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Technical Evaluation Report(TER) Appendix B: Legal Aspects of Product Approval 1. Product Approval 1.1. In general, the model and local codes provide for the use of alternative materials, designs and methods of construction by having a legal provision that states something similar to: The provisions of this code/law are not intended to prevent the installation of any material or to prohibit any design or method of construction not specifically prescribed by this code/law, provided that any such alternative has been approved.An alternative material,design or method of construction shall be approved where the compliance official finds that the proposed design is satisfactory and complies with the intent of the provisions of this code/law, and that the material, design, method or work offered is, for the purpose intended, at least the equivalent of that prescribed in this code/law. 1.2. In concert with preserving "free and unfettered competition as the rule of trade", should this alternative material, design or method of construction not be approved, the building official shall respond in writing, stating the specific reasons for non-code-compliance and/or for non-professional engineering regulation compliance. Congress passed the first antitrust law,the Sherman Act,in 1890 as a"comprehensive charter of economic liberty aimed at preserving free and unfettered competition as the rule of trade." In 1914, Congress passed two additional antitrust laws: the Federal Trade Commission Act, which created the FTC, and the Clayton Act. With some revisions, these are the three core federal antitrust laws still in effect today. ...Yet for over 100 years, the antitrust laws have had the same basic objective: to protect the process of competition for the benefit of consumers, making sure there are strong incentives for businesses to operate efficiently, keep prices down, and keep quality up.... The Sherman Act outlaws "every contract, combination, or conspiracy in restraint of trade," and any "monopolization, attempted monopolization, or conspiracy or combination to monopolize." For instance, in some sense, an agreement between two individuals to form a partnership restrains trade, but may not do so unreasonably, and thus may be lawful under the antitrust laws. On the other hand, certain acts are considered so harmful to competition that they are almost always illegal. The penalties for violating the Sherman Act can be severe. Although most enforcement actions are civil, the Sherman Act is also a criminal law, and individuals and businesses that violate it may be prosecuted by the Department of Justice.11 2. Legal Validity of this TER 2.1. This TER is a code-defined (e.g., 2009 IBC and IRC Section 104.11.1 and 2009 IBC Section 1703.4.2) "research report"that provides supporting data to assist in the approval of materials, designs or assemblies not specifically provided for in this code. 2.2. Therefore, this TER is a valid research report from a professional engineering company that complies with the code definition of"approved source." If required by the authority having jurisdiction, this TER can also be sealed to comply with professional engineering laws and regulations. 11 http://www.ftc.gov/bc/antitrust/antitrust laws.shtm TER No. 1009-01 Page 12 of 12 Use of FastenMaster HeadLOKTM Fasteners to Attach Cladding and/or Furring to Wood Framing through Foam Sheathing