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Legal position in describing imported gold jewellery in UK ?



 
 
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  #1  
Old February 19th 05, 01:48 AM
puk
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Default Legal position in describing imported gold jewellery in UK ?

Hi Folks,

I've read a thread in this group a while ago regarding the legality of
describing gold jewellery as 'gold' in the UK if the item is not hallmarked.
Does this mean that if I were to import gold jewellery pieces from abroad
(countries who do not need to hallmark stamp them), would it be illegal to
describe the items as '10kt, 14kt gold' etc. in my sales literature.

If it is illegal to do this in the UK then how does one fully describe the
piece?

Many thanks for any advice.

Neil




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  #2  
Old February 19th 05, 05:17 PM
Wooding
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puk wrote:
Hi Folks,

I've read a thread in this group a while ago regarding the legality of
describing gold jewellery as 'gold' in the UK if the item is not hallmarked.
Does this mean that if I were to import gold jewellery pieces from abroad
(countries who do not need to hallmark stamp them), would it be illegal to
describe the items as '10kt, 14kt gold' etc. in my sales literature.

If it is illegal to do this in the UK then how does one fully describe the
piece?

Many thanks for any advice.

Neil




As I understand it, it _is_ illegal in UK to sell an item as being
gold/silver/platinum when it doesn't bear an appropriate hallmark. The
accepted description is along the lines of "yellow metal marked as 14kt".

--

Regards, Gary Wooding
(To reply by email, change feet to foot in my address)
  #3  
Old February 19th 05, 05:17 PM
Ted Frater
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puk wrote:
Hi Folks,

I've read a thread in this group a while ago regarding the legality of
describing gold jewellery as 'gold' in the UK if the item is not hallmarked.
Does this mean that if I were to import gold jewellery pieces from abroad
(countries who do not need to hallmark stamp them), would it be illegal to
describe the items as '10kt, 14kt gold' etc. in my sales literature.

If it is illegal to do this in the UK then how does one fully describe the
piece?

Many thanks for any advice.

Neil




Before weget into the legal rules and regulations regarding offering for
sale gold items to the general public in the UK ,
Have you done your sums right?
Your going to compete with the big boys in the high st who will and
already have the importation of gold articles market sewn up.
Assuming your going to be able to import, cover the cost of the duty,
etc are you going to be competitive?
Once your sure of this, then you can look at the legal questions.
you cannot describe by any means an article made with a percentage
of gold that you offer for sale at a quality you describe UNLESS it is
tested and marked by one of the UK assay offices to that value.

You do not need to have it marked IF you describe it as yellow metal and
do not mention the word gold anywhere or in any way.
Now youve to be sure that what your buying is indeed the quality your
promised. If the assay office on testing your gold articles find its
below the standard you describe they will mark it a lower mark or if its
below the minimum allowed have the right to destroy the object.
your still charged the assay cost wether its marked or not.
Hope this cheers you up this morning.
If it was me, id only agree to pay for the gold items AFTER they have
passed the UK hallmarking requirements. then youd be safe.
Also theres a different marking price for finished items than to
unfinished ones.
To answer your last question, you cannot fully describe the piece unless
it meets the above rules.



..
  #4  
Old February 19th 05, 05:17 PM
Andy Webber
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Default

puk wrote:
I've read a thread in this group a while ago regarding the legality of
describing gold jewellery as 'gold' in the UK if the item is not hallmarked.
Does this mean that if I were to import gold jewellery pieces from abroad
(countries who do not need to hallmark stamp them), would it be illegal to
describe the items as '10kt, 14kt gold' etc. in my sales literature.

If it is illegal to do this in the UK then how does one fully describe the
piece?


An excellent summary of the law is available at
http://www.thegoldsmiths.co.uk/assayoffice/currenthallmarks.htm Some
of this legislation only applies to those "in the trade" - from your
description you would be counted as being in the trade, so it all applies.

You can use terms like "gold plated" or "yellow metal". If they are
already marked "14kt" you may have problems. I am not a lawyer; with 10
years in prison at stake you may want one.

Registering a mark costs about £40 for 10 years. Getting a punch made
costs around £40-£60 (not required for laser marking). Getting items
hallmarked depends on weight and type of item but is as low as £0.31 but
all are under £1/item for gold (laser marks may be more). Minimum parcel
charges may apply. Oh, and add £10 for your DN2 statutory notice. Prices
based on Sheffield 2005 price list, other assay offices may vary.

The UK system is based on independent assay. There is NO scope for
"under-carating" - if it isn't 585 parts gold per 1000 it will not be
marked 14ct. Your "10ct" items can only be assayed at the next lowest
recognised standard, which is 9ct (375/1000). You may want to have a
clause in your supply contract that protects you from costs associated
with the assay office rejecting under-carat items from your supplier.
Alternatively you will have to allow for wastage or devaluation. You
will also be responsible for ensuring that the items meet European
standards on nickel content for jewelery
http://www.teg.co.uk/nickel/index.html.

The good news for you is that imported items are no longer distinguished
from domestic. They used to use a different assay office mark design for
imported items (upto 1999). And if you get convention marks applied then
you can, I believe, safely export to the rest of Europe and the
"convention" countries.

Good luck
Andy
http://AndyWebber.com/
  #5  
Old February 19th 05, 07:45 PM
William Black
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"puk" wrote in message
...
Hi Folks,

I've read a thread in this group a while ago regarding the legality of
describing gold jewellery as 'gold' in the UK if the item is not

hallmarked.
Does this mean that if I were to import gold jewellery pieces from abroad
(countries who do not need to hallmark stamp them), would it be illegal to
describe the items as '10kt, 14kt gold' etc. in my sales literature.

It's 'yellow metal' unless it either has a UK hallmark or a mark from
Cyprus, the Czech Republic, Denmark, Finland, Hungary, Ireland, The
Netherlands, Portugal, Slovenia and Switzerland.

10ct is not a UK mark, it'll be stamped 9ct.

The marks on it already don't actually matter unless they are from one of
the above places.

--
William Black

I've seen things you people wouldn't believe
Barbeques on fire by chalets past the headland
I've watched the gift shops glitter in the darkness off Newborough
All this will pass like ice-cream on the beach
Time for tea
--
William Black

I've seen things you people wouldn't believe
Barbeques on fire by chalets past the headland
I've watched the gift shops glitter in the darkness off Newborough
All this will pass like ice-cream on the beach
Time for tea


  #6  
Old February 20th 05, 10:35 AM
Charlie
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Posts: n/a
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I'm not sure I understand. If I sell my own creations (bangles, earrings,
necklaces that are primarily maille and wire work at the moment) do I have
to get them hallmarked to sell them as silver? What about if I buy pre
marked clasps and things? Some of my pieces I doubt actually have space to
put a hallmark on. What about those that use other materials, such as
lampwork? How do I got about getting an account at an assay office? I
couldn't find any of this info on their websites, perhaps I'm looking in the
wrong places.

So this mean that every "craft" (I hate that word) seller at a fair is
breaking the law because their pieces haven't been send to the assay office?

Charlie.

"Wooding" wrote in message
news
puk wrote:
Hi Folks,

I've read a thread in this group a while ago regarding the legality of
describing gold jewellery as 'gold' in the UK if the item is not

hallmarked.
Does this mean that if I were to import gold jewellery pieces from

abroad
(countries who do not need to hallmark stamp them), would it be illegal

to
describe the items as '10kt, 14kt gold' etc. in my sales literature.

If it is illegal to do this in the UK then how does one fully describe

the
piece?

Many thanks for any advice.

Neil




As I understand it, it _is_ illegal in UK to sell an item as being
gold/silver/platinum when it doesn't bear an appropriate hallmark. The
accepted description is along the lines of "yellow metal marked as 14kt".

--

Regards, Gary Wooding
(To reply by email, change feet to foot in my address)



  #7  
Old February 20th 05, 12:51 PM
puk
external usenet poster
 
Posts: n/a
Default


"puk" wrote in message
...
Hi Folks,

I've read a thread in this group a while ago regarding the legality of
describing gold jewellery as 'gold' in the UK if the item is not
hallmarked.
Does this mean that if I were to import gold jewellery pieces from abroad
(countries who do not need to hallmark stamp them), would it be illegal to
describe the items as '10kt, 14kt gold' etc. in my sales literature.

If it is illegal to do this in the UK then how does one fully describe the
piece?


Many thanks to all who replied.
It seems that my tenuous grasp of the issue was fundamentally correct, and
therefore represents a real problem for (I guess) many other traders in a
similar situation.

We had planned to stock gold and silver jewellery pieces from around the
world (ethnic pieces, representing the traditional styles for each
country/region), for sale by mail order (possibly UK only) and on our
website, internationally. We would test to check that the pieces were
actually of the karat grade advised by our suppliers prior to releasing them
for retail sale, to ensure that the items did conform to description, and
that our customers were receiving what they expected.

It would seem that this is not feasible as we will not, in a great many
cases, be able to describe them as 'gold' or 'silver'. If we describe them
as 'yellow metal', then I presume if a customer actually enquires what
'yellow metal' actually means, we still can not legally define the meaning
of the term as 'gold'.

It's 'yellow metal' unless it either has a UK hallmark or a mark from
Cyprus, the Czech Republic, Denmark, Finland, Hungary, Ireland, The
Netherlands, Portugal, Slovenia and Switzerland.


(just thinking out loud now, for the benefit of discussion...)
Alternatively we could have the pieces stamped in the UK, but this will cost
extra and present additional problems. We have been talking to suppliers
from a good many countries, including USA, Italy, Egypt, Middle and Far
East. Some of these suppliers are agreeable to a sale or return (exchange)
arrangement for items not selling well. Therefore we would not be able have
the pieces hallmarked in the UK if we were to work by that arrangement. I'm
sure this must affect other traders in the UK, and wonder if there is any of
legally circumventing the problem. Disregarding the mail order side, would
the same law apply to trading online (website store) being operated from the
UK?

It seems like a huge gamble to stock up and sell as 'yellow metal' and not
even be able to list what 'grade' of 'yellow metal' the piece is made from.

Once again many thanks for the detailed advice offered by one and all.

Neil







  #8  
Old February 20th 05, 05:03 PM
William Black
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"Charlie" wrote in message
...
I'm not sure I understand. If I sell my own creations (bangles, earrings,
necklaces that are primarily maille and wire work at the moment) do I have
to get them hallmarked to sell them as silver?


Yes, if they weigh more than than about 1/4 of an ounce.

If less you can just stamp them yourself '.925'.

What about if I buy pre
marked clasps and things?


If you add them and what you add them to isn't of the correct composition
you can get locked up.

Some of my pieces I doubt actually have space to
put a hallmark on.


You'd be suprised, besides silver under about 1/4 ounce doen't need them to
be sold as silver...

How do I got about getting an account at an assay office? I
couldn't find any of this info on their websites, perhaps I'm looking in

the
wrong places.


Go there. Walk in the door and ask. They're very good.

You've got to go there anyway to pick your mark anyway.

So this mean that every "craft" (I hate that word)


It's not a craft, it's a trade.

seller at a fair is
breaking the law because their pieces haven't been send to the assay

office?

I'm not, my stuff is marked, I display the correct card, I play the game
according to the rules.

The Commissioners have a very strange sense of humour, and none at all when
it come to selling stuff without marks..

--
William Black

I've seen things you people wouldn't believe
Barbeques on fire by chalets past the headland
I've watched the gift shops glitter in the darkness off Newborough
All this will pass like ice-cream on the beach
Time for tea


  #9  
Old February 20th 05, 05:03 PM
William Black
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Posts: n/a
Default


"puk" wrote in message
...

It would seem that this is not feasible as we will not, in a great many
cases, be able to describe them as 'gold' or 'silver'. If we describe

them
as 'yellow metal', then I presume if a customer actually enquires what
'yellow metal' actually means, we still can not legally define the meaning
of the term as 'gold'.


True.

It's 'yellow metal' unless it either has a UK hallmark or a mark from
Cyprus, the Czech Republic, Denmark, Finland, Hungary, Ireland, The
Netherlands, Portugal, Slovenia and Switzerland.


(just thinking out loud now, for the benefit of discussion...)
Alternatively we could have the pieces stamped in the UK, but this will

cost
extra and present additional problems. We have been talking to suppliers
from a good many countries, including USA, Italy, Egypt, Middle and Far
East. Some of these suppliers are agreeable to a sale or return

(exchange)
arrangement for items not selling well. Therefore we would not be able

have
the pieces hallmarked in the UK if we were to work by that arrangement.

I'm
sure this must affect other traders in the UK, and wonder if there is any

of
legally circumventing the problem. Disregarding the mail order side, would
the same law apply to trading online (website store) being operated from

the
UK?


The words here are 'Sold in the UK'.

If you sell precious metal objects in the UK they MUST be marked unless
they're very small (under 1/4 ounce for silver).

No exceptions, no allowances for ignorance, vast and ghastly penalties for
non compliance.

This game has rules, it sets a level playing field for materials quality
that has lasted for over four hundred years in its present form and goes
back a lot longer.

Have you considered asking your 'Sale or Return' suppliers if they'd mind a
UK hallmark being added? At least three of the wholesalers I deal with
import large quantities of 'ethnic' jewellery from the 'Third World' and
don't see this as an issue.

However if you're importing stuff from either Italy or Nepal be careful, as
a general rule it won't get a British hallmark anyway, it tends to be only
75% silver...

--
William Black

I've seen things you people wouldn't believe
Barbeques on fire by chalets past the headland
I've watched the gift shops glitter in the darkness off Newborough
All this will pass like ice-cream on the beach
Time for tea


  #10  
Old February 20th 05, 05:03 PM
Andy Webber
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Default

Charlie wrote:
I'm not sure I understand. If I sell my own creations (bangles, earrings,
necklaces that are primarily maille and wire work at the moment) do I have
to get them hallmarked to sell them as silver?


Unless they are exempt then yes.

What about if I buy pre marked clasps and things?


Unless your finished item is exempt then yes.

Some of my pieces I doubt actually have space to
put a hallmark on.


The smallest punch is about 0.4 mm across its smallest dimension, so a
set of marks would fit in about 2x0.5mm or 1.5x1.5mm space. There is an
exemption under "List of Articles Exempted from Compulsory Hallmarking
under Part II of Schedule I of the Hallmarking Act 1973; As amended by
the Hallmarking (Exempted Articles)(Amendment) Order 1975 the
Hallmarking (Exempted Articles) Orders 1982 and 1986" [deep breath]
heading "Articles exempt if of minimum fineness" para 13 "Any article,
except an article made of chainwork, which is wholly of one or more
precious metals of minimum fineness and which is so small or thin that
it cannot be hallmarked" and Note "The exemptions referred to in para
..... 13 ... of the list will not apply to any articles in which solder is
used unless the solder is of the standard of fineness required if the
articles were to be hallmarked"

In short and roughly, if it is too small/thin to hallmark, but it meets
the requirements for successful assay then it is exempt from
hallmarking. That means you may be able call your small/thin items
"silver" or "sterling" as long as it really is at least 925, the solder
at least 650 and it meets other regulations eg on not mixing with base
metals except where permitted.

There is also a virtual blanket exemption for items of silver under
7.78g as long as they meet the fineness requirements.

What about those that use other materials, such as
lampwork?


If you are mixing precious and base metals then special rules apply (you
should get all the gory details in pre or post registration pack). This
is too complext to summarise accurately here. Mixing with non-metalic
materials is not normally a problem as long as it is not filling. The
point here is to avoid deception.

How do I got about getting an account at an assay office?
I
couldn't find any of this info on their websites, perhaps I'm looking in the
wrong places.


There's too much reliance on paper/signatures to register on-line. Just
phone them up or write to them and say you are interested in registering
a mark. They will send you the paperwork to complete, rates etc and
probably copies of bits of legislation. You have a free choice of office
and can register with several if you wish. You do not need to register
with the office nearest to you. If all your items are exempt then you do
not need to register at all.

So this mean that every "craft" (I hate that word) seller at a fair is
breaking the law because their pieces haven't been send to the assay office?


Not necessarily. There is no problem if the items are exempt from
hallmark laws. It is possible to unknowingly be in compliance with the
law. I would suggest getting copies of the memorandums and notes from
the Joint Comittee of the Assay Offices of Great Britian either from an
assay office or from the Committee (St Philip's House, St Philip's
Place, Birmingham, B3 2PP).

Cheers
Andy Webber
http://AndyWebber.com/
 




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