Crawford Clothes, Inc.

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

IN THE MATTER OF CRAWFORD CLOTHES, INC.

CONSEKT onnER, ETC. , IN REGARV TO THE ALLEGED VIOLATION OF THE FEDERAL TRADE COMMISSION ACT Docket. 7169. Complc1/int. , June 1958-Decisi, lvlar. lrJSrJ Consent order requiring a large Blen s and buys' clothing chain with main offce in Long Island City, l\. , to cease advertising falsely that fictitiously high amounts were its regular prices for clothing offered and that purchasers would save the difference between the higher and lower prices. MT. ClutTles W. O' Connell for the Commission. Mr. Hyman F,.ied of New York for respondent. INITIAL DECISION BY FRANK BIER, HEARING EXAMINER Pursuant to the provisions of the Federal Trade Commission Act, the Federal Trade Commission on June 6 , 1958, issued and subsequently served its complaint in this proceeding against respondent Crmvford Clothes, Inc. , a corporation existing and doing business under and by virtue of the laws of the State of New York.

After one hearing- at which considerable cvirlence in support of the complaint was introduced in the record, there was submitted to the undersigned hearing examiner, on January 21 , 1959 an agreement between respondent and counsel supporting the complaint providing for the entry of a consent order. By the terms of said agreement, respondent admits all the jurisdictional facts alleged in the complaint and agrees that the record may be taken as if findings of jurisdictional1 facts had been duly made in accordance with such allegations. By such agreement, respondent waives any further procedural steps before the hearingexaminer and the Commission; ""waives the making of fl1cIings of fact and conclusions of la\\'; and \vaives all of the rights it may have to challenge or contest the validity of the order to cease and desist entered in accordance with this agreement. Such agreement further provides that it disposes of all of this proceeding- as to all parties; that the record on which this initial decision and the decision of the Commission shall be based shall consist solely of t.he complaint and this ag-reement; that thc latter shall not become a part of the uffci,d record unless and until it becomes a part of the decision of the Commission; that CRAWFORD CLOTHES, INC. 1401 J400 Order tbe agreement is for settement purposes only and does not constitute an admission by respondent that it has violated the law as alleged in the complaint; and that the following order to cease and desist may be entered in this proceeding by tbe Commission without further notice to respondent, and, when so entered, it shall have the same force and effect as if entered after a full hearing, and may be altered, modified, or set aside in the manner provided for other orders; and that the complaint may be used in construing the terms of the order.

The hearing examiner having considered the agreement and proposed order, and being of the opinion that they provide an appropriate basis for settlement and disposition of this proceeding, the agrcement is hereby accepted, the following jurisdictional flIdings made, and tbe following order issued. 1. Respondent Crawford Clothes, Inc. , is a corporation existing and doing business under and by virtue of tbe laws of the State of New York, with its offce and principal place of business located at 34-02 Queens Boulevard, Long Island City, State of New York.

2. The Federal Trade Commission has jurisdiction of the subject matter of this proceeding and of the respondent, and the proceeding is in the public interest.

ORDER , Inc. , a cor- It -is onlued That respondent Crawford Clothes poration, and its offcers, agf nts, representatives and employees directly or through any corporate or other device, in connection \with the offering for sale, saJe, or distribution of wearing apparel1 is defined or any other merchandise in commerce, as "commerce" in the 1;'ederal Trade Commission Act, do forthwith cease and desist from:

A. Representing, directly)' or b)' implication: 1. That any amount is respondent' s usual and regular price of merchandise 'when it is in excess of the price at which said merchandise is usually;'l 311(1 regularly sold by respondent in the normal course of its business.

2. That any savings arc afforded in the purchase 01' merchanoflered constitute a reduc- disf unless the prices at which it is usually and tion from the prices at which said merchandise is its customarily sold by respondent in the normal course of business.

1402 FEDERAL THAIJE COMMISSION DECISIONS Dccision 55 F.

B. Misrepresenting in any manner the amount of savings available to purchasers of respondent's merchandise, or the amount by which the price of said merchandise is reduced from the price at which it is usually and customarily sold by respondent in the normal cOtll"Se of its business. 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 6th day of lVarch 1959 , become the decision of the Commission; and accordingly:

It is on/ereel That thc respondent herein shall, within sixty (GO) days after service upon it of this order, file with the Commission a report in waiting setting forth in detail the manner and form in which it has complied with the order tu cease and desist.

, , LEVI:-E & RABINS 1403 Decision 1:- THE MATTER OF MORRIS LEVINE AND rmR;'IAN RABINS TRAmNG AS LEVINE & RABINS CONSENT ORDER, ETC., IN REGARD TO THE ALLEGED VlOLAT1O:: OF THE FEDERAL TRADE COMMJSSION AND Tile WOOL PRODUCTS LABELJNG ACTS Docket 7255. CUJI7Ilaiut, Sept. 1!J58-Decision "via?" , 1.959 Consent o:lder requiring- lew York City seJlel's to cease violating the Wool ProiJucls Labeling Act by tagging as " 100'/(. l'epl'ocessl?d wool " interlinings which C'onlained a substantial quantjty of fibers other than wool. I'vJr. Al-m:n D. Edelson supporting the complaint. lvl' . Joseph L. Klein of New York, N. , for respondents. INITIAL DECISION BY JOHN B. PomDEXTER, HEARING EXAMINER On September 12, 1958, the Federal Trade Commission issued a complaint charging that ;Vlorris Levine, and Herman Rabins jndividual1y and as copartners trading- as Levine & Rabins, hereinafter referred to as respondents, have vio1atec1 the provisions of tbe Federal Trade Commission Act and the Wool Prod ucts Labeling Act of 1939 and the Rules cmd Regulations promulgated under said \Vaal Froducts Labeling Act by misbranding the wool products which they manufacture. A:fer issuance and service of the complaint, the respondents, their counsel and counsel supporting the complaint entered into an agreement for a consent order. The order disposes of the matters complained about. The agreement bas been approved by the assistant director and the acting director of the Bureau of Litigation.

The pertinent provisions of said agreement are as follows: Respondents admit all jurisdictional facts; the complaint may be used in construing the terms of the order; the order shall have the same force and effect as if entered after a full hearing and the said agreement shall not become a part of the offcial record of the proceeding unless and until it becOlnes a part of the decision of the Commission; the record herein sha)l consist solely of tbe complaint and the agreement; respondents waive the requirement that the decision must contain a statement of findings of fact and conclusions of law; respondents waive further procedural steps before the hearing examiner and the Commission, and the order may be altered, modified, or set aside in the manner pro- 1404 FEDERAL TRADE COM;VIISSION DECISIONS Order 55 F.

vided by statute for other orders; respondents waive any right to challenge or contest the validity of the order entered in accordance with the agreement and the signing of said agreement is for settlement purposes only and does not constitute an admission by respondents that they have violated tbe law as alleged in the complaint.

The undersigned hearing examiner having considered the agre( ment and proposed order and being of the opinion that the acceptance thereof will be in tbe public interest, hereby accepts such agreement, makes the following jurisdictional findings, and issues the following urder:

JURISDICTIONAL FINDINGS 1. Responctents Morris Levine and Herman Rabins are copartners trading under tbe firm name of Levin & Rabins. The business address of respondents is 307 West 38th Street, New York 2. The Federal Trade Commission has jurisdiction of the subject matter of this proceeding and of the respondents and the proceeding is in the public interest.

ORDER It is ordered That the respondents, Morris Levine and Herman Rabins, individually, and as partners trading as Levine & Habins or unner any other name, and respondents' representatives, agents and employees, directly or through any corporate device, in connection with the introduction or manufacture for introduction into commerce, or the offering for sale, sale, transportation 01' distribution in commerce, as "commerce" is defined in the Federal Trade Commission Ad, and the Wool Prod ucts Labeling Act of 1939, of woolen interlinings, or other "\vool products " as such products are defined in and subject to the Wool Products Labeling Act of 1939, do forthwith cease and desist from misbranding such products by:

I. Falsely or deceptively stamping, tagging, labeling, or otherwise identifying slich products as to the character or amount of the constituent fibers contained therein; 2. Failing to securely affx to or place on each such product a stamp, tag, labe) or other means of identification showing in a clear and conspicuous manner:

(a) The percentage of the total fiber weight of such wool product, exclusive of ornamentation not exceeding five percent urn LEVINE & RABINS 1405 1403 Decision of said total fiber weight, of (1) wool, (2) reprocessed wool (3) reused wool, (4) each fiber other than wool where said percentage by weight of such fiber is five percentum or more, and (5) the aggregate of all other fibers;

(b) The maximum percentage of the total weight of such wool products, of any nonfibrous loading, filing, or adulterating matter;

(c) The name of the registered identification number of the manufacturer of such \vool product ur of one or more persons engaged in introducing such wool product into commerce, or in the offering for sale, sale, transportation, distribution or delivery for shipment thereof in commerce as "commerce" is defined in the Wool Products Labeling Act of 1939. DECISION OF THE COMMISSION AND ORDER TO FILE REPORT OF COMPLIANCE Pursuant to Section 3.21 of the Commission s Rules of Practice, tbe initial decision of the hearing examiner shall, on the 6th day of March 1959 , become the decision of the Commission; and, accordingly, It is ordel. That the respondents herein shall within sixty (60) days after service upon them of this order, file with the Commission a report in writing setting forth in detail the manner and form in which they have complied with the order to cease and desist.

Decision 55 F.