A reminder was recently issued by the Jewelers Vigilance Commitee regarding the FTC's guidelines for grading diamonds. Basically, members of the industry will be held liable for the claims that they make about diamonds if their claims are not supported or they do not disclose the diamond grading system honestly.

The basic points were made in the reminder that the JVC released included:

1. The FTC requires that the identity of the grading system of a diamond must be honestly disclosed if any kind of representation is made about a grade.

2. If a diamond grade is misrepresented, it is not only unfair, it is also deceptive.

Basically, if a grading system is used for a diamond by a lab, and that particular lab deviates at all from industry norms, those differences should be disclosed to ensure that reporting does not seem deceptive to consumers, therefore allowing buyers to make fully informed purchasing decisions.