The FTC Issues Advance Notice of Proposed Rulemaking; Request for Public Comment on Recycled Oil Rule

The Federal Trade Commission (FTC) requests public comment on the overall costs, benefits, and regulatory and economic impact of its rule specifying Test Procedures and Labeling Standards for Recycled Oil.

The Recycled Oil Rule contains testing and labeling requirements for recycled engine oil. The of the rule is to encourage used oil recycling, promote recycled oil use, reduce new oil consumption, and reduce environmental hazards and wasteful practices associated with used oil disposal.

The Rule, initially promulgated in 1995, allows manufacturers to represent that processed used engine oil is substantially equivalent to new oil as long as they substantiate such claims using American Petroleum Institute (API) Publication 1509 (Engine Oil Licensing and Certification System).] The Rule does not require manufacturers to explicitly state that their engine oil is substantially equivalent to new oil, nor does it mandate any specific qualifiers or disclosures.

The FTC solicits comments on, among other things, the economic impact of, and the continuing need for, the Recycled Oil Rule; the Rule’s benefits to consumers; and the burdens it places on industry members subject to the Rule’s requirements, including small businesses. CLICK FOR MORE

Source: Excerpted from Federal Register – A Proposed Rule by the Federal Trade Commission on 12/20/2017

Selling Lubes in California – Summary of Rules and Regs

The California Department of Food & Agriculture (CDFA) published an excellent document this month that’s a must read for lubricant stakeholders doing business in the state. It’s also an invaluable resource for those looking to understand some of the laws and regulations that are embodied in the National Institute of Standards and Technology (NIST) Handbook 130, which are in effect in other states.

The document provides extracts from the CALIFORNIA BUSINESS AND PROFESSIONS CODE DIVISION 5 – WEIGHTS AND MEASURES in the Areas of Weights and Measures, and Fuels, Lubricants and Automotive Products.

Selected sections of the document are shown below:

  • “It is unlawful for any person to transport in any tank vehicle, for the purpose of sale or for delivery to any place where motor vehicle fuels or lubricants are stored for sale, any product referred to in this chapter unless there is firmly affixed at each outlet or valve of the tank vehicle, a metal tag, plate, or label. The tag, plate or label shall display, in letters not less than one-half inch in height, the name and grade of the product in the tank compartment of the tank vehicle. In the case of motor oil, the SAE International viscosity number shall also be displayed on the tag, plate, or label.”
  • “It is unlawful for any person, when delivering for the purpose of sale, or delivering to any place where products referred to in this chapter are kept for sale, to commingle any product with another product or to commingle grades of a product, if as a result of the commingling the product delivered does not meet the specifications adopted or established by the department.”
  • “It shall be unlawful for any person to display on or near the premises of any place of business in this state any advertising medium which advertises the price of motor oil offered for sale without conspicuously showing on the same advertising medium the brand of the motor oil and the name of the product. The letters, figures and numerals used to designate the brand and the name of the product shall not be less than one-half the size of the numerals designating the price.”
  • “If any motor vehicle fuel or lubricant is advertised for sale, but not under any brand designation, the words ‘no brand’ shall be used on the advertising medium as a brand designation.”

Chapter 14. Fuels and Lubricants

Chapter 15. Automotive Products

Chapter 8: Motor Oil Fee REVISED 2018

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