The Hong Kong Jewellers' & Goldsmiths' Association
News Draft

The Hong Kong SAR Government announced on 12th December 2008 that the Trade Descriptions (Amendment) Ordinance 2008 with its eight pieces of related subsidiary legislation, enacted by the legislative Council on 18th June 2008 will be effective 2nd March 2009.

The Trade Descriptions (Amendment) Ordinance 2008 expands the definition of trade description to cover information on warranty and after-sale repair and maintenance services for goods. The Amendment Ordinance seeks to prohibit retailers from giving misleading price indications and making false or misleading representations to deceive consumers.

Under the Amendment Ordinance:
Retailers will be required to show clearly and conspicuously the unit of goods in the price signs.
Retailers will be prohibited from making false or misleading representations regarding their connection with or endorsement by individuals or organisations of good standing and reputation.
Items referred to below concern particularly the retail trades of precious stone and metals.
1. Trade Descriptions (Amendment) Ordinance 2008;
2. Trade Descriptions (Definition of Fei Cui and Natural Fei Cui) Regulation;
3. Trade Descriptions (Definition of Diamond) Regulation;
4. Trade Descriptions (Provision of information on Natural Fei Cui) Order;
5. Trade Descriptions (Provision of information on Diamond) Order;
6. Trade Descriptions (Marking)(Gold and Gold Alloy) (Amendment) Order 2008;
7. Trade Descriptions (Marking)(Platinum) (Amendment) Order 2008;
8. Trade Descriptions (Definition of Platinum) (Amendment) Regulation 2008;

Under the items, the use of the terms "Fei Cui", "Natural Fei Cui" and "Diamond" in the course of trade or business will be regulated. Retailers will be required to issue an invoice or receipt containing certain specified information in relation to the sale of natural Fei Cui, diamond, gold and platinum, and retain for at least three years a copy of the invoice or receipt so issued. In addition, retailers of natural Fei Cui and diamond will be required to display prominently at the point of supply a prescribed notice informing potential customers of the definitions of natural Fei Cui and diamond the obligation to issue a detailed invoice or receipt when such articles are supplied. In addition, the Chinese rendition and "white gold" and "platinum" will be revised.

Four Notices specifying, legal requirement should be displayed prominently at the point of supply.

The Trade Descriptions (Marking)(Gold and Gold Alloy) Order

The Trade Descriptions (Marking)(Platinum) Order

The Trade Descriptions (Provision of Information on Natural Fei Cui) Order

The Trade Descriptions (Provision of Information on Diamond) Order