BILL NUMBER: SB 633	CHAPTERED
	BILL TEXT

	CHAPTER  238
	FILED WITH SECRETARY OF STATE  SEPTEMBER 1, 2015
	APPROVED BY GOVERNOR  SEPTEMBER 1, 2015
	PASSED THE SENATE  AUGUST 17, 2015
	PASSED THE ASSEMBLY  JULY 16, 2015
	AMENDED IN ASSEMBLY  JULY 13, 2015
	AMENDED IN ASSEMBLY  JULY 2, 2015
	AMENDED IN SENATE  MAY 19, 2015
	AMENDED IN SENATE  APRIL 14, 2015

INTRODUCED BY   Senator Hill
   (Principal coauthor: Assembly Member Jones)
   (Coauthor: Senator De León)

                        FEBRUARY 27, 2015

   An act to amend Section 17533.7 of the Business and Professions
Code, relating to false advertising.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 633, Hill. Consumer protection: "Made in U.S.A." label.
   Existing law prohibits the sale or offering of sale in the state
of any merchandise on which merchandise or on its container appears
the words, "Made in U.S.A.," "Made in America," "U.S.A.," or similar
words when the merchandise or any article, unit, or part thereof, has
been entirely or substantially made, manufactured, or produced
outside of the United States.
   This bill would exempt from the prohibition merchandise made,
manufactured, or produced in the United States if either the
merchandise has one or more articles, units, or parts from outside
the United States if they do not constitute more than 5% of the final
wholesale value of the product or the manufacturer makes a specified
showing regarding the articles, units, or parts from outside the
United States and they do not constitute more than 10% of the final
wholesale value of the product. The bill would also not apply to
merchandise sold for resale to consumers outside of the state.
Merchandise offered or sold outside the state would not be deemed
mislabeled if the label conforms to the law of that state or country.



THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 17533.7 of the Business and Professions Code is
amended to read:
   17533.7.  (a) It is unlawful for any person, firm, corporation, or
association to sell or offer for sale in this state any merchandise
on which merchandise or on its container there appears the words
"Made in U.S.A.," "Made in America," "U.S.A.," or similar words if
the merchandise or any article, unit, or part thereof, has been
entirely or substantially made, manufactured, or produced outside of
the United States.
   (b) This section shall not apply to merchandise made,
manufactured, or produced in the United States that has one or more
articles, units, or parts from outside of the United States, if all
of the articles, units, or parts of the merchandise obtained from
outside the United States constitute not more than 5 percent of the
final wholesale value of the manufactured product.
   (c) (1) This section shall not apply to merchandise made,
manufactured, or produced in the United States that has one or more
articles, units, or parts from outside of the United States, if both
of the following apply:
   (A) The manufacturer of the merchandise shows that it can neither
produce the article, unit, or part within the United States nor
obtain the article, unit, or part of the merchandise from a domestic
source.
   (B) All of the articles, units, or parts of the merchandise
obtained from outside the United States constitute not more than 10
percent of the final wholesale value of the manufactured product.
   (2) The determination that the article, unit, or part of the
merchandise cannot be made, manufactured, produced, or obtained
within the United States from a domestic source shall not be based on
the cost of the article, unit, or part.
   (d) This section shall not apply to merchandise sold for resale to
consumers outside of California.
   (e) For purposes of this section, merchandise sold or offered for
sale outside of California shall not be deemed mislabeled if the
label conforms to the law of the forum state or country within which
they are sold or offered for sale.