Helene Curtis Industries, Inc.

Text (OCR of the scan at left; may contain errors)

In tne Matrer or HELENE CURTIS INDUSTRIES, INC.

CONSENT ORDER, ETC., IN REGARD TO THE ALLEGED VIOLATION OF TITE FEDERAL TRADE COMMISSION ACT Docket 6856. Complaint, July 26, 1957—Decision, Mar, 18, 1958 Consent. order requiring cosmetic manufacturers with principal place of business at Chicago, Ill. to cease advertising falsely in newspapers and by television and otherwise that their “Enden Shampoo” would cure dandruff. Ur. John 7. Walker supporting the complaint. Ur, Alen D. Choka, of Chicago, U1, for respondent. Ixvrtan Deciston or Jonn Lewis. Heantne Examiner The Federal Trade Commission issued its complaint against the above-named respondent on July 26, 1957, charging it with the use of unfair and deceptive acts and practices in conimerce, in violation of the Federal Trade Commission Act, by falsely advertising its product, Enden Shampoo, as a cure for dandruff. After being served with said complaint, respondent appeared by counsel and filed its answer thereto. Thereafter the parties entered into an agreement dated Jannary 20, 1958, containing a consent: order to cease and desist purporting to dispose of all of this proceeding as to all parties. Said agreement, which has been signed by respondent, by counsel “for said respondent, and by counsel supporting the complaint, and approved by the director and assistant director of the Commission’s Bureau of Litigation, has been submitted to the above-named hearing examiner for his consideration, in accordance with section 3.25 of the commission’s rules of practice for adjudicative proceedings. Respondent, pursuant to the aforesaid agreement, has admitted all the jurisdictional facts alleged in the complaint and agreed that the record may be taken as if findings of jurisdictional facts had been duly made in accordance with such allegations. Said agreement further provides that respondent waives any further procedural steps before the hearing exaniner and the Commission, the making of findings of fact. or conclusions of Jaw and all of the rights it. may have to challenge or contest the validity of the order to cease and desist entered in accordance with such agreement. It has been agree: that the order to cease and desist issued in accordance with said HELENE CURTIS INDUSTRIES, INC. 1159 1158 Order agreement shall have the same force and effect as if entered after a full hearing and that the complaint may be used in construing the terms of said order. It has also been agreed that the record herein shall consist solely of the complaint and said agreement, and that said agreement. is for settlement. purposes only and does not constitute an admission by respondent. that. it has violated the law as alleged in the complaint.

This proceeding having now come on for final consideration on the complaint and the aforesaid agreement containing consent order, and it appearing that the order provided for in said agreement covers all the allegations of the complaint and provides for an appropriate disposition of this proceeding as to: all parties, said agreement is hereby accepted and is ordered filed upon this decision’s becoming the decision of the Commission pursuant to sections 3.21 and 3.25 of the Commission’s rules of practice for adjudicative proceedings, and the hearing examiner, accordingly, makes the following jurisdictional findings and order :

1. Respondent Helene Curtis Industries, Inc., is a corporation existing and doing business under and by virtue of the laws of the State of Illinois, with its office and principal place of business located at 4401 W. North Avenue, in the city of Chicago, State of Illinois. 2. The Federal Trade Commission has jurisdiction of the subject matter of this proceeding and of the respondent hereinabove named. The complaint states a cause of action against said respondent under the Federal Trade Commission Act, and this proceeding is in the interest of the public.

ORDER It ts ordered, That Helene Curtis Industries, Inc., a corporation, and its officers, agents, representatives, and employees, directly or through any corporate or other device, in connection with the offering for sale, sale, or distribution of the product Enden Shampoo, or any other product of substantially similar composition and possessing similar properties, whether sold under the same name or any other name, forthwith cease and desist from :

1. Disseminating or causing to be disseminated, any advertisement, by means of television continuity broadcasts in commerce, or by any means in commerce, as “commerce” is defined in the Federal Trade Commission Act, which advertisement represents, directly or by implication :

(a) That said product will cure dandruff; or Decision 54 F.T.C.

(b) That it will have any lasting effect on dandruff or dandruff symptoms except during the regular use thereof. 2. Disseminating or causing to be disseminated, any advertisement by any means for the purpose of inducing, or which is likely to induce, directly or indirectly, the purchase of said product in commerce, as “commerce” is defined in the Federal Trade Commission Act, which advertisement. contains any representations prohibited in paragraph 1 hereof.

DECISION OF THE COMMISSION 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 shall, on the 18th day of March 1958, become the decision of the Commission; and, accordingly: It is ordered, That the respondent herein shall within sixty (60) days after service upon it of this order, file with the Commission a. report in writing setting forth in detail the manner and form in which it has complied with the order to cease and desist. PIEDMONT PRODUCTS CO., INC., ET AL. 1161 Decision