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Language lessons


With new standards out for gem terminology, the Jewelers Vigilance Committee (JVC) is helping translate them into practical advice for the industry. Here are the highlights from the latest Federal Trade Commission (FTC) guidelines.

By Joyce Kauf
Diamonds
The definition of ‘diamond’
  • What’s new: The term “natural” has been dropped from the definition of “diamond.” The new language reads: “A diamond is a mineral consisting essentially of pure carbon crystallized in the isometric system. It is found in many colors. Its hardness is 10; its specific gravity is approximately 3.52; and it has a refractive index of 2.42.”

  • Practical difference: The change simply reflects that diamonds can now be made in multiple ways. It does not alter the requirement to disclose laboratory-grown diamonds.
    •

    Terms to describe laboratory-grown diamonds
  • What’s new: Under the previous guidelines, only the terms “laboratory-grown,” “laboratory-created,” “[manufacturer name]-created,” or “synthetic,” immediately preceding the word diamond, could be used to describe this product category. The revised version allows use of the first three or “some other word or phrase of like meaning…so as to disclose clearly the nature of the product and the fact that it is not a mined gemstone.”

    In addition, the new standards prohibit the use of “cultured” to describe such diamonds unless the term is qualified by a clear and conspicuous disclosure.

  • Practical difference: For natural diamonds, traders may use the word “diamond,” unqualified. However, laboratory-grown diamonds must have one of the above-recommended modifiers in front of the word “diamond.”
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    Regarding the term ‘synthetic’
  • What’s new: The FTC has removed this term from its recommended list for describing laboratory-grown diamonds, but has not prohibited its use.

  • Practical difference: “Synthetic” may be an appropriate term to use in some instances, especially when translating scientific documents from other languages.

    • However, traders should be careful not to use it in a disparaging way or to imply that laboratory-grown diamonds are not actually diamonds.


    Other gemstonesWhen describing products made with gemstone material and any amount of filler or binder (such as lead glass or a polymer), it is deceptive to use the unqualified gemstone name or simply “treated [gemstone].” The FTC also considers it deceptive to use the language for laboratory-grown gemstones (“laboratory-grown,” “laboratory-created,” “[manufacturer name]-created”) to describe this product. Instead, marketers may use “composite [gemstone],” “[hybrid] gemstone” or “manufactured [gemstone],” as long as the terms are clearly and conspicuously qualified to convey that the product does not have the same properties as the named stone, and that it required special care.

    Precious metalsThere is no longer a 10-karat minimum threshold for referring to a product as “gold,” but fineness must be disclosed for anything under 24 karats. There is also no minimum threshold for silver, as long as fineness is disclosed (e.g. “750 PPT silver”). Standards for platinum remain unchanged.

    Use of ‘real,’ ‘natural,’ etc.The revised guidelines continue to prohibit the use of the words “real,” “genuine,” “natural,” “precious,” “semi-precious” and similar terms to describe a manufactured or artificial product. The JVC advises the trade not to use any of these terms to describe lab-grown diamonds.


    Education effortsSince the FTC issued its revised guidelines last July for describing gems and jewelry, the JVC has been working to educate industry members on how the changes will impact them — and on the importance of compliance.

    “The trade should remember that these guidelines have teeth and are enforceable under the FTC Act and other legal avenues,” says JVC CEO and president Tiffany Stevens. “Not only could the FTC come after the trade, but a competitor, a consumer or groups of consumers could also file suit.”

    The guidelines apply to both traditional and digital marketing formats. Disclosures “must be made to a consumer before the decision to purchase a product,” notes JVC senior counsel Sara Yood. “On the internet, this means the disclosure must be made conspicuously before the ‘add to cart’ or ‘purchase’ button.”

    Besides releasing a publication outlining the changes, says Yood, the JVC plans to hold seminars at trade events.

    Article from the Rapaport Magazine - February 2019. To subscribe click here.
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