The Federal Trade Commission has closed its investigation into the legality of advertising claims made by Lucky Brand Dungarees Inc. The FTC initiated the inquiry in an effort to determine if Lucky Brand’s claims that its clothing is “hand crafted in America,” “born in America” and “made in the United States” were made in violation of the FTC Act.
Prior to the conclusion of the investigation, however, Lucky removed all “hand crafted in America” and “born in America” references, and corrected statements claiming that its products were “made in the United States.”
The FTC’s inquiry into Lucky Brand’s advertising practices highlights the FTC’s authority to enforce “Made in the USA” claims under Section 5 of the Federal Trade Commission Act. Under federal law, any company making claims that its products are “Made in the USA” or “Made in America” must do so in a manner consistent with FTC decisions, orders and rules. To help businesses understand and comply with the law, the FTC has adopted an "Enforcement Policy Statement on U.S. Origin Claims" and has published the guidelines entitled “Complying with the Made in USA Standard.”
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