Siberian Fur Shop, Inc

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IN THE l\L~TTER OF SIBERIAN FUR SHOP, INC., ET AL.

CONSENT ORDER, ETC., IN REGARD TO THE ALLEGED VIOLATION OF THE FEDERAL TRADE COl\J:i\JISSION AND TI-IE FUR PRODUCTS LABELING ACTS Docket 6"/"/5. Com'1ilai1/t, .ilpr. 11, 195,/' Decision, ..duo. , 1957 Consent order requiring a furrier in Greenfield, :;\1a8s., to cease violating the' Fur Products Labeling .'\.ct by advertising in newspapers and by radio which failed to disclose names of animals producing certain furs and state when furs were arti1kal1y colored, Hm1 ,which represented falsely that certain furs were "stock of n business in a state of liquidation; and by failing in other respects to comply with the advertising, labeling, nnd invoicing requirements of the Act, and to keep adequate records as a basis for comparative prices and percentage savings claims, J,lichrwl J. V'itale and Tho1n.as A. ZiebaTth, Esqs. in support of the complaint.

Levy lain~r by B'U-Tt~n lain.er, Esq. of Greenfield, :l\iass., for responde.n ts.

INITIAL DECISION BY JAl\IES A. PUI~CELL , I-IE"\IUNG EXA~nNEH The complaint in this proceeding, issued April 11 , 1957, charges the respondents, Siberian Fur Shop, Inc., a corporation, and Abraham T. Levinsky, individually and as an ofricer of the corporate respondent with violation of the provisions of the Federal Trade Commission Ad and of the Fur Products Labeling Ad, in eonneetion with the sale, advertising and o:tlering for sale, transportation and distribution , asshipping and receiving in commerce, of fur and fur products commerce fur" and "fur proc1uets': ate defined in the Fur Products Labeling Act.

After the issuance and service of said eol11plaint the respondents on :May IG, 1957, filed ans',er thereto "which answer, it was agreed beca-use of sub-between the parties, should . be ,vithdra,wn of record sequent c1eTelopments hereinafter set forth, and permission is hereby granted that. said answer be withdr~nvn and held for naught. Thereafter, on June 6 , 1957 , both respomlents entered into an agreement with counsel in support of the complaint for a consent , 1957), disposing of allorder (filed in the proceeding tJune 18 the issues in this proceeding, ,,-hieh agreement "-as dul~' approved by the Direetor and Assistant Director of the Bureau of Litigation of the Federal Trade Commission. It was expressly provided in said agreement that the. signing thereof is for settlement purposes. Decision 54 F.

only and does not constitute an admission by respondents that they have violated the law as alleged in the complaint. By the terms of said agreement, the respondents admitted all of the jurisdictional allegations of the complaint and agreed that the record herein may be taken as though the Commission had made findings of jurisdictional facts in aecordance with such allegations. By said agreement the parties expressly waived a hearing before the I-Iearing Examiner or the Commission, the making of findings of fact or conclusions of law by the :Hearing Examiner or the Commission, the filing of exceptions and oral argument before the Commission, and all further and other procedure before the Hearing Examiner and the Commission to which the respondents may otherwise, but for the exeeut1on of said agreement, be entitled under the Federal Trade Commission Act or the Rules of Practice of the Commission.

By said agreement, respondents further agreed that the order to cease and desist issued in accordance with said agreement shall have the same force and effect as though made after a full hearing, presentation of evidence and findings and conclusions thereon, and specifically waived any and all right, power or privilege to challenge or contest the validity of such order.

It. was further provided that said agreement, together with the complaint, sha.ll constitute the. entire record herein; that the c.omplaint herein may be used in construing the terms of the order issued pursuant to said agreement; and that the said order may altered, modified or set aside in the manner provided by statute for other orders of the Commission.

Said agreement recites that respondent, Siberian Fur Shop, Inc. is a corporation existing and doing business under and by virtue of the laws of the State of 1Jassac.hl1setts, with its ofiice and principal place of business located at No. 53 I--Iayward Street, in the City of Greenfield, State of ~Iassachusetts; that the individual respondent Abraham J. Levinsky, is President and Treasurer of respondent corporation, and that the address of the individual respondent is the same. as that of the corporate respondent.. The I-Iearing Examiner has considered such agreement and the order therein contained, and, it appearing that said agreement and order provides for an appropriate disposition of this proceeding, the same is hereby accepted and is ordered filed upon becoming part the Commission s decision in accordance ,with Seetions 3.21 and 3. of the Rules of Practice.

Consonant with the express terms and provisions of said a.greement, the I--Iearing Examiner finds that the Federal Trade Commis- SIBERIAN FUR SHOP, INC., ET AL. 165 163 Order sion has jurisdiction of the subject matter of this proceeding and of both respondents named herein, and that this proceeding is in the interest of the public, wherefore he issues the following order: ORDER 1 t is o1Ylered That respondent Siberian Fur Shop, Inc., a corporation, and its officers, and Abraham J. Levinsky individually and as an oftieer of said corporation and respondents' representatives agents and employees, directly or through any corporate or other device, in connection with the introduet.ion into commerce or the sale, advertising, or offering for sale in commerce; or the transportation or distribution in commerce, of any fur products, or in connection with the sale, advert.ising, offerii1g for sale, transportation, or distribution of any fur products "which have been made in whole or in part of fur which has been shipped and received in commerce, as "eommeree fur " and "fllr product" are defined in the Fur Produc.ts Labeling Act, do fortlnvith cease and desist from: A. :Misbranding fur products by:

1. Failing to afiix labels to fur products sho\ying: (a) The name or names of the animal or animals producting the fur or furs contained in the fur product as set forth in the Fur Products Name Guide and as prescribed under the Rules and Regulations;

(b) That the fur product contains or IS composed of used fur when such is the fact;

(c) That the fur product contains or is composed of bleaehed dyed or otherwise artificially colored fur, "hen such is the fact; (d) That the fur product is composed in whole or in substantial part of paws, tails, bellies, or \vaste fur, "hen such is the fact; (e) The name, or other iclentifleation issued and registered by the Commission, of one or more persons who manufac.tured such fur product for introduction into commerce, introduced it into commerce sold it in eommeree, advertised or oflerec1 it for sale in eommeree, or transported or distributed it in commerce.; (f) The name of the country of origin of any imported furs used in the fur product.

2. Setting forth on labels attached to fur products: (a) Non-required information mingled \with information that. is required under' Seetion 4 (2) of the Act and the Rules and Regulations thereunder;

(b) Information required under Section 4 (2) of the Act and the Rules and Regulations thereunder in abbreviated form or in handwriting.

,, , , ,,,, . Ord' 54 F.

B. Falsely or deceptively invoicing fur products by: 1. Failing to furnish invoices to purehasers of fur pro duets showing:

(a) The name or names of the animal or animals proclueing the fur or furs contained in the fur products as set forth in the Fur Products Name Guide and as prescribed under the Rules and Regulations;

(b) That the fur product contains or 1S composed of used fur when such is the fact;

(c) That the fur product contains or is composed of bleaehed dyed, or otherwise artificially eolore.d fur, when such is the fact; (d) That the fur product is composed in whole or in substantial part of paws, tails, bellies or waste fur, when such is the fad; (e) The name and address of the person issuing such invoices; (f) The name of the country of origin of a.ny imported furs contained in the fur product.

2. Failing to set forth on invoices the item number of the fur product;

3. Setting forth on invoiecs information required under Section 5 (b) (1) of the Aet and the Rules and Regulations thereunder in abbreviated form.

C. Fa.lsely or deceptively advertising fur products, through the use of any advertisement, representation, public announcement, ornotice which is intended to aid promote or assist directly~' or indirectly, in the sale. or offering for sale of fur products, and which:' 1. Fails to disclose:

(n) The name or names of the animal or animals producing the fur 01' furs contained in the fur produc.ts as set. forth in the Fur Products Kame Guide and as prescribed under the. H.ules andRegulations;(b) That fur produc.ts contain or are composed of bleached dyed, or other"ise artificially eolorec1 fur hen such is the fad. 2. Sets forth information required under Section 5 (a) of the Act and the Rules and Regulations thereunder in abbreviated form; 3. Represents that fur produc.ts are being offered for sale from stock of a business in a state of liquidation hen such is not the fact.. D. :Making use of price reductions, comparative prices and percentn~e savin!!s elaims in advertisin!! unless there are. maintained b-v respondents full and adeq Hate records c1 isclosi ng the facts upon which snell claims and representations are based. SIBERIAN FUR SHOP, INC., ET AL. 167 163 Decision DECISION OF THE COl\Il\IISSION AND ORDER TO FILE REPORT OF COMPLIANCE Pursuant to Section 3.21 of the Commission s Rules of Practice the initial decision of the hearing examiner did, on the 7th day of August, 1957 become the deeision of the Commission; and, accordingly :

It i..' ordered That the respondents herein shall, within sixty (60) days after service upon them of this order, file with the Commission it report in writing setting forth in detail the manner and form in which they have complied with the order to cease and desist. ......

Order 54 F.