The FTC has finalized a new "Made in USA" rule, which sets forth that labels may not contain unqualified "Made in USA" claims unless:
- Final assembly or processing of product occurs in the US;
- All significant processing that goes into the product occurs in the US; or
- All or virtually all ingredients or components of the product are made and sourced in the US.
Clearly, the FTC is attempting to crack down on enterprises who falsely claim products are made in the US. Is that you?
Think, Amazon retailers - do you even know if your product comports with the rule?
Should you fail to meet the criteria listed above, the FTC has the power to seek civil penalties of up to $43,280 per violation - wow!
Will these penalties motivate you to immediately confirm that you qualify before advertising "Made in USA"?
Will large internet based enterprises scale back on selling/distributing certain products in order to ensure compliance with this new rule?
