Title 16: Commercial Practices
CHAPTER I: FEDERAL TRADE COMMISSION
SUBCHAPTER B: GUIDES AND TRADE PRACTICE RULES
PART 254: GUIDES FOR PRIVATE VOCATIONAL AND DISTANCE EDUCATION SCHOOLS
254.3 - Misrepresentation of extent or nature of accreditation or approval.
(a) It is deceptive for an industry member to misrepresent, directly or indirectly, the extent or nature of any approval by a State agency or accreditation by an accrediting agency or association. For example, an industry member should not:
(1) Represent, without qualification, that its school is accredited unless all programs of instruction have been accredited by an accrediting agency recognized by the U.S. Department of Education. If an accredited school offers courses or programs of instruction that are not accredited, all advertisements or promotional materials pertaining to those courses or programs, and making reference to the accreditation of the school, should clearly and conspicuously disclose that those particular courses or programs are not accredited.
(2) Represent that its school or a course is approved, unless the nature, extent, and purpose of that approval are disclosed.
(3) Misrepresent that students successfully completing a course or program of instruction can transfer the credit to an accredited institution of higher education.
(b) It is deceptive for an industry member to misrepresent that a course of instruction has been approved by a particular industry, or that successful completion of the course qualifies the student for admission to a labor union or similar organization or for receiving a State or Federal license to perform certain functions.
(c) It is deceptive for an industry member to misrepresent that its courses are recommended by vocational counselors, high schools, colleges, educational organizations, employment agencies, or members of a particular industry, or that it has been the subject of unsolicited testimonials or endorsements from former students. It is deceptive for an industry member to use testimonials or endorsements that do not accurately reflect current practices of the school or current conditions or employment opportunities in the industry or occupation for which students are being trained.
Note to paragraph (c):
The Commission's Guides Concerning Use of Endorsements and Testimonials in Advertising (part 255 of this chapter) provide further guidance in this area.
[63 FR 42573, Aug. 10, 1998]