Act of 1995, P.L. 104-13,
109 Stat. 163, and the implementing regulation, 5 CFR Part 1320 et seq.
The generic name petition request has already been submitted to the
OMB and has been assigned a control number, 3084-0047.
List of Subjects in 16 CFR Part 303
Labeling, Textiles, Trade practices.
Authority: Sec. 7(c) of the Textile Fiber Products
Identification Act, 15 U.S.C. 7(c); Sec. 553 of the Administrative
Procedure Act, 5 U.S.C. 553.
By direction of the Commission.
Donald S. Clark,
Secretary.
[FR Doc. 95-28555 Filed 12-5-95; 8:45 am]
BILLING CODE 6750-01-M
