FOR YOUR INFORMATION............................MARCH 26, 1991


                  MERCEDES-BENZ SEEKS EXEMPTION
                     FROM FTC FRANCHISE RULE

     Mercedes-Benz of North America, Inc. ("Mercedes-Benz"), has
asked the Federal Trade Commission to exempt the company's sale
of automobile dealership franchises from the disclosure require-
ments of the FTC's Franchise Rule.
     The Franchise Rule requires the seller to provide each pro-
spective franchisee with a basic disclosure document containing
detailed information about the nature of its business and the
terms of the proposed franchise relationship.  The Commission has
previously granted exemptions from the rule to several other
automobile companies and their subsidiaries.

     According to the Mercedes-Benz petition, the company is
requesting an exemption because the conditions which foster
deceptive practices -- such as relative lack of business sophis-
tication among potential franchisees -- are not present in
relationships with its dealers.

     Mercedes-Benz is a Delaware corporation, a wholly-owned
subsidiary of the Daimler-Benz group, and the only authorized
importer of automobiles manufactured by Mercedes-Benz
Aktiengesellschaft of Stuttgart, Germany.

     The petition is scheduled to be published in the Federal
Register today and will be subject to public comment for 60 days,
until May 28.  Copies of the Federal Register notice are from the
FTC's Public Reference Branch, Room 130, 6th Street and Pennsyl-
vania Avenue, N.W., Washington, D.C. 20580; 202-326-2222; TTY
202-326-2502.

                              # # #

MEDIA CONTACT:      Bonnie Jansen, Office of Public Affairs
                    202-326-2161

STAFF CONTACT:      Lydia Parnes, Division of Marketing Practices
                    202-326-3126

(mercedes)