[Federal Register: September 16, 2002 (Volume 67, Number 179)]
[Notices]
[Page 58427-58428]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr16se02-82]
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FEDERAL TRADE COMMISSION
[File No. 011 0244]
American Institute for Conservation of Historic and Artistic
Works; Analysis To Aid Public Comment
AGENCY: Federal Trade Commission.
ACTION: Proposed Consent Agreement.
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SUMMARY: The consent agreement in this matter settles alleged
violations of federal law prohibiting unfair or deceptive acts or
practices or unfair methods of competition. The attached Analysis to
Aid Public Comment describes both the allegations in the draft
complaint that accompanies the consent agreement and the terms of the
consent order--embodied in the consent agreement--that would settle
these allegations.
DATES: Comments must be received on or before October 10, 2002.
ADDRESSES: Comments filed in paper form should be directed to: FTC/
Office of the Secretary, Room 159-H, 600 Pennsylvania Avenue, NW.,
Washington, DC 20580. Comments filed in electronic form should be
directed to: consent agreement@ftc.gov, as prescribed below.
FOR FURTHER INFORMATION CONTACT: L. Barry Costilo, FTC, Bureau of
Competition, 600 Pennsylvania Avenue, NW., Washington, DC 20580, (202)
326-2024.
SUPPLEMENTARY INFORMATION: Pursuant to section 6(f) of the Federal
Trade Commission Act, 38 Stat. 721, 15 U.S.C. 46(f), and Sec. 2.34 of
the Commission's rules of practice, 16 CFR 2.34, notice is hereby given
that the above-captioned consent agreement containing a consent order
to cease and desist, having been filed with and accepted, subject to
final approval, by the Commission, has been placed on the public record
for a period of thirty (30) days. The following Analysis to Aid Public
Comment describes the terms of the consent agreement, and the
allegations in the complaint. An electronic copy of the full text of
the consent agreement package can be obtained from the FTC Home Page
(for September 10, 2002), on the World Wide Web, at http://www.ftc.gov/
os/2002/09/index.htm. A paper copy can be obtained from the FTC Public
Reference Room, Room 130-H, 600 Pennsylvania Avenue, NW., Washington,
DC 20580, either in person or by calling (202) 326-2222.
Public comments are invited, and may be filed with the Commission
in either paper or electronic form. Comments filed in paper form should
be directed to: FTC/Office of the Secretary, Room 159-H, 600
Pennsylvania Avenue, NW., Washington, DC 20580. If a comment contains
nonpublic information, it must be filed in paper form, and the first
page of the document must be clearly labeled ``confidential.'' Comments
that do not contain any nonpublic information may instead be filed in
electronic form (in ASCII format, WordPerfect, or Microsoft Word) as
part of or as an attachment to email messages directed to the following
email box: consent agreement@ftc.gov. Such comments will be considered
by the Commission and will be available for inspection and copying at
its principal office in accordance with Sec. 4.9(b)(6)(ii) of the
Commission's rules of practice, 16 CFR 4.9(b)(6)(ii)).
Analysis of Proposed Consent Order To Aid Public Comment
The Federal Trade Commission has accepted an agreement to a
proposed consent order from the American Institute for Conservation of
Historic and Artistic Works (``AIC''). AIC has its principal place of
business in Washington, DC.
The proposed consent order has been placed on the public record for
thirty (30) days for reception of comments by interested persons.
Comments received during this period will become part of the public
record. After thirty (30) days, the Commission will again review the
agreement and the comments received, and decide whether it should
withdraw from the agreement or make final the agreement's proposed
order.
AIC is an association of professional conservators. The complaint
alleges that AIC engages in substantial activities for the economic
benefit of its members. The complaint alleges that AIC has
approximately 3,100 members, many of whom provide professional services
for a fee or who are employed by organizations that provide such
services for a fee.
A conservation professional is a person who manages, cares for,
preserves, or treats cultural objects, including artistic, historical,
archaeological, scientific, and religious objects. The conservation
professional may determine the condition, the need for treatment or
restoration, and the appropriate method for preservation of such
objects, and perform the required work to minimize deterioration or to
restore such objects to their original state.
The complaint charges that AIC has violated Section 5 of the
Federal Trade Commission Act by acting as a combination of its members
and in agreement with some of its members to restrain price competition
among conservation professionals. The
[[Page 58428]]
complaint alleges that in furtherance of the combination and agreement
AIC has adopted and maintained Commentaries to the Guidelines for
Practice of the AIC that state that ``the consistent undercutting of
local or regional market rates should be understood to be
unprofessional behavior.'' They further state that ``when damage to the
cultural property is imminent, and funding is limited, a conservation
professional may work at reduced fees or pro bono.'' Read together,
these provisions mean that only in these limited circumstances can a
conservator work for free or at reduced fees without being considered
to be engaging in ``unprofessional behavior.''
The complaint alleges that the above acts and practices constitute
unfair methods of competition which have restrained competition
unreasonably. It further alleges that the effects of the acts and
practices are to discourage and restrict price competition among
conservation professionals and to deprive consumers and users of
conservation services of the benefit of free and open competition.
AIC has signed a consent agreement containing the proposed consent
order. The proposed consent order would prohibit AIC from maintaining
or enforcing any policy, ethical rule, interpretation, commentary or
guideline that impedes or restricts price competition among
conservation professionals, including provision of free or discounted
services.
To ensure and monitor compliance, the consent order provides, among
other things, that within 90 days after the order becomes final AIC
shall remove the provisions that are inconsistent with the order from
AIC's Code of Ethics, Guidelines for Practice of the AIC, Commentaries
to the Guidelines and AIC's website, and publish the revisions of these
documents in such places. In addition, the order requires AIC to
publish a copy of the order and complaint in the AIC News. It further
provides that the order and complaint shall be published on the AIC web
site, with a link placed in a prominent position on the web site's home
page. The proposed consent order also contains other provisions to
monitor compliance.
The purpose of this analysis is to facilitate public comment on the
proposed order, and it is not intended to constitute an official
interpretation of the agreements and proposed orders or to modify in
any way their terms.
By direction of the Commission.
Donald S. Clark,
Secretary.
[FR Doc. 02-23468 Filed 9-13-02; 8:45 am]
BILLING CODE 6750-01-M