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§ 1197. —  Guaranties.



[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
  January 24, 2002 and December 19, 2002]
[CITE: 15USC1197]

 
                      TITLE 15--COMMERCE AND TRADE
 
                      CHAPTER 25--FLAMMABLE FABRICS
 
Sec. 1197. Guaranties


(a) Defense to prosecution

    No person shall be subject to prosecution under section 1196 of this 
title for a violation of section 1192 of this title if such person (1) 
establishes a guaranty received in good faith signed by and containing 
the name and address of the person by whom the product, fabric, or 
related material guaranteed was manufactured or from whom it was 
received, to the effect that reasonable and representative tests made in 
accordance with standards issued or amended under the provisions of 
section 1193 of this title show that the fabric or related material 
covered by the guaranty, or used in the product covered by the guaranty, 
conforms with applicable flammability standards issued or amended under 
the provisions of section 1193 of this title, and (2) has not, by 
further processing, affected the flammability of the fabric, related 
material, or product covered by the guaranty which he received. Such 
guaranty shall be either (1) a separate guaranty specifically 
designating the product, fabric, or related material guaranteed, in 
which case it may be on the invoice or other paper relating to such 
product, fabric, or related material; (2) a continuing guaranty given by 
seller to buyer applicable to any product, fabric, or related material 
sold or to be sold to buyer by seller in a form as the Commission by 
rules and regulations may prescribe; or (3) a continuing guaranty filed 
with the Commission applicable to any product, fabric, or related 
material handled by a guarantor, in such form as the Commission by rules 
or regulations may prescribe.

(b) False guaranty

    It shall be unlawful for any person to furnish, with respect to any 
product, fabric, or related material, a false guaranty (except a person 
relying upon a guaranty to the same effect received in good faith signed 
by and containing the name and address of the person by whom the 
product, fabric, or related material guaranteed was manufactured or from 
whom it was received) with reason to believe the product, fabric, or 
related material falsely guaranteed may be introduced, sold, or 
transported in commerce, and any person who violates the provisions of 
this subsection is guilty of an unfair method of competition, and an 
unfair or deceptive act or practice, in commerce within the meaning of 
the Federal Trade Commission Act [15 U.S.C. 41 et seq.].

(June 30, 1953, ch. 164, Sec. 8, 67 Stat. 114; Pub. L. 90-189, Sec. 6, 
Dec. 14, 1967, 81 Stat. 572.)

                       References in Text

    The Federal Trade Commission Act, referred to in subsec. (b), 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

    1967--Subsec. (a). Pub. L. 90-189 substituted ``product, fabric, or 
related material'' for ``wearing apparel or fabric'' wherever appearing 
and ``in accordance with standards issued or amended under the 
provisions of section 1193 of this title show that the fabric or related 
material covered by the guaranty, or used in the product covered by the 
guaranty, conforms with applicable flammability standards issued or 
amended under the provisions of section 1193 of this title'' for ``under 
the procedures provided in section 1193 of this title show that the 
fabric covered by the guaranty, or used in the wearing apparel covered 
by the guaranty, is not, under the provisions of section 1193 of this 
title, so highly flammable as to be dangerous when worn by 
individuals'', added cl. (2), and redesignated former cl. (2) as (3).
    Subsec. (b). Pub. L. 90-189 substituted ``product, fabric, or 
related material'' for ``wearing apparel or fabric'' wherever appearing.

                          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 sections 1194, 1196 of this title.



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