by eyetee | October 3, 2011 12:35 pm
The decision comes six months after competitor Frederick Goldman—which holds several patents for tungsten carbide rings—filed a complaint with the National Advertising Division of the Council of Better Business Bureaus (NAD) about Scott Kay’s advertising claims. The matter was referred to the FTC after Scott Kay declined to participate.
In a letter dated Sept. 21, the FTC said it was ending its investigation, saying “no action is warranted at this time” and that the bridal manufacturer had agreed it would not claim tungsten carbide rings are fragile unless it has adequate substantiation to do so. Scott Kay also agreed to not make unsubstantiated claims about the environmental impact of the manufacturing process of its cobalt rings.
“The [FTC] reserves the right to take further action as the public interest may require,” it said in the letter.
The investigation stems from claims in advertising, point-of-purchase collateral material, and personal demonstrations.
According to Scott Kay, nothing in the agreement prevents the company from using the word ‘brittle’ to describe the hardness of tungsten carbide rings.
“I will continue to demonstrate my strong conviction to the jewellery industry in disclosing the confusion and clarity of the performance of tungsten carbide for use in wedding bands,” said chief executive officer (CEO), Scott Kay. “As new contemporary metals are introduced into our industry, especially non-molten metal, such as ‘cemented carbides’ (i.e. cemented metals), it is our fiduciary and moral responsibility to test and substantiate all claims, and then release the findings and facts. Fact: Tungsten carbide is brittle. We can’t be afraid to admit and represent the truth. Wedding bands should never be at risk of cracking, fracturing, or breaking.”
Source URL: https://www.jewellerybusiness.com/news/ftc-ends-probe-into-scott-kay-tungsten-claims/
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