I 
110TH CONGRESS 
1ST SESSION H. R. 1992 
To amend the Tariff Act of 1930 to prohibit the import, export, and sale 
of goods made with sweatshop labor, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
APRIL 23, 2007 
Mr. MICHAUD (for himself and Mr. SMITH of New Jersey) introduced the fol-
lowing bill; which was referred to the Committee on Ways and Means, 
and in addition to the Committees on Armed Services, Oversight and 
Government Reform, Rules, Energy and Commerce, and Foreign Affairs, 
for a period to be subsequently determined by the Speaker, in each case 
for consideration of such provisions as fall within the jurisdiction of the 
committee concerned 
A BILL 
To amend the Tariff Act of 1930 to prohibit the import, 
export, and sale of goods made with sweatshop labor, 
and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Decent Working Con-
ditions and Fair Competition Act’’. 
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SEC. 2. FINDINGS AND PURPOSES. 
(a) FINDINGS.—Congress makes the following find-
ings: 
(1) Violations of core labor standards, as de-
fined under the laws of the United States and the 
International Labor Organization, are widespread in 
factories that produce goods for sale in the United 
States. 
(2) Factories that violate core labor standards 
are commonly referred to as sweatshops. 
(3) Subjecting factory workers to sweatshop 
conditions that violate core labor standards is mor-
ally offensive to the American people both in their 
roles as consumers and as investors, and is degrad-
ing to workers forced to labor under sweatshop con-
ditions. 
(4) Workers have a right to be free of sweat-
shop working conditions. 
(5) Consumers have a right to know that the 
goods they purchase are not produced in sweatshops. 
(6) Businesses have a right to be free from 
competition with companies that use sweatshop 
labor. 
(7) Shareholders have a right to know that 
their investments are not supporting sweatshop 
labor. 
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(8) It is a deceptive trade practice and a form 
of unfair competition for a business to sell sweat-
shop goods. 
(9) Prohibiting the sale, manufacture, offer for 
sale, transportation, and distribution of sweatshop 
goods, regardless of the source of the goods, is con-
sistent with the international obligations of the 
United States because the prohibition applies equally 
to domestic and foreign products and avoids any dis-
crimination among foreign sources of competing 
products. 
(b) PURPOSES.—The purposes of this Act are to— 
(1) prohibit the import, export, or sale of goods 
made in factories or workshops that violate core 
labor standards; and 
(2) prohibit the procurement of sweatshop 
goods by the United States Government. 
SEC. 3. DEFINITION OF CORE LABOR STANDARDS. 
(a) IN GENERAL.—In this Act, the term ‘‘core labor 
standards’’ means— 
(1) the right of association; 
(2) the right to organize and bargain collec-
tively; 
(3) a prohibition on the use of any form of 
forced or compulsory labor; 
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(4) a minimum age for the employment of chil-
dren; and 
(5) acceptable conditions of work with respect 
to minimum wages, hours of work, and occupational 
safety and health. 
(b) ACCEPTABLE CONDITIONS.—For purposes of 
subsection (a)(5), acceptable conditions of work shall be 
determined by the laws, regulations, or competent author-
ity of the country where the labor is performed. 
TITLE I—TARIFF ACT OF 1930 
SEC. 101. IMPORTATION AND SALE OF SWEATSHOP GOODS 
PROHIBITED. 
Section 307 of the Tariff Act of 1930 (19 U.S.C. 
1307) is amended to read as follows: 
‘‘SEC. 307. PROHIBITION ON IMPORT AND SALE OF CON-
VICT-MADE GOODS AND SWEATSHOP GOODS. 
‘‘(a) DEFINITIONS.—In this section: 
‘‘(1) CONVICT-MADE GOOD.—The term ‘convict- 
made good’ means any good, ware, article, or mer-
chandise mined, produced, or manufactured wholly 
or in part in any foreign country by convict labor. 
‘‘(2) SWEATSHOP GOOD.—The term ‘sweatshop 
good’ means any good, ware, article, or merchandise 
mined, produced, or manufactured wholly or in part 
in violation of core labor standards as defined in sec-
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tion 3 of the Decent Working Conditions and Fair 
Competition Act. 
‘‘(b) PROHIBITIONS.—It is unlawful for any person 
to— 
‘‘(1) import into the United States any convict- 
made good; 
‘‘(2) import into, or export from, the United 
States any sweatshop good; or 
‘‘(3) introduce into commerce, sell, trade, or ad-
vertise in commerce, offer to sell, or transport or 
distribute in commerce in the United States, any 
sweatshop good.’’. 
SEC. 102. WAIVER AUTHORITY. 
(a) IN GENERAL.—The President, for reasons of na-
tional interest, may recommend that the application of 
section 201 of this Act or section 307(b) (2) and (3) of 
the Tariff Act of 1930 (19 U.S.C. 1307) be waived in con-
nection with the goods of any country with respect to 1 
or more of the principles and rights defined as core labor 
standards in section 3 of this Act. Any such recommenda-
tion shall— 
(1) be transmitted to the House of Representa-
tives and the Senate setting forth the President’s 
reasons for the waiver; 
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(2) include, for each waiver recommendation, a 
determination that the waiver is necessary to protect 
the national interest of the United States; and 
(3) include, for each principle or right for which 
a waiver is recommended, an explanation of why the 
President recommends waiving application of that 
principle or right. 
(b) PERIOD OF WAIVER.—A waiver under this sec-
tion shall be effective for a 12-month period unless Con-
gress enacts a joint resolution described in subsection (c). 
(c) JOINT RESOLUTION REQUIREMENTS AND PROCE-
DURES.— 
(1) RESOLUTION DESCRIBED.—For purposes of 
this subsection, the term ‘‘resolution’’ means only a 
joint resolution of the two Houses of Congress, the 
matter after the resolving clause of which is as fol-
lows: ‘‘That Congress does not approve the waiver of 
section 201 of the Decent Working Conditions and 
Fair Competition Act or section 307(b) (2) and (3) 
of the Tariff Act of 1930 (19 U.S.C. 1307) rec-
ommended by the President to Congress on 
lllllll with respect to the application of 
lllllll to the goods oflllllll.’’, 
with the first blank space being filled with the ap-
propriate date, the second blank space being filled 
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with the principle or right to be waived, and the 
third blank space being filled with the name of the 
country with respect to which the waiver of author-
ity is disapproved. 
(2) APPLICATION
OF
PROCEDURAL
PROVI-
SIONS.—The provisions of section 152 (b) through 
(f) of the Trade Act of 1974 (19 U.S.C. 2192 (b) 
through (f)) shall apply to resolutions described in 
paragraph (1). 
(3) APPROVAL BY CONGRESS.—If Congress ap-
proves the joint resolution, Congress shall send the 
resolution to the President before the end of the 90- 
day period beginning on the date that Congress re-
ceives the waiver recommendation described in sub-
section (a). 
(4) EFFECT OF VETO.—If the President vetoes 
the joint resolution, the resolution is enacted into 
law if each House of Congress votes to override the 
veto on or before the later of the last day of the 90- 
day period referred to in paragraph (3) or the last 
day of the 15-day period, excluding any day de-
scribed in section 154(b) of the Trade Act of 1974 
(19 U.S.C. 2194(b)), beginning on the date Con-
gress receives the veto message from the President. 
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(5) INTRODUCTION.—A joint resolution to 
which this subsection applies may be introduced at 
any time on or after the date the President trans-
mits to Congress the waiver recommendation de-
scribed in subsection (a). 
(d) TERMINATION OR EXTENSION OF WAIVER.—A 
waiver with respect to the goods of any country terminates 
on the day after the waiver authority granted by this sub-
section ceases to be effective with respect to such country, 
unless an extension of the waiver authority is granted. The 
President may recommend an extension of the waiver au-
thority in the same manner as the original recommenda-
tion, except that the President may not recommend an ex-
tension later than the date that is 30 days before the waiv-
er authority expires. The President may, at any time, ter-
minate by Executive order any waiver under this section. 
TITLE II—FEDERAL TRADE 
COMMISSION 
SEC. 201. VIOLATION OF FEDERAL TRADE COMMISSION 
ACT. 
(a) IN GENERAL.—It is unlawful for any person to 
introduce into commerce, sell, trade, or advertise in com-
merce, offer to sell or transport or distribute in commerce 
any sweatshop good. 
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(b) SWEATSHOP GOOD.—For purposes of this title, 
the term ‘‘sweatshop good’’ means any good, ware, article, 
or merchandise mined, produced, or manufactured wholly 
or in part in violation of core labor standards, as defined 
in section 3 of this Act. 
(c) ENFORCEMENT.— 
(1) IN GENERAL.—The Federal Trade Commis-
sion shall enforce the provisions of this section with 
respect to the prohibitions under subsection (a) as if 
the violation were an unfair or deceptive act or prac-
tice proscribed under section 18(a)(1)(B) of the 
Federal 
Trade 
Commission 
Act 
(15 
U.S.C. 
57a(a)(1)(B)). 
(2) ACTIONS BY THE COMMISSION.—The Com-
mission shall prevent any person from violating this 
title in the same manner, by the same means, and 
with the same jurisdiction, powers, and duties as 
though all applicable terms and provisions of the 
Federal Trade Commission Act (15 U.S.C. 41 et 
seq.) were incorporated into and made a part of this 
title. Any person that violates the provisions of this 
title shall be subject to the penalties and entitled to 
the privileges and immunities provided in the Fed-
eral Trade Commission Act in the same manner, by 
the same means, and with the same jurisdiction, 
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power, and duties as though all applicable terms and 
provisions of the Federal Trade Commission Act 
were incorporated into and made a part of this title. 
(3) 
INVESTIGATIONS.—Notwithstanding 
any 
other provision of law, the Federal Trade Commis-
sion shall investigate any complaint received from a 
worker alleging a violation of this title with respect 
to a good, ware, article, or merchandise produced by 
that worker. 
(4) REGULATIONS.—Not later than 180 days 
after the date of the enactment of this Act, the Fed-
eral Trade Commission shall publish rules to carry 
out the provisions of this title. 
SEC. 202. PRIVATE RIGHT OF ACTION. 
(a) PRIVATE SUITS.—A person with standing to sue 
under subsection (c) may bring a civil action against any 
seller of goods, wares, articles, or merchandise on grounds 
of violation of section 201. 
(b) JURISDICTION.—The United States district 
courts shall have jurisdiction, without regard to the 
amount in controversy or the citizenship of the parties, 
to enforce this section. 
(c) STANDING TO SUE.—The following persons have 
standing to sue under this section: 
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(1) Competitors of the retailer of any good, 
ware, article, or merchandise sold in violation of sec-
tion 201. 
(2) Investors of the retailer of any good, ware, 
article, or merchandise sold in violation of section 
201. 
(3) Any employee of a person against whom an 
enforcement action has been brought for a violation 
of section 307 of the Tariff Act (19 U.S.C. 1307), 
as amended by this Act. 
(4) Any labor organization representing employ-
ees of the manufacturer or contractor or rep-
resenting employees in the same industry or sector. 
(d) DAMAGES; INJUNCTIVE
RELIEF; ATTORNEY 
COSTS AND FEES.— 
(1) DAMAGES.—When a violation of section 201 
is established in any civil action arising under this 
section, the plaintiff shall be entitled to recover 
$10,000 or the fair market value of the goods, 
whichever is greater. 
(2) INJUNCTIVE
RELIEF.—The plaintiff may 
sue for injunctive relief against threatened loss or 
damage due to a violation of section 201. 
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(3) COSTS AND FEES.—The court shall award 
the cost of the suit, including reasonable attorneys’ 
fees, to a prevailing plaintiff. 
(e) INTERAGENCY COOPERATION.—All Federal de-
partments and agencies shall cooperate with the Commis-
sioner of the United States Customs and Border Protec-
tion and the Federal Trade Commission, to the extent 
practicable in the enforcement of this title. 
(f) LIST OF VIOLATORS; DISCLOSURE AND PUBLICA-
TION BY FEDERAL TRADE COMMISSION.—On January 1 
and July 1 of each year, the Federal Trade Commission 
shall publish in the Federal Register and post on an Inter-
net website the following information: 
(1) An alphabetical list of the name, address, 
and chief executive officer of each person that has, 
during the 2 years prior to publication, violated the 
provisions of this title, along with a summary de-
scription of each violation and the cumulative num-
ber of violations by each person on the list. 
(2) A detailed description of each violation that 
includes the following information: 
(A) The name, address, and chief executive 
officer of each violator. 
(B) The circumstances under which core 
labor standards, as defined in section 3 of this 
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Act, were violated in the course of the mining, 
production, or manufacturing of the goods in 
question. 
TITLE III—GOVERNMENT 
PROCUREMENT 
SEC. 301. GOVERNMENT PROCUREMENT OF SWEATSHOP 
GOODS PROHIBITED. 
(a) AMENDMENT TO FEDERAL PROPERTY AND AD-
MINISTRATIVE SERVICES ACT OF 1949.—Title III of the 
Federal Property and Administrative Services Act of 1949 
(41 U.S.C. 251 et seq.) is amended by adding at the end 
the following new section: 
‘‘SEC. 318. PROHIBITION ON PROCUREMENT OF SWEAT-
SHOP GOODS. 
‘‘(a) CERTIFICATION REQUIREMENT.—The head of 
an executive agency shall ensure that each covered con-
tract entered into by such official for the procurement of 
property includes a clause that requires the contractor— 
‘‘(1) to certify to the contracting officer that 
the contractor has made a good faith effort to deter-
mine whether any product furnished under the con-
tract is a sweatshop good, and that, on the basis of 
those efforts, the contractor is unaware that any 
such product is a sweatshop good; and 
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‘‘(2) to cooperate fully in providing reasonable 
access to the contractor’s records, persons, or prem-
ises if requested by the contracting agency, the De-
partment of Homeland Security, or the Department 
of Justice for the purpose of determining whether 
any product furnished under the contract is a sweat-
shop good. 
‘‘(b) INVESTIGATIONS.—Whenever a contracting offi-
cer of an executive agency has reason to believe that a 
product furnished under a covered contract is a sweatshop 
good, the head of the executive agency shall refer the mat-
ter for investigation to the Inspector General of the execu-
tive agency and, as the head of the executive agency or 
the Inspector General determines appropriate, to the At-
torney General and the Secretary of Homeland Security. 
‘‘(c) REMEDIES.— 
‘‘(1) IN GENERAL.—The head of an executive 
agency may impose remedies as provided in this sub-
section if the head of the executive agency finds that 
the contractor— 
‘‘(A) has furnished under a covered con-
tract a product that is a sweatshop good; 
‘‘(B) has submitted a false certification 
under subsection (a)(1); or 
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‘‘(C) has failed to cooperate with an inves-
tigation under this section. 
‘‘(2) TERMINATION OF CONTRACT.—The head 
of an executive agency may terminate a covered con-
tract on the basis of a finding of a violation that oc-
curs under paragraph (1) after the date the require-
ments of this section are implemented through the 
amendment of the Federal Acquisition Regulation 
under sections 6 and 25 of the Office of Federal 
Procurement Policy Act (41 U.S.C. 405 and 421). 
‘‘(3) DEBARMENT AND SUSPENSION.—The head 
of an executive agency may debar or suspend a con-
tractor from eligibility for Federal contracts on the 
basis of a finding that the contractor has committed 
a violation described in paragraph (1). The debar-
ment period may not exceed 3 years. 
‘‘(4) INCLUSION
ON
LIST
OF
PARTIES
EX-
CLUDED FROM FEDERAL PROCUREMENT AND NON-
PROCUREMENT
PROGRAMS.—The Administrator of 
General Services shall include on the List of Parties 
Excluded from Federal Procurement and Non-
procurement Programs maintained by the Adminis-
trator under part 9 of the Federal Acquisition Regu-
lation each contractor that is debarred, suspended, 
proposed for debarment or suspension, or declared 
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