§ 1194. — Administration and enforcement.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 15USC1194]
TITLE 15--COMMERCE AND TRADE
CHAPTER 25--FLAMMABLE FABRICS
Sec. 1194. Administration and enforcement
(a) Enforcement under Federal Trade Commission Act provisions; civil
action to enforce standard or regulation
Except as otherwise specifically provided herein, sections 1192,
1194, 1195, and 1197(b) of this title shall be enforced by the
Commission under rules, regulations and procedures provided for in the
Federal Trade Commission Act [15 U.S.C. 41 et seq.]. In the case of an
attorney general of a State alleging a violation of a standard or
regulation under section 1193 of this title that affects or may affect
such State or its residents, such attorney general may bring a civil
action for an injunction to enforce the requirement of such standard or
regulation. The procedural requirements of section 2073 of this title
shall apply to any such action.
(b) Application of Federal Trade Commission Act provisions
The Commission is authorized and directed to prevent any person from
violating the provisions of section 1192 of this title in the same
manner, by the same means and with the same jurisdiction, powers and
duties as though all applicable terms and provisions of the Federal
Trade Commission Act [15 U.S.C. 41 et seq.] were incorporated into and
made a part of this chapter; and any such person violating any provision
of section 1192 of this title shall be subject to the penalties and
entitled to the privileges and immunities provided in said Federal Trade
Commission Act as though the applicable terms and provisions of the said
Federal Trade Commission Act were incorporated into and made a part of
this chapter.
(c) Rules and regulations
The Commission is authorized and directed to prescribe such rules
and regulations, including provisions for maintenance of records
relating to fabrics, related materials, and products, as may be
necessary and proper for administration and enforcement of this chapter.
The violation of such rules and regulations shall be unlawful and shall
be an unfair method of competition and an unfair and deceptive act or
practice, in commerce, under the Federal Trade Commission Act [15 U.S.C.
41 et seq.].
(d) Inspection and analysis of products; cooperation with other
governmental entities
The Commission is authorized to--
(1) cause inspections, analyses, tests, and examinations to be
made of any product, fabric or related material which it has reason
to believe falls within the prohibitions of this chapter; and
(2) cooperate on matters related to the purposes of this chapter
with any department or agency of the Government; with any State or
territory or with the District of Columbia or the Commonwealth of
Puerto Rico; or with any department, agency, or political
subdivision thereof; or with any person.
(e) Penalties
(1) Any person who knowingly violates a regulation or standard under
section 1193 of this title shall be subject to a civil penalty not to
exceed $5,000 for each such violation, except that the maximum civil
penalty shall not exceed $1,250,000 for any related series of
violations.
(2) In determining the amount of any penalty to be sought upon
commencing an action seeking to assess a penalty for a violation of a
regulation or standard under section 1193 of this title, the Commission
shall consider the nature and number of the violations, the severity of
the risk of injury, the occurrence or absence of injury, and the
appropriateness of such penalty in relation to the size of the business
of the person charged.
(3) Any civil penalty under this subsection may be compromised by
the Commission. In determining the amount of such penalty or whether it
should be remitted or mitigated, and in what amount, the Commission
shall consider the nature and number of the violations, the
appropriateness of such penalty to the size of the business of the
persons charged, the severity of the risk of injury, and the occurrence
or absence of injury. The amount of such penalty when finally
determined, or the amount agreed on compromise, may be deducted from any
sums owing by the United States to the person charged.
(4) As used in paragraph (1), the term ``knowingly'' means (A)
having actual knowledge, or (B) the presumed having of knowledge deemed
to be possessed by a reasonable person who acts in the circumstances,
including knowledge obtainable upon the exercise of due care to
ascertain the truth of representations.
(5)(A) The maximum penalty amounts authorized in paragraph (1) shall
be adjusted for inflation as provided in this paragraph.
(B) Not later than December 1, 1994, and December 1 of each fifth
calendar year thereafter, the Commission shall prescribe and publish in
the Federal Register a schedule of maximum authorized penalties that
shall apply for violations that occur after January 1 of the year
immediately following such publication.
(C) The schedule of maximum authorized penalties shall be prescribed
by increasing each of the amounts referred to in paragraph (1) by the
cost-of-living adjustment for the preceding five years. Any increase
determined under the preceding sentence shall be rounded to--
(i) in the case of penalties greater than $1,000 but less than
or equal to $10,000, the nearest multiple of $1,000;
(ii) in the case of penalties greater than $10,000 but less than
or equal to $100,000, the nearest multiple of $5,000;
(iii) in the case of penalties greater than $100,000 but less
than or equal to $200,000, the nearest multiple of $10,000; and
(iv) in the case of penalties greater than $200,000, the nearest
multiple of $25,000.
(D) For purposes of this subsection:
(i) The term ``Consumer Price Index'' means the Consumer Price
Index for all-urban consumers published by the Department of Labor.
(ii) The term ``cost-of-living adjustment for the preceding five
years'' means the percentage by which--
(I) the Consumer Price Index for the month of June of the
calendar year preceding the adjustment; exceeds
(II) the Consumer Price Index for the month of June
preceding the date on which the maximum authorized penalty was
last adjusted.
(June 30, 1953, ch. 164, Sec. 5, 67 Stat. 112; Pub. L. 90-189, Sec. 4,
Dec. 14, 1967, 81 Stat. 570; Pub. L. 101-608, title I, Secs. 115(c),
118(b), Nov. 16, 1990, 104 Stat. 3120, 3122.)
References in Text
The Federal Trade Commission Act, referred to in subsecs. (a), (b),
and (c), is act Sept. 26, 1914, ch. 311, 38 Stat. 717, as amended, which
is classified generally to subchapter I (Sec. 41 et seq.) of chapter 2
of this title. For complete classification of this Act to the Code, see
section 58 of this title and Tables.
Amendments
1990--Subsec. (a). Pub. L. 101-608, Sec. 118(b), inserted at end
``In the case of an attorney general of a State alleging a violation of
a standard or regulation under section 1193 of this title that affects
or may affect such State or its residents, such attorney general may
bring a civil action for an injunction to enforce the requirement of
such standard or regulation. The procedural requirements of section 2073
of this title shall apply to any such action.''
Subsec. (e). Pub. L. 101-608, Sec. 115(c), added subsec. (e).
1967--Subsec. (c). Pub. L. 90-189, Sec. 4(a), inserted ``, including
provisions for maintenance of records relating to fabrics, related
materials, and products,'' after ``rules and regulations'' and inserted
sentence making violations of such rules and regulations unlawful and an
unfair method of competition and an unfair and deceptive act or
practice, in commerce, under the Federal Trade Commission Act.
Subsec. (d)(1). Pub. L. 90-189, Sec. 4(b), substituted ``product,
fabric or related material'' for ``article of wearing apparel or
fabric''.
Subsec. (d)(2). Pub. L. 90-189, Sec. 4(b), substituted ``or
territory or with the District of Columbia or the Commonwealth of Puerto
Rico'' for ``, Territory, or possession or with the District of
Columbia''.
Transfer of Functions
Functions of Secretary of Health, Education, and Welfare, Secretary
of Commerce, and Federal Trade Commission under this chapter transferred
to Consumer Product Safety Commission, along with functions of Federal
Trade Commission under Federal Trade Commission Act, to extent such
functions relate to administration and enforcement of this chapter, see
section 2079 of this title.
Section Referred to in Other Sections
This section is referred to in section 1195 of this title.
