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FTC Proposes to Extend Fur Labeling Information Collection

Monday, March 12, 2018
Sandler, Travis & Rosenberg Trade Report

The Federal Trade Commission is requesting comments no later than May 8 on a proposal to extend for three years the current Paperwork Reduction Act clearances for information collection requirements contained in the rules and regulations under the Fur Products Labeling Act.

The Fur Act prohibits the misbranding and false advertising of fur products, while the Fur Rules establish disclosure requirements that assist consumers in making informed purchasing decisions as well as recordkeeping requirements that assist the FTC in enforcing the Rules. The Fur Rules require that retailers, manufacturers, processors, and importers of furs and fur products keep certain records in addition to those they may keep in the ordinary course of business and also provide a procedure for exemption from certain disclosure provisions under the Fur Act.

The FTC expects that recent amendments to the Fur Act have increased the cost of complying with the Fur Rules as amended. Congress eliminated the FTC’s power to exempt from the labeling requirements items where either the cost of the fur trim to the manufacturer or the manufacturer’s selling price for the finished product is less than $150. As a result, more garments are now subject to the Fur Act and Rules, which will impose higher recordkeeping and labeling costs on manufacturers, importers, and retailers.

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