[December 9, 2002 (Volume 67, Number 236)]
[Unified Agenda]
From the Federal Register Online via GPO Access [frwais.access.gpo.gov]
[Page 75609-75616]
Federal Trade Commission
[[Page 75609]]
-----------------------------------------------------------------------
Part LVIII
-----------------------------------------------------------------------
Semiannual Regulatory Agenda
[[Page 75610]]
FEDERAL TRADE COMMISSION (FTC)
_______________________________________________________________________
FEDERAL TRADE COMMISSION
16 CFR Ch. I
Semiannual Regulatory Agenda
AGENCY: Federal Trade Commission.
ACTION: Semiannual regulatory agenda.
_______________________________________________________________________
SUMMARY: The following agenda of Commission proceedings is published in
accordance with section 22(d)(1) of the Federal Trade Commission Act,
15 U.S.C. 57b-3(d)(1), and the Regulatory Flexibility Act (RFA), 5
U.S.C. 601 et seq., as amended by the Small Business Regulatory
Enforcement Fairness Act of 1996, title II of Pub. L. 104-121, 110
Stat. 847. The Commission's agenda follows guidelines and procedures
issued July 19, 2002, by the Office of Management and Budget in
accordance with the provisions of Executive Order No. 12866,
``Regulatory Planning and Review'' of September 30, 1993. 58 FR 51735
(October 4, 1993). This edition of the Unified Agenda of Federal
Regulatory and Deregulatory Actions includes The Regulatory Plan, which
appears in part II of this issue of the Federal Register. The Federal
Trade Commission's Statement of Regulatory Priorities is included in
part II.
The Commission has identified a rulemaking that is related to
the events of September 11, 2001, because the USA PATRIOT Act,
Pub.L. 107-56, 115 Stat. 272, amended the Telemarketing and
Consumer Fraud and Abuse Prevention Act, 16 USC 6101-6108, and thus
affects the Telemarketing Sales Rule, 16 CFR part 310.
The Commission has responded to the optional information
requirement to identify rulemakings that are likely to have some
impact on small entities but are not subject to the requirements of
the RFA. The current rulemakings that are likely to have some
impact on small entities include: (1) Smokeless Tobacco Rules, 16
CFR part 307; (2) the Pay-Per-Call Rule, 16 CFR part 308; (3)
Labeling Requirements for Alternative Fuels and Alternative-Fueled
Vehicles, 16 CFR part 309; (4) the Telemarketing Sales Rule, 16 CFR
part 310; (5) the Franchise and Business Opportunities Rule, 16 CFR
part 436; (6) the Funeral Rule, 16 CFR part 453; (7) the Trade
Regulation Rule on Ophthalmic Practice Rules, 16 CFR part 456; and
(8) the Rule on Labeling and Advertising of Home Insulation, 16 CFR
part 460.
In addition, the agency has responded to the optional
information requirement that corresponds to the requirements of
Executive Order 13132, ``Federalism'' of August 4, 1999. 64 FR
43255 (Aug. 10, 1999). The Commission believes that none of the
rules in this Agenda has ``substantial direct effects on the
States, on the relationship between the national government and the
States, or on the distribution of power and the responsibilities
among the various levels of government'' within the meaning of E.O.
13132. The Commission continues to work closely with the States and
other governmental units in its rulemaking process, which
explicitly considers the effect of the agency's rules on these
governmental entities.
In addition, the agency has responded to the optional
information requirement that corresponds to the requirements of
Executive Order 13211, ``Actions Concerning Regulations That
Significantly Affect Energy Supply, Distribution or Use'' of May
18, 2001. 66 FR 28355 (May 22, 2001). The Commission believes that
none of the rules in this Agenda meets this Executive Order's
criteria requiring preparation of a Statement of Energy Effects.
The agency also is conducting reviews of the Pay-Per-Call Rule
as provided in the Rule and of the Telemarketing Sales Rule as
required by the Telemarketing and Consumer Fraud and Abuse
Prevention Act, 15 USC 6101-6108. Most of the other reviews listed
in the following agenda are being conducted as part of the
Commission's plan to review and seek information about all of its
regulations and guides, including their costs and benefits, and
regulatory and economic impact every ten years. These reviews
incorporate and expand upon the review required by the Regulatory
Flexibility Act and regulatory reform initiatives directing
agencies to conduct a review of all regulations and eliminate or
revise those that are outdated or otherwise in need of reform.
Except for notice of completed actions, the information in
this agenda represents the judgment of Commission staff, based upon
information now available. Each projected date of action reflects
an assessment by the FTC staff of the likelihood that the specified
event will occur during the coming year. No final determination by
the staff or the Commission respecting the need for, or the
substance of, a trade regulation rule or any other procedural
option should be inferred from the notation of projected events in
this agenda. In most instances, the dates of future events are
listed by month, not by a specific day. The acquisition of new
information, changes of circumstances, or changes in the law may
alter this information.
FOR FURTHER INFORMATION CONTACT: For information about specific
regulatory actions listed in the agenda, contact the agency contact
listed for each particular proceeding. Comments or inquiries of a
general nature about the Agenda should be directed to Sandra M. Vidas,
Attorney, telephone: (202) 326-2456; e-mail: svidas@ftc.gov; or G.
Richard Gold, Attorney, telephone: (202) 326-3355; e-mail:
rgold@ftc.gov, Federal Trade Commission, 600 Pennsylvania Avenue NW.,
Washington, DC 20580.
By direction of the Commission.
Donald S. Clark,
Secretary.
Federal Trade Commission--Prerule Stage
----------------------------------------------------------------------------------------------------------------
Regulation
Sequence Title Identification
Number Number
----------------------------------------------------------------------------------------------------------------
4193 Regulatory Review................................................................... 3084-AA47
4194 Regulations Under the Comprehensive Smokeless Tobacco Health Education Act of 1986.. 3084-AA48
4195 Trade Regulation Rule Concerning the Labeling and Advertising of Home Insulation.... 3084-AA60
4196 Trade Regulation Rule on Ophthalmic Practice Rules.................................. 3084-AA80
4197 Trade Regulation Rule on Funeral Industry Practices................................. 3084-AA82
[[Page 75611]]
4198 Labeling Requirements for Alternative Fuels and Alternative-Fueled Vehicles......... 3084-AA89
----------------------------------------------------------------------------------------------------------------
Federal Trade Commission--Proposed Rule Stage
----------------------------------------------------------------------------------------------------------------
Regulation
Sequence Title Identification
Number Number
----------------------------------------------------------------------------------------------------------------
4199 Trade Regulation Rule on Franchising and Business Opportunity Ventures.............. 3084-AA63
4200 Trade Regulation Rule Pursuant to the Telephone Disclosure and Dispute Resolution 3084-AA78
Act of 1992.........................................................................
4201 Telemarketing Sales Rule............................................................ 3084-AA86
----------------------------------------------------------------------------------------------------------------
Federal Trade Commission--Completed Actions
----------------------------------------------------------------------------------------------------------------
Regulation
Sequence Title Identification
Number Number
----------------------------------------------------------------------------------------------------------------
4202 Privacy of Consumer Information--Security........................................... 3084-AA87
----------------------------------------------------------------------------------------------------------------
_______________________________________________________________________
Federal Trade Commission (FTC) Prerule Stage
_______________________________________________________________________
4193. REGULATORY REVIEW
Priority: Other Significant
Legal Authority: 15 USC 41 et seq
CFR Citation: 16 CFR 1 et seq
Legal Deadline: None
Abstract: The Commission is continuing its review of current rules and
guides to identify any that should be modified or rescinded. The
Commission will continue to consider ways to streamline and improve the
review program. On March 4, 2002, the Commission published a tentative
timetable for its regulatory review program under which all of the
Commission's rules and guides are reviewed over a ten year period, and
announced that it will review one rule and one guide during 2002. 67 FR
9630 (Mar. 4, 2002). No determination about whether to modify or
rescind a rule, guide or interpretation or any other procedural option
should be inferred from the Commission's decision to publish a request
for comments. In certain instances, the reviews may also address other
specific matters or issues, such as proposed amendments. Finally, the
Commission may modify the rule review timetable as circumstances
warrant.
Timetable:
________________________________________________________________________
Action Date FR Cite
________________________________________________________________________
Notice of Rules and Guides to
Review in 2000 01/19/00 65 FR 2912
Notice of Rules and Guides to
Review in 2002 03/04/02 67 FR 9630
Notice of Rules and Guides to
Review in 2003 01/00/03
Regulatory Flexibility Analysis Required: No
Small Entities Affected: No
Government Levels Affected: None
Agency Contact: Neil Blickman, Attorney, Federal Trade Commission,
Division of Enforcement, Bureau of Consumer Protection, Washington, DC
20580
Phone: 202 326-3038
Email: nblickman@ftc.gov
RIN: 3084-AA47
_______________________________________________________________________
4194. REGULATIONS UNDER THE COMPREHENSIVE SMOKELESS TOBACCO HEALTH
EDUCATION ACT OF 1986
Priority: Substantive, Nonsignificant
Legal Authority: 15 USC 4401
CFR Citation: 16 CFR 307
Legal Deadline: None
Abstract: The Comprehensive Smokeless Tobacco Health Education Act of
1986 requires health warnings on all packages and advertisements for
smokeless tobacco. The Act directs the Commission to issue implementing
Rules governing the format and display of the warnings. On November 4,
1986, the Commission issued its Rules setting out the provisions for
the size, color, typeface, and rotation of the statutory warnings. In
FY 2000, the Commission undertook a periodic review of the Rules. The
purpose of the review was to determine whether the Rules continue to
effectively meet the goals of the Act and to seek information
concerning the Rules, particularly their economic impact, in order to
decide whether they should be amended. Staff plans to forward its
recommendations to the Commission early next year.
Timetable:
________________________________________________________________________
Action Date FR Cite
________________________________________________________________________
Recommendation to the Commission
Regarding ANPRM (Regulatory
Review) 01/27/00
ANPRM (Regulatory Review) 03/07/00 65 FR 11944
[[Page 75612]]
Comment Period End (Regulatory
Review) 04/24/00
Comment Period Extended
(Regulatory Review) 05/08/00 65 FR 26534
Extended Comment Period End
(Regulatory Review) 07/21/00
Reopening and Extension of
Comment Period 10/13/00 65 FR 60899
Extended Comment Period End 10/16/00
Recommendation to Commission
(Regulatory Review) 01/00/03
Commission Action 04/00/03
Regulatory Flexibility Analysis Required: No
Small Entities Affected: Businesses
Government Levels Affected: None
Agency Contact: Rosemary Rosso, Attorney, Federal Trade Commission,
Division of Advertising Practices, Bureau of Consumer Protection,
Washington, DC 20580
Phone: 202 326-2174
Email: rrosso@ftc.gov
RIN: 3084-AA48
_______________________________________________________________________
4195. TRADE REGULATION RULE CONCERNING THE LABELING AND ADVERTISING OF
HOME INSULATION
Priority: Substantive, Nonsignificant
Legal Authority: 15 USC 41 et seq
CFR Citation: 16 CFR 460
Legal Deadline: None
Abstract: The Federal Trade Commission's Trade Regulation Rule
Concerning the Labeling and Advertising of Home Insulation (Rule)
became effective on September 29, 1980. The Rule is designed to assist
consumers in evaluating and comparing the thermal performance
characteristics of competing home insulation products by specifically
requiring manufacturers of home insulation products to provide
information about the product's degree of resistance to the flow of
heat (R-Value). The Rule also establishes uniform standards for
testing, information disclosure, and substantiation of product
performance claims. As part of the systematic review of its rules and
guides, the Commission requested comments on, among other things, the
economic impact of and the continuing need for this Rule, possible
conflicts between the Rule and State, local and other Federal laws, and
the effect on the Rule of any technological, economic, or other
industry changes. The Commission is considering the comments received
in two parts. In part I, the Commission reviewed comments that
addressed the current benefits, burdens, and need for the Rule and
decided to retain the Rule with a few nonsubstantive amendments. In
part II, the Commission is considering whether to adopt substantive
revisions to the Rule. In response to the comments received, the
Commission issued an advance notice of proposed rulemaking (ANPRM)
seeking comment on whether it should initiate a rulemaking proceeding
to amend the Rule to recognize technological advances in R-Value
testing and specimen preparation procedures, and to clarify and
streamline the Rule's requirements. Staff is currently reviewing the
comments and expects to forward its recommendation to the Commission
regarding proposed substantive amendments to the Rule and anticipates
publication of the NPRM by March 2003.
Timetable:
________________________________________________________________________
Action Date FR Cite
________________________________________________________________________
Request for Comments 04/06/95 60 FR 17492
Commission Action/Part I 03/28/96 61 FR 13659
Commission Action/ANPRM 09/01/99 64 FR 48023
ANPRM Comment Period End 11/15/99
Recommendation to Commission 12/00/02
Commission Action 03/00/03
Regulatory Flexibility Analysis Required: No
Small Entities Affected: Businesses
Government Levels Affected: None
Agency Contact: Hampton Newsome, Attorney, Federal Trade Commission,
Division of Enforcement, Bureau of Consumer Protection, Washington, DC
20580
Phone: 202 326-2889
Email: hnewsome@ftc.gov
RIN: 3084-AA60
_______________________________________________________________________
4196. TRADE REGULATION RULE ON OPHTHALMIC PRACTICE RULES
Priority: Substantive, Nonsignificant
Legal Authority: 15 USC 41 et seq
CFR Citation: 16 CFR 456
Legal Deadline: None
Abstract: Issued in 1978, the Trade Regulation Rule on Ophthalmic
Practice Rules, also known as the Prescription Release Rule, provides
that an optometrist or ophthalmologist must give the patient, at no
extra cost, a copy of the eyeglass prescription immediately after the
examination is completed. The Rule also prohibits optometrists and
ophthalmologists from conditioning the availability of an eye
examination, as defined by the Rule, on a requirement that the patient
agrees to purchase ophthalmic goods from the optometrist or
ophthalmologist, and from placing on the prescription, or delivering to
the patient, certain disclaimers or waivers of liability. The Rule does
not require an optometrist or ophthalmologist to release a contact lens
prescription to a patient after an eye exam. As part of its systematic
review of all Commission rules and guides, the Commission has requested
comments on the economic impact of, and the continuing need for, this
Rule, possible conflict between the Rule and State, local, or other
Federal laws, and the effect on the Rule of any technological,
economic, or other industry changes. Staff is evaluating the comments
received and formulating a recommendation as to whether the Commission
should retain the Rule or initiate a rulemaking to revise or repeal it.
Timetable:
________________________________________________________________________
Action Date FR Cite
________________________________________________________________________
Request for Comments 04/03/97 62 FR 15865
Notice of Comment Period
Extension 05/29/97 62 FR 29088
Comment Period End 09/02/97
Recommendation to Commission 04/00/03
Regulatory Flexibility Analysis Required: No
Small Entities Affected: Businesses
Government Levels Affected: None
Agency Contact: Kial Young, Federal Trade Commission, Division of
Advertising Practices, Bureau of Consumer Protection, Washington, DC
20580
Phone: 202 326-3525
Email: kyoung@ftc.gov
RIN: 3084-AA80
[[Page 75613]]
_______________________________________________________________________
4197. TRADE REGULATION RULE ON FUNERAL INDUSTRY PRACTICES
Priority: Substantive, Nonsignificant
Legal Authority: 15 USC 45; 15 USC 46(g); 15 USC 57(a)
CFR Citation: 16 CFR 453
Legal Deadline: None
Abstract: The Funeral Industry Practices Rule (Funeral Rule or Rule),
which became effective in 1984, requires sellers of funeral goods and
services to give price lists to consumers who visit a funeral home, and
to disclose price and other information to callers who request it over
the telephone. The Rule enables consumers to select and purchase only
the goods and services they want, and requires funeral providers to
seek authority before performing some services such as embalming. The
Rule also requires funeral providers to make disclosures regarding any
required purchases and prohibits misrepresentations regarding
requirements and other aspects of funeral goods and services. In its
1994 review of the Rule, the Commission decided to retain the Rule,
amended it to prohibit funeral providers from charging a ``casket
handling fee'' in addition to any non-declinable basic-services fee and
deleted certain affirmative telephone disclosure requirements. The
Commission responded to requests to address emerging issues in the
funeral industry by beginning a review of the Rule in 1998 rather than
in 1999 as originally planned under its ten-year schedule for reviewing
all Commission rules and guides. The Commission published a notice
soliciting public comment in May 1999. Commission staff conducted a
public workshop conference on November 18, 1999, to discuss and explore
openly issues raised in written comments. Staff is evaluating the
comments and preparing a recommendation to the Commission.
Timetable:
________________________________________________________________________
Action Date FR Cite
________________________________________________________________________
Recommendation to Commission
Regarding Initial Notice for
Comment 04/17/99
Initial Notice for Public
Comment 05/05/99 64 FR 24249
Close of Comment Period
(Extended) 08/11/99 64 FR 35965
Public Workshop 11/18/99 64 FR 56717
Recommendation to Commission 03/00/03
Commission Action 07/00/03
Regulatory Flexibility Analysis Required: No
Small Entities Affected: Businesses
Government Levels Affected: None
Agency Contact: Myra Howard, Attorney, Federal Trade Commission,
Division of Marketing Practices, Bureau of Consumer Protection,
Washington, DC 20580
Phone: 202 326-2047
Email: mhoward@ftc.gov
RIN: 3084-AA82
_______________________________________________________________________
4198. [bull] LABELING REQUIREMENTS FOR ALTERNATIVE FUELS AND
ALTERNATIVE-FUELED VEHICLES
Priority: Substantive, Nonsignificant
Legal Authority: 42 USC 13232(a)
CFR Citation: 16 CFR 309
Legal Deadline: None
Abstract: The Rule, which became effective on November 20, 1995,
requires disclosure of appropriate cost and benefit information to
enable consumers to make reasonable purchasing choices and comparisons
between nonliquid alternative fuels as well as alternative-fueled
vehicles. As part of its ongoing systemic review of all Federal Trade
Commission rules and guides, the Commission plans to request comments
on, among other things, the continuing need for this Rule; possible
conflict between the Rule and State, local, or other Federal laws or
regulations; and the effect on the Rule of any technological, economic,
or other industry changes. No Commission determination on the need for
or the substance of the Rule should be inferred from the intent to
publish requests for comments.
Timetable:
________________________________________________________________________
Action Date FR Cite
________________________________________________________________________
Request for Comments 11/00/02
Comment Period End 01/00/03
Regulatory Flexibility Analysis Required: No
Small Entities Affected: Businesses
Government Levels Affected: None
Agency Contact: Neil Blickman, Attorney, Federal Trade Commission,
Division of Enforcement, Bureau of Consumer Protection, Washington, DC
20580
Phone: 202 326-3038
Email: nblickman@ftc.gov
Related RIN: Previously reported as 3084-AA57
RIN: 3084-AA89
_______________________________________________________________________
Federal Trade Commission (FTC) Proposed Rule Stage
_______________________________________________________________________
4199. TRADE REGULATION RULE ON FRANCHISING AND BUSINESS OPPORTUNITY
VENTURES
Priority: Substantive, Nonsignificant
Legal Authority: 15 USC 41 to 58
CFR Citation: 16 CFR 436
Legal Deadline: None
Abstract: The Federal Trade Commission's Trade Regulation Rule on
Franchising and Business Opportunity Ventures (Franchise Rule) became
effective on October 21, 1979. The Rule is designed to reduce deceptive
and unfair practices in the sale of franchises and business
opportunities by requiring the pre-sale disclosure of material
information about the franchise. For example, the Rule requires
franchisors to disclose their business background and litigation
history, as well as the number of failed and terminated franchise
units. The Rule also requires the disclosure of material terms of the
franchise relationship, such as recurring fees and termination and
renewal rights. The Rule further requires the franchisor to provide an
audited financial statement for the most recent three fiscal years.
Finally, the Rule requires any franchisor who makes earnings
representations to provide the prospective franchisee with an earnings
claims document that substantiates those claims. On February 28, 1997,
the Commission published an advance notice of proposed rulemaking
(ANPRM) contemplating amendments
[[Page 75614]]
that would address new technologies and market practices and at the
same time, reduce unnecessary regulatory burdens. The Commission
specifically requested comments on whether to revise the Rule to more
closely align Federal and State disclosure requirements governing
franchise sales, and to address changes in the marketing of franchises,
such as the sale of franchises internationally and through the
Internet. Six public workshops were held in five cities during 1997 to
promote discussions about the issues; allow the public to make
statements on the record; and assist Commission staff in drafting a
proposed amended Rule. On October 22, 1999, the Commission published a
notice of proposed rulemaking (NPRM) with a text of the revised Rule.
Comments were accepted until December 21, 1999, and rebuttal comments
were accepted until January 31, 2000. Commission staff is now preparing
a staff report.
Timetable:
________________________________________________________________________
Action Date FR Cite
________________________________________________________________________
ANPRM 02/28/97 62 FR 9115
ANPRM Comment Period End 12/31/97 62 FR 28822
Recommendation to Commission 03/26/99
NPRM 10/22/99 64 FR 57293
NPRM Comment Period End 12/21/99
NPRM Rebuttal Comment Period End01/31/00
Staff Report 12/00/02
Regulatory Flexibility Analysis Required: No
Small Entities Affected: Businesses
Government Levels Affected: State
Agency Contact: Steven Toporoff, Attorney, Federal Trade Commission,
Division of Marketing Practices, Bureau of Consumer Protection,
Washington, DC 20580
Phone: 202 326-3135
Email: stoporoff@ftc.gov
RIN: 3084-AA63
_______________________________________________________________________
4200. TRADE REGULATION RULE PURSUANT TO THE TELEPHONE DISCLOSURE AND
DISPUTE RESOLUTION ACT OF 1992
Priority: Substantive, Nonsignificant
Legal Authority: 15 USC 5701 et seq; 15 USC 5714(1)
CFR Citation: 16 CFR 308
Legal Deadline: None
Abstract: Congress enacted the Telephone Disclosure and Dispute
Resolution Act of 1992 (TDDRA) to curtail certain unfair and deceptive
practices perpetrated by some pay-per-call businesses, and to encourage
the growth of the legitimate pay-per-call industry. TDDRA mandated that
the FTC promulgate a rule to curb these practices; the Pay-Per-Call or
900-Number Rule (Rule) became effective on November 1, 1993. TDDRA
granted the Commission limited jurisdiction over common carriers for
purposes of the Rule. The Rule requires that advertisements for 900-
numbers contain certain disclosures; requires that anyone who calls a
900-number service be given the opportunity to hang up at the
conclusion of the preamble without incurring any charge for the call;
and establishes procedures for resolving billing disputes for 900-
number calls and other telephone-billed purchases. The Rule itself
required the Commission to initiate a review of the Rule prior to
November 1997. As part of this review, the Commission published a
notice in the Federal Register on March 12, 1997, requesting comments
on, among other things, the economic impact of and the continuing need
for the Rule, and the effect on the Rule of any technological or
industry changes. The Commission also sought comments, pursuant to
authority granted under the Telecommunications Act of 1996, on whether
to expand the Rule to govern other similar audio information and
entertainment services. Staff held a public workshop on June 19-20,
1997, during which members of the industry discussed issues raised in
the comments, including billing and collection issues and possible ways
to expand the definition of ``pay-per-call services.'' Many commenters
reported that the Rule has been successful in reducing the abuses that
led to the passage of TDDRA. Despite the success of the Rule in
correcting the abuses in the 900-number industry, complaints about
other types of audiotext services (accessed via dialing patterns other
than 900 numbers) are being reported. The majority of complaints now
involve 800 numbers, international numbers, or other dialing patterns
that do not use the 900-number prefix. Many consumer and law
enforcement agencies also have been receiving complaints from consumers
who have discovered unexplained charges (in some cases, recurring
charges) on their telephone bills for services that were never
authorized, ordered, received, or used, a practice known as
``cramming.'' On October 30, 1998, the Commission published an NPRM
that would expand the definition of ``pay-per-call'' services beyond
900 numbers and that would implement measures to combat telephone bill
cramming. The proposed revisions would: (1) require the express
authorization of the person to be billed for the purchase of any
``telephone-billed purchases'' that cannot be blocked by 900-number
blocking; (2) prohibit vendors from billing consumers for monthly or
other recurring charges for pay-per-call services unless the vendor had
entered into a ``presubscription agreement'' with the person to be
billed and had sent the consumer a written copy of the agreement; and
(3) give consumers legal recourse to dispute unauthorized charges
crammed on phone bills and have those charges removed. The comment
period was extended to March 10, 1999, and a workshop-conference was
held on May 20-21, 1999. At the workshop, participants discussed issues
raised by the comments, such as the meaning of ``express
authorization'' and the requirements for a presubscription agreement.
Staff plans to forward a recommendation to the Commission by early
2003.
Timetable:
________________________________________________________________________
Action Date FR Cite
________________________________________________________________________
Request for Comments 03/12/97 62 FR 11749
Comment Period End 05/12/97
Public Workshop 06/19/97
Public Workshop 06/20/97
Recommendation to Commission 09/08/98
NPRM 10/30/98 63 FR 58523
Comment Period Extended 01/04/99 64 FR 61
Comment Period End 01/08/99
Public Workshop-Conference 02/25/99
Extended Comment Period End 03/10/99
Public Workshop 05/20/99
Public Workshop 05/21/99
Recommendation to Commission 01/00/03
Regulatory Flexibility Analysis Required: No
Small Entities Affected: Businesses
Government Levels Affected: None
[[Page 75615]]
Agency Contact: Elizabeth Hone, Attorney, Federal Trade Commission,
Division of Marketing Practices, Bureau of Consumer Protection,
Washington, DC 20580
Phone: 202 326-3207
Email: ehone@ftc.gov
RIN: 3084-AA78
_______________________________________________________________________
4201. TELEMARKETING SALES RULE
Priority: Substantive, Nonsignificant
Legal Authority: 15 USC 6101 to 6108
CFR Citation: 16 CFR 310
Legal Deadline: Other, Statutory, December 31, 2000, Begin Rule Review
and Report to Congress.
Abstract: In 1995, the Commission issued the Telemarketing Sales Rule
(TSR or Rule), 16 CFR part 310, under the Telemarketing and Consumer
Fraud and Abuse Prevention Act, 15 USC 6101-6108. TSR requires
telemarketers to disclose information; prohibits misrepresentations;
limits the times telemarketers may call consumers; prohibits calls to a
consumer who has asked not to be called again; and sets payment
restrictions for the sale of certain goods and services.
As required by the 1995 Act, the Commission is reviewing TSR to
evaluate the Rule's operation and report to Congress. The Commission
has issued a request for public comment on the Rule, its overall costs,
benefits and its regulatory and economic impact since its adoption in
1995. As part of the review, the Commission held a public forum on
January 11, 2000, addressing the operation of the Rule's ``do-not-
call'' provision. Another public forum to discuss other provisions of
TSR was held on July 27-28, 2000.
On October 25, 2001, President Bush signed the USA PATRIOT Act, P.L.
107-56, into law, with provisions that have significant impact on TSR.
Section 1101 of the 2001 Act amends the Telemarketing Act to extend the
coverage of TSR to charitable fund raising conducted by for-profit
telemarketers for, or on behalf of, charitable organizations.
On January 22, 2002, the Commission announced its proposal to amend the
Rule and to publish a notice of proposed rulemaking (NPRM). Among other
things, the proposed Rule would establish a centralized national ``do
not call'' registry, would prohibit telemarketers from receiving or
sharing a consumer's billing information with anyone else, and would
prohibit telemarketers from blocking ``Caller ID'' information. In
addition, as mandated by Sec. 1011 of the USA PATRIOT Act, also
referred to as the Crimes Against Charitable Americans Act of 2001, 15
USC 6101 note, the Commission's proposal would add certain disclosures
and other requirements applicable to for-profit telemarketers who
solicit charitable donations. Staff held a three-day public workshop
from June 5-7, 2002, to discuss these and other proposed changes to the
Rule. On May 24, 2002, the Commission also issued a related NPRM
proposing that user fees be imposed on telemarketers and their seller
or telemarketer clients for access to the national ``do not call''
registry in order to establish and maintain the registry. See 67 FR
37362 (May 29, 2002) Staff plans to forward its recommendations to the
Commission by fall 2002.
Timetable:
________________________________________________________________________
Action Date FR Cite
________________________________________________________________________
Announcement of Public Forum re:
``Do-Not-Call'' Provision 11/24/99 64 FR 66124
Public Forum re ``Do-Not-Call''
Provision 01/11/00
Request for Comments 02/28/00 65 FR 10428
Comment Period End 04/27/00
Extension of Comment Period 05/05/00 65 FR 26161
Extended Comment Period End 05/30/00
Public Forum 07/27/00
Public Forum 07/28/00
USA Patriot Act Enacted 10/25/01
NPRM 01/30/02 67 FR 4492
NPRM Comment Period End 03/29/02
Extension of Comment Period 04/03/02 67 FR 15767
Extended Comment Period End 04/15/02
Related NPRM 05/29/02 67 FR 37362
Public Forum 06/05/02
Public Forum 06/06/02
Public Forum 06/07/02
Related NPRM Comment Period End 06/28/02
Recommendation to Commission 11/00/02
Commission Action 12/00/02
Regulatory Flexibility Analysis Required: No
Small Entities Affected: Businesses
Government Levels Affected: None
Agency Contact: Catherine Harrington-McBride, Attorney, Federal Trade
Commission, Division of Marketing Practices, Bureau of Consumer
Protection, Washington, DC 20580
Phone: 202 326-2452
Email: cmcbride@ftc.gov
Karen Leonard, Attorney, Division of Marketing Practices, Bureau of
Consumer Protection, Federal Trade Commission, Washington, DC 20580
Phone: 202 326-3597
Email: kleonard@ftc.gov
Carole I. Danielson, Senior Investigator, Federal Trade Commission,
Division of Marketing Practices, Bureau of Consumer Protection,
Washington, DC 20580
Phone: 202 326-3115
Email: cdanielson@ftc.gov
RIN: 3084-AA86
_______________________________________________________________________
Federal Trade Commission (FTC) Completed Actions
_______________________________________________________________________
4202. PRIVACY OF CONSUMER INFORMATION--SECURITY
Priority: Other Significant
Legal Authority: PL 106-102, sec 501(b)
CFR Citation: 16 CFR 314
Legal Deadline: None
Abstract: On November 12, 1999, the Gramm-Leach-Bliley Act (GLB) was
enacted. The Act repealed the key provision of the Glass-Steagall Act,
that among other things, required the separation of banking, insurance,
and securities institutions. Subtitle A (Disclosure of Nonpublic
Personal Information) of title V (Privacy) limits the ability of the
newly authorized
[[Page 75616]]
financial institutions to disclose nonpublic personal information about
consumers to nonaffiliated third parties, and requires them to disclose
to consumers their privacy policies and practices respecting
information shared with both affiliates and nonaffiliated third
parties. The Commission issued the statutorily mandated Rule on the
Privacy of Consumer Financial Information (Privacy Rule), 16 CFR part
313, on May 12, 2000. The Privacy Rule took effect on November 13,
2000, and full compliance was required on or before July 1, 2001.
In addition to the Privacy Rule, section 501 of subtitle A requires the
agencies to establish appropriate standards for financial institutions
to safeguard nonpublic personal information. In particular, section
501(b) of the Act requires the Commission to ``establish appropriate
standards for the financial institutions [subject to its jurisdiction]
relating to administrative, technical, and physical safeguards.''
Section 501(b) sets out the objectives of these standards: (1) to
insure the security and confidentiality of customer records and
information; (2) to protect against any anticipated threats or hazards
to the security or integrity of such records; and (3) to protect
against unauthorized access to or use of such records of information
which could result in substantial harm or inconvenience to any
customer. On September 7, 2000, the Commission issued an advance notice
of proposed rulemaking (ANPRM) and a request for comments reopening its
Safeguards Rule (to be codified at part 314). On August 7, 2001, the
Commission published an NPRM. After analyzing over forty-four comments,
the Commission issued its final rule on May 23, 2002. Like the
proposal, the final rule requires each financial institution to develop
a written information security program that is appropriate to its size
and complexity, the nature and scope of its activities, and the
sensitivity of the customer information at issue. The Commission
believes that the final rule strikes an appropriate balance between
allowing flexibility to financial institutions and establishing
standards for safeguarding customer information that are consistent
with GLB's requirements.
Timetable:
________________________________________________________________________
Action Date FR Cite
________________________________________________________________________
ANPRM and Request for Comments 09/07/00 65 FR 54186
Extension of Comment Period 10/06/00 65 FR 59766
Comment Period End 10/10/00
Extended Comment Period End 10/24/00
Commission Action 07/30/01
NPRM 08/07/01 66 FR 41162
NPRM Comment Period End 10/09/01
Commission Action/Final Rule 05/23/02 67 FR 36483
Regulatory Flexibility Analysis Required: No
Small Entities Affected: Businesses
Government Levels Affected: None
Agency Contact: Laura D. Berger, Attorney, Federal Trade Commission,
Division of Financial Practices, Bureau of Consumer Protection,
Washington, DC 20580
Phone: 202 326-3224
Email: lberger@ftc.gov
RIN: 3084-AA87
[FR Doc. 02-23896 Filed 12-06-02; 8:45 am]
BILLING CODE 6750-01-S