§ 5.41 Prohibited practices. (e) Flags, seals, coats of arms, crests, and other insignia. Labels shall not contain, in the brand name or otherwise, any statement, design, device, or pictorial representation which the Deputy Commissioner finds relates to, or is capable of being construed as relating to, the armed forces of the United States, or the American flag, or any emblem, seal, insignia, or decoration associated with such flag or armed forces; nor shall any label contain any statement, design, device, or pictorial representation of or concerning any flag, seal, coat of arms, crest or other insignia, likely to mislead the consumer to believe that the product has been endorsed, made, or used by, or produced for, or under the supervision of, or in accordance with the specifications of the government, organization, family, or individual with whom such flag, seal, coat of arms, crest, or insignia is associated. [As amended by T.D. 5051, June 5, 1941; 6 F.R. 2874] REQUIREMENTS FOR APPROVAL OF LABELS OF DOMESTICALLY BOTTLED DISTILLED SPIRITS $5.50 Certificates of label approval. NOTE: On June 23, 1939, the Administrator issued a blanket certificate of label approval (4 F.R. 2503) for all labels covered by certificates of label approval previously issued when revised by changing the form of caution notice for distilled spirits bottled in bond to comply with Regulations No. 6 of the Bureau of Internal Revenue. For caution notice prescribed by Regulations No. 6, see 26 CFR 188.74, supra. ADVERTISING OF DISTILLED SPIRITS § 5.63 Lettering. NOTE: On June 5, 1939, the Administrator issued a circular letter, appearing at 4 FR. 2305, which set forth certain guiding principles to be followed in determining whether information was so stated in advertisements as to be "both conspicuous and readily legible". § 5.64 Prohibited statements. (g) Flags, seals, coats of arms, crests, and other insignia. No advertisement shall contain any statement, design, device, or pictorial representation of or relating to, or capable of being construed as relating to the armed forces of the United States, or of the American flag, or of any emblem, seal, insignia, or deco ration associated with such flag or armed forces; nor shall any advertisement contain any statement, device, design, or pictorial representation of or concerning any flag, seal, coat of arms, crest, or other insignia, likely to mislead the consumer to believe that the product has been endorsed, made, or used by, or produced for, or under the supervision of, or in accordance with the specifications of the government, organization, family, or individual with whom such flag, seal, coat of arms, crest, or insignia is associated. [As amended by T.D. 5051, June 5, 1941; 6 F.R. 2874] Sec. 7.60 Exports. GENERAL PROVISIONS 7.61 Effective date. NOTE: For the text of sections listed in the above table and not appearing in this supplement, see 27 CFR Part 7. LABELING BEQUIREMENTS FOR MALT AUTHORITY: §§ 7.23 to 7.54, inclusive, issued under R.S. 161, 49 Stat. 982, 1152, 1965, 1966, 53 Stat. 373; 5 U.S.C. 22, 27 U.S.C. 205, 26 U.S.C. 3170. General. $7.23 Brand names—(a) The product shall bear a brand name, except that if not sold under a brand name, then the name of the person required to appear on the brand label shall be deemed a brand name for the purpose of this part. (b) Misleading brand names. No label shall contain any brand name, which, standing alone, or in association with other printed or graphic matter, creates any impression or inference as to the age, origin, identity, or other characteristics of the product unless the Deputy Commissioner finds that such brand name, either when qualified by the word "brand" or when not so qualified, conveys no erroneous impressions as to the age, origin, identity, or other characteristics of the product. (c) Trade name of foreign origin. This section shall not operate to prohibit the use by any person of any trade name or brand of foreign origin not effectively registered in the United States Patent Office on August 29, 1935, which has been used by such person or his predecessors in the United States for a period of at least five years immediately preceding August 29, 1935: Provided, That if such trade name or brand is used, the designation of the product shall be qualified by the name of the locality in the United States in which produced, and such qualification shall be in script, type, or printing as conspicuous as the trade name or brand. [T.D. 5051, June 5, 1941; 6 F.R. 2874] $7.24 Class and type. (a) The class of the malt beverage shall be stated and, if desired, the type thereof may be stated. Statements of class and type shall conform to the designation of the product as known to the trade. If the prod uct is not known to the trade under a particular designation, a distinctive or fanciful name, together with an adequate and truthful statement of the composition of the product, shall be stated, and such statement shall be deemed to be a statement of class and type for the purposes of the regulations in this part. (d) No product other than a malt beverage fermented at comparatively high temperature, possessing the characteristics generally attributed to "ale," "porter," or "stout" and produced without the use of coloring or flavoring materials (other than those recognized in standard brewing practices) shall bear any of these class designations. (e) Geographical names for distinctive types of malt beverages (other than names found by the Administrator under paragraph (f) of this section to have become generic) shall not be applied to malt beverages produced in any place other than the particular region indicated by the name unless (1) in direct conjunction with the name there appears the word "type" or the word "American," or some other statement indicating the true place of production in lettering substantially as conspicuous as such name, and (2) the malt beverages to which the name is applied conform to the type so designated. The following are examples of distinctive types of beer with geographical names that have not become generic: Dortmund, Dortmunder, Vienna, Wien, Wiener, Bavarian, Munich, Munchner, Salvator, Kulmbacher, Wurzburger, Pilsen (Pilsener and Pilsner): Provided, That notwithstanding the foregoing provisions of this section, beer which is produced in the United States may be designated as "Pilsen," "Pilsener," or "Pilsner" without further modification, if it conforms to such type. NOTE: Paragraphs (a), (d), (e), and (f) of this section were amended by Regs. 7, Amdt. 1, June 21, 1938, effective July 7, 1938; 3 F.R. 1515. § 7.29 Prohibited practices. (d) Flags, seals, coats of arms, crests, and other insignia. Labels shall not contain, in the brand name or otherwise, any statement, design, device, or pictorial representation which the Deputy Commissioner finds relates to, or is capable of being construed as relating to, the armed forces of the United States, or the American flag, or any emblem, seal, insignia, or decoration associated with such flag or armed forces; nor shall any label contain any statement, design, device, or pictorial representation of or concerning any flag, seal, coat of arms, crest or other insignia, likely to mislead the consumer to believe that the product has been endorsed, made, or used by, or produced for, or under the supervision of, or in accordance with the specifications of the government, organization, family, or individual with whom such flag, seal, coat of arms, crest, or insignia is associated. [As amended by T.D. 5051, June 5, 1941; 6 F.R. 2874] as relating to the armed forces of the United States, or of the American flag, or of any emblem, seal, insignia, or decoration associated with such flag or armed forces; nor shall any advertisement contain any statement, device, design, or pictorial representation of or concerning any flag, seal, coat of arms, crest, or other insignia, likely to mislead the consumer to believe that the product has been endorsed, made, or used by, or produced for, or under the supervision of, or in accordance with the specifications of the government, organization, family, or individual with whom such flag, seal, coat of arms, crest, or insignia is associated. NOTE: $7.54 (d) (2) was amended June 21, 1938, effective July 7, 1938; 3 F.R. 1515. Paragraph (g) was amended by T.D. 5051, June 5, 1941; 6 F.R. 2874. Pursuant § 8.1 Statutory provision. to clause 6, subsection (b), section 5, Federal Alcohol Administration Act, the credit period usual and customary to the industry is hereby ascertained to be thirty days from date of delivery in the case of all sales of distilled spirits, wine, and malt beverages. § 8.2 Circumstances in which extension prohibited. The extension of credit to a retailer, by any person engaged in business as a distiller, brewer, rectifier, blender, or other producer, or as an importer or wholesaler, of distilled spirits, wine, or malt beverages, or as a bottler, or warehouseman and bottler, of distilled spirits, for a period of time in excess of thirty days from date of delivery, is prohibited when the extension of such credit induces any retailer engaged in the sale of distilled spirits, wine, or malt beverages to purchase any such products from such person to the exclusion in whole or in part of distilled spirits, wine, or malt beverages sold or offered for sale by other persons in interstate or foreign commerce, if such inducement is made in the course of interstate or foreign commerce, or if such person engages in the practice of using such means to such an extent as to substantially restrict or prevent transactions in interstate or foreign commerce in any such products, or if the direct effect of such inducement is to prevent, deter, hinder or restrict other persons from selling or offering for sale any such products to such retailer in interstate or foreign commerce. § 8.3 Calculation of period. For the purpose of the regulations in this part, the period of credit shall be calculated as the time elapsing between the date of delivery of the merchandise and the date of full legal discharge of the retailer, through the payment of cash or its equivalent, from all indebtedness arising from the transaction. § 8.4 Effective date. The regulations in this part, in so far as they affect future sales transactions, shall take effect three months after November 30, 1938, and in so far as they relate to the extension of credit upon deliveries of distilled spirits, wine, and malt beverages heretofore consummated, shall take effect twelve months after November 30, 1938. Any accounts covered by the regulations in this part and based upon transactions completed prior to the date of filing the regulations in this part with the Division of the Federal Register, the liquidation of which has not been completed within one year thereafter may be further liquidated under such terms as in the opinion of the Administrator would not conflict with the requirements of the Act. INDEX (References are to title and part or title and section) A Admissions, excise tax, 26 Part 101 Affiliated corporations, consolidated income from employers' excise tax, 26 Part 403 Alcohol. See Denatured alcohol; Distilled Alcohol Tax Unit, establishment, duties, etc., Ale. See Liquors. Ammunition, tax regulations: Licensing of manufacturers and dealers, 26 Sales by manufacturer, 26 Part 316 Automobiles, etc., tax on sales by manufac- B Banks and bankers, circulation and notes Beer. See Liquors. Beneficiary associations, voluntary employ- Benzene, excise tax, 26 Part 314 Boats, use; regulations relating to excise tax, Bonds, stamp tax on issues and transfers, 26 Bowling alleys, excise tax, 26 Part 323 Brandy, production; excise tax, 26 Part 184 Business and store machines, tax on sales by Butter, adulterated and process or renovated; Exportation without payment of tax, 26 C Cable messages and services, excise tax, 26 Canada and U. S., tax convention regulations, Capital stock, excise tax, 26 Part 137 Carriers Taxing Act of 1937, regulations un- Cartridges, excise tax on sales by manufac- Casinghead, excise tax, 26 Part 314 Cigarette lighters, retailers' excise tax, 26 Cigars, cigarettes, cigarette papers and tubes; Removal without payment of tax for ship- Clocks, retailers' excise tax, 26 Part 320 Coca leaves, regulations under Harrison Nar- Community chests, exemption from employ- Commutation tickets, exemption from excise Contraband articles, seizures involving; ex- Cotton, sale for future delivery; excise tax on Crews, officers and members of, exemption D Declared value excess profits tax, 26 Part 21 Disposition of, 26 Part 174 Distilled spirits, Internal Revenue Bureau And bulk sales, 27 Part 3 Tax-paid, 26 Part 189 Brandy production, 26 Part 184 Containers, traffic in, 26 Part 175 Credit period to be extended to retailers, 27 Part 8 |