340 341
US-SPECIFIC INFORMATION
How sales and marketing work
and technical safeguards that health care insurers and
providers must follow to protect patient records.
In financial services, the Gramm-Leach-Bliley Act of
1999 stipulates the steps that banks, credit unions, and
other financial institutions must follow to safeguard
customer data. The act is enforced by the FTC. Other
industries are also subject to specific privacy and data
protection rules.
Direct marketing
Direct marketing agencies are subject to laws enforced
by the above-mentioned agencies, but are also
supposed to adhere to self-imposed codes of conduct
adopted by the Direct Marketing Association. The
DMA is a lobby group for the industry that promotes
“responsible, data-driven marketing.” The DMA
promulgates member policies on a number of issues,
including privacy, the environment, e-commerce, and
consumer protection.
E-commerce
For marketers that conduct campaigns through the
internet and social media channels, the Interactive
Advertising Bureau (IAB) publishes codes of conduct
that members are expected to follow. For example, the
IAB expects all members to be transparent about the
data and personal information they collect from
consumers on the web.
ORGANIZATIONS AND RESOURCES
Advertising
The Federal Trade Commission oversees truth-in-
advertising laws and regulations and offers resources
to advertisers and marketers to help keep them
from running afoul of the rules. On its website, the
FTC publishes advisory opinions on how changes
to laws or court rulings may have an impact on future
enforcement decisions.
www.ftc.gov/policy/advisory-opinions
The Bureau of Consumer Protection, an arm of the
FTC, operates an online Business Center that advises
businesses how to comply with Do Not Call, CAN-SPAM,
and other rules. It also offers general guidelines on
advertising and marketing basics, marketing to children,
health claims, and “Made in the USA” claims.
www.ftc.gov/tips-advice/business-center/advertising-and-
marketing
Data protection
Various federal agencies can provide information
on rules, regulations, and methods concerning the
protection of consumer data and privacy, depending
on the industry.
The Department of Health & Human Services publishes
an online FAQ for complying with HIPAA. It also posts
guidelines for covered entities and their business
partners and associates.
www.hhs.gov
For marketers and advertisers who work within the
financial services industry, the SEC has a web page
devoted to the topic of protecting consumers’ financial
data and personally identifiable information (PII).
www.sec.gov/about/privacy/secprivacyoffice.htm
In Canada
Canada’s Competition Bureau maintains a website
that provides in-depth information on the Consumer
Packaging and Labelling Act, as well as on other
relevant legislation.
www.competitionbureau.gc.ca/eic/site/cb-bc.nsf/eng/home
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Also known as the Public Company Accounting Reform
and Investor Protection Act, the Sarbanes-Oxley Act of
2002 (SOX) was passed by Congress in the wake of
several high-profile corporate accounting scandals—
most notably at Tyco International, WorldCom, Enron,
and Enron’s auditor, Arthur Andersen.
SOX established the Public Company Accounting
Oversight Board (PCAOB), which regulates auditing of
corporate financial statements. It prohibits auditing
firms from operating consulting businesses and
stipulates that a company may not engage an auditor
if certain members of senior management worked for
that company within the prior year.
SOX requires Chief Executive Officers and Chief
Financial Officers to sign and attest to the veracity of
their company’s financial statements. Board audit
committees must have at least one independent director.
In addition to government oversight, the auditing
profession has stepped up self-regulation in the wake
of the financial scandals. The American Institute of
Certified Public Accountants (AICPA) has in recent
years issued several key Statements on Auditing
Standards (SAS). SAS 70 sets audit standards for the
services industry, SAS 85 requires auditors to obtain
written representations from management, and SAS 99
sets out steps to be taken to detect material
misstatement and accounting fraud.
In Canada
Businesses in Canada are governed by the Competition
Act. The Act prohibits misleading advertising and
marketing practices, and requires truthful statements
concerning warranties, guarantees, and prices. It
enables wronged parties to sue defendants for fraud
in civil court, usually at the provincial level.
How operations and
production work
Standards and quality control
In the US, numerous independent standards
organizations play a role in ensuring adherence
to standards and quality control in various industries,
including manufacturing, services, and health care.
Many of these standards are promulgated by the
International Organization for Standardization (ISO),
a nongovernmental organization based in Geneva,
Switzerland. ISO 9000 sets out eight principles
for achieving quality control and operational
consistency. ISO 9001 establishes formal processes
that companies must adhere to, including the
establishment of formal quality-control committees,
to achieve the designation. ISO 3100 stipulates
procedures for controlling and managing risk,
while ISO 22,000 concerns food safety.
There are other, privately sponsored quality-
control initiatives in which many large US companies
participate. Beyond ISO, one of the most widely
adhered to is the Six Sigma program, which was
developed by Motorola and widely deployed by
General Electric under former CEO Jack Welch.
Six Sigma seeks to build processes aimed at removing
defects from the manufacturing process.
Health, safety, and the environment
Companies operating in the US are expected to operate
in a socially responsible manner that attempts to
minimize environmental impact while protecting
worker health and safety. The federal Environmental
Protection Agency (EPA) has broad authority to
interpret, apply, and enforce federal laws concerning
environmental impact. The EPA regulates greenhouse
gas emissions, estuarial runoff, and wetlands
protection, among other things.
In the US, practices concerning corporate governance, responsibility,
fiduciary obligations, and social responsibility are broadly governed
by the Sarbanes-Oxley Act, passed by Congress in 2002.
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342 343
US-SPECIFIC INFORMATION
How operations and production work
To maintain worker safety, corporations and even
small, privately held companies must adhere to
standards set by the Occupational Safety & Health
Administration (OSHA). OSHA regulations require a
workplace that keeps workers safe from everything
from slips and falls to major industrial hazards like
exposure to toxic chemicals. OSHA has the power to
halt production at job sites deemed unsafe.
Food production and processing are further subject
to health and safety standards set by the Food and
Drug Administration (FDA) and the US Department
of Agriculture’s Food Safety and Inspection Service.
Liabilities, warranties, and guarantees
Companies that sell goods and services in the United
States must adhere to various consumer protection
laws that are generally promulgated and enforced at
the state level. For example, New York State maintains
a Division of Consumer Protection, California has its
Department of Consumer Affairs, and the Texas
Attorney General maintains a Consumer Protection
unit. These organizations enforce laws concerning the
terms and conditions under which goods and services
are sold to the public. New York State, for instance,
requires stores to post their refund policies in open
view, maintain transparent rebate policies, and limit
restrictive provisions on gift card redemption.
Intellectual property law and patent
protection
Intellectual property laws in the US are upheld and
enforced mainly through the United States Patent and
Trademark Office (USPTO) and the US Copyright Office.
The USPTO adjudicates the validity of patent claims
and awards patents on new designs of products,
services, and business methods. The USPTO also
evaluates trademark claims.
The Copyright Office registers claims and issues
certificates for copyrights on literary, artistic, and
design works, such as a corporate logo.
ORGANIZATIONS AND RESOURCES
Compliance and corporate responsibility
The Securities and Exchange Commission enforces
Sarbanes-Oxley compliance.
www.sec.gov
Standards and quality control
ISO’s site provides full information on all of the standards
overseen by the organization.
www.iso.org/iso/home.html
Health, safety, and the environment
OSHA’s website offers information on new regulations,
compliance tips, and enforcement actions.
www.osha.gov
The EPA has online tools for checking compliance
with federal environmental regulations.
www3.epa.gov
Information on food safety laws and practices can
be obtained from the FDA’s site.
www.fda.gov
Liability, warranties, and guarantees
In the US, consumer protection generally falls to the state
level. Individual state websites provide information on
regulations concerning public sale of goods and services.
Intellectual property law
The USPTO is the main resource for all information
concerning the filing of patent applications.
www.uspto.gov
The US Copyright Office website includes information
about the copyright process and fees.
copyright.gov
In Canada
Information on corporate law and operations in Canada
can be obtained from the federal government’s
Competition Bureau.
www.competitionbureau.gc.ca/eic/site/cb-bc.nsf/eng/home
www.bureaudelaconcurrence.gc.ca/eic/site/cb-bc.nsf/fra/
Accueil
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342 343
US-SPECIFIC INFORMATION
How operations and production work
To maintain worker safety, corporations and even
small, privately held companies must adhere to
standards set by the Occupational Safety & Health
Administration (OSHA). OSHA regulations require a
workplace that keeps workers safe from everything
from slips and falls to major industrial hazards like
exposure to toxic chemicals. OSHA has the power to
halt production at job sites deemed unsafe.
Food production and processing are further subject
to health and safety standards set by the Food and
Drug Administration (FDA) and the US Department
of Agriculture’s Food Safety and Inspection Service.
Liabilities, warranties, and guarantees
Companies that sell goods and services in the United
States must adhere to various consumer protection
laws that are generally promulgated and enforced at
the state level. For example, New York State maintains
a Division of Consumer Protection, California has its
Department of Consumer Affairs, and the Texas
Attorney General maintains a Consumer Protection
unit. These organizations enforce laws concerning the
terms and conditions under which goods and services
are sold to the public. New York State, for instance,
requires stores to post their refund policies in open
view, maintain transparent rebate policies, and limit
restrictive provisions on gift card redemption.
Intellectual property law and patent
protection
Intellectual property laws in the US are upheld and
enforced mainly through the United States Patent and
Trademark Office (USPTO) and the US Copyright Office.
The USPTO adjudicates the validity of patent claims
and awards patents on new designs of products,
services, and business methods. The USPTO also
evaluates trademark claims.
The Copyright Office registers claims and issues
certificates for copyrights on literary, artistic, and
design works, such as a corporate logo.
ORGANIZATIONS AND RESOURCES
Compliance and corporate responsibility
The Securities and Exchange Commission enforces
Sarbanes-Oxley compliance.
www.sec.gov
Standards and quality control
ISO’s site provides full information on all of the standards
overseen by the organization.
www.iso.org/iso/home.html
Health, safety, and the environment
OSHA’s website offers information on new regulations,
compliance tips, and enforcement actions.
www.osha.gov
The EPA has online tools for checking compliance
with federal environmental regulations.
www3.epa.gov
Information on food safety laws and practices can
be obtained from the FDA’s site.
www.fda.gov
Liability, warranties, and guarantees
In the US, consumer protection generally falls to the state
level. Individual state websites provide information on
regulations concerning public sale of goods and services.
Intellectual property law
The USPTO is the main resource for all information
concerning the filing of patent applications.
www.uspto.gov
The US Copyright Office website includes information
about the copyright process and fees.
copyright.gov
In Canada
Information on corporate law and operations in Canada
can be obtained from the federal government’s
Competition Bureau.
www.competitionbureau.gc.ca/eic/site/cb-bc.nsf/eng/home
www.bureaudelaconcurrence.gc.ca/eic/site/cb-bc.nsf/fra/
Accueil
US_336-343_Country_specific_section-CH-edit.indd 343 09/11/2016 11:02
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