Coleman' S Fashion Shop, Inc.
Volume 55 · 55 F.T.C. 1422
product labelingdeceptive advertisingpricing comparisons
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Coleman' S Fashion Shop, Inc., 55 F.T.C. 1422 (1959). Consumer Law Library, https://consumerlawlibrary.org/decisions/v055-0247
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IN THE MATTER OF COLEMAN' S FASHION SHOP, INC., ET AL.
CONSENT ORDER, ETC., IN REGARD TO THE ALLEGED VIOLATION OF THE FEDERAL TRADE CO:M.MISSION AND THE FUR PRODUCTS LABELING ACTS Docket 729.9. Complaint. , Nov. 14, 1958--Decision, Mar. 10 , 1.959 Ccmsent order requiring a furrier in WeJlesley, Mass., to cease violating the Fur Products Labeling Act by failing to set forth as required on labels and invoices such terms as "Persian Lamb Dyed Mouton-processed Lamb " and "Dyed Broadtail-processed Lamb" ; by advertising in newspapers whi('h represented fur products as from a Jiquidating' business and pnces as reduc.cd from regular prices which were in fact flcUtious; and by failing in other respects to comply with the labeling, invoicing, and advertising requirements, and to keep adequate records as a basis for said pricing claims.
/'. Alvin D. Edelson supporting the complaint. Mj' . Alan J. Dimond of Boston, Mass. , for respondents. INITIAL DECISION BY JOHN LEWIS, HEARING EXAMINER The Federal Trade Commission issued its complaint against the above-named respondents on November 14, 1958 , charging them with having violated the Fur Products Labeling Act and the Rules and Regulations issued thereunder, and the Federal Trade Commission Act, through the misbranding of certain fur products and thc false and deceptive invoicing and advertising thereof. After being served with said complaint, respondents appeared by counsel and entered into an agreement, dated January 7, 1959, 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 all respondents, by counsel for said respondents, and by counsel supporting the complaint and approved by the director and assistant director of the Commission s Bureau of Litigation '.s been submitted to the abovenamed hearing examiner for his consideration, in accordance with Section 3.25 of the Commission s Rules of Practice for Adjudicative Proceedings.
Respondents, pursuant to the aforesaid agreement, have admitted all the jurisdictional allegations of the complaint and agreed that the record may be taken as if findings of jurisdictional facts had been duly made in accordanee with such allega- COLEMAN'S FASHION SHOP, INC., ET AL. 1423 1422 Order tions. Said agreement further provides that respondents waive any further procedural steps before the hearing examiner and the Commission, the making of findings of fact or conclusions of Jaw and all of the rights they may have to challenge or contest the validity of the order to cease and desist entered in accordance with such agreement. It has been agreed that the order to cease and desist issued in accordance with said agreement shall have the same force and effect as if entered after a fuJJ 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 respondents that they have violated the Jaw as alleged in the complaint.
This proceecUng having now come on for final consideration on the complaint and the aforesaid agrcement containing consent order, and it appearing that the order provided for in said agree. ment covers all the aHegations of the complaint and provides for an appropriate disposition of this proceeding as to ajj parties said ag-reement is hereby accepted and is ordered filed upon this decision s becoming the decision of the Commission pursuant to Sections 3.2J and 3.25 of the Commission s Rules of Practice for Adjudicative Proceedings, and the hearing examiner, accordingly, makes the fonowing jurisdictional finding-s and order: 1. Respondent Coleman s Fashion Shop, Inc" is a corporation organized, existing and doing business under and by virtue of the laws of the State of New York. The address of the corporate respondent is 71 Central Street, We1Jesley, Mass. Individual respondents Robert .J. Coleman, Clara A. Coleman and Alfred F. Coleman are offcers of the said corporate respond. ent and each has a business address at the same address as the corporate respondent.
2. The Federal Trade Commission has jurisdiction of the sub. ject matter of this proceeding and of the respondents hereinabove nanled. The complaint states a cause of action against said respondents under the Fur Products Labeling Act and the Federal Trade Commission Act, and this proceeding is in the interest of the public..
ORDER It is Qj'rlererl That Coleman s Fashion Shop, Inc., a corporation, and its offcers, and Robert J. Coleman, Clara A. Coleman Order 55 F, and Alfred F. Coleman, individually and as offcers of said corporation, hereinafter referred to as respondents, and respondents' representatives, agents and employees, directly or through any corporate or other device, in connection with the introduction into commerce, or the sale, advertising, or offering for sale in commerce, or the transportation or distribution in commerce of fur products, or in connection .with the sale, advertising, offering for sale, transportation, or distribution of fur products which are made in whole or in part of fur which has been shipped and product"received in commerce, as "commerce, fur" and "fur are defined in the Fur Products Labeling Act, do forthwith cease and desist from:
A. Misbranding fur products by:
1. Failing to affx labels to fur products showing: (a) The name or names of the animal or animals producing the fur 01' 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 bleached, dyed or otberwise artificially colored 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 fact;
(e) The name, or other identification issued and registered by the Commission, of one or more persons who manufactured such fur product for introduction into commerce, introduced it into commerce, sold it in commerce, advertised or offered it for sale in commerce, or transported or distributed it in commerce; (f) The name or the country of origin of any imported furs contained in a fur product;
(g) The item number or mark assigned to a fur product. 2. Falsely or deceptively labeling or otherwise identifying any such product as to the name or names of the animal or animals that produced the fm from which such product was manufactured.
3. Setting forth on labels affxed to fur products: (a) Information required under Section 4 (2) of the Fur Products Labeling Act and the Rules and Regulations promulgated thereunder in abbreviated form;
(b) Information required under Section 4 (2) of the Fur Prod- COLE:vIAN' S FASHIOC' SHOP , INC., ET AL. 1425 1422 Order ucts Labeling Act and the Rules and Regulations thereunder, mingled with nonrequired information;
(c) Information required under Section 4 (2) of the Fur Products Labeling Act and the Rules and Regulations promulgated thereunder in handwriting.
4. Failing to set forth required information in the sequence required under Rule 30.
5. Failing to set forth the term "Persian Lamb" in the manner required by Rule 8 of the Regulations.
6. Failing to set forth the term "Dyed Mouton-processed Lamb" in the manner required by Rule 9 of the Regulations. 7. Failing to set forth the term "Dyed Broadtail-processed Lamb" in the manner required by Rule 10 of the Regulations. 8. Aflxing to fur products labels that do not comply with the minimum size requirements of one and three-quarter inches by two and three-quarter inches.
9. Failing to set forth separately on labels attached to fur products composed of two or more sections containing different animal furs the information required under Section 4 (2) of the Fur Products Labeling Act and the Rules and 1Cegulations promulgated thereunder with respect to the fur comprising each section.
B. Falsely or deceptively invoicing fur products by: 1. Failing to furnish invoices to purchasers of fur products sho\ving:
(a) The name or names of the animal or animals producing the fur or furs contained jn 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 is composed of used fur when such is the fact;
(e) That the fur product contains or is composed of bleached dyed or otherwise artificially colored 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 fact;
(e) The name and address of the person issuing such invoice; (f) The name of the country or origin of any imported furs contained in a fur product;
(g) The item number or mark assigned to a fur product. 2. Setting forth information required under Section 5 (b) (1) Decision 55 F.
of the Fur Products Labeling Act and the Rules and Regulations promulgated thereunder in abbreviated form. 3. Failng to set forth the term "Persian Lamb" in the manner required by Rule 8 of the Regulations.
4. Failing to set forth the term "Dyed Mouton-processed Lamb" in the manner required by Rule 9 of the Regulations. 5. Failng to set forth the term "Dyed Broadtail-processed Lamb" in the manner required by Rule 10 of the Regulations. C. Falsely or deceptively advertising fur products through the use of any advertisement, representation, public announcement or notice 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 set forth the information required under Section 5 (a) of the Fur Products Labeling Act and the Rules and Regulations promulgated thereunder in type of equal size and Coll- Spicuoilsness and in close proximity with each other. 2. Rewesents, directly or by implication, that any such products are the stock of a business in a state of liquidation, contrary to fact.
3. Represents, directly or by implication, that the regular or usual price of any fur product is any amount which is in excess of the price at which respondent has usual1Jy and customarily sold such products in the recent regular course of business. D. Making price claims and representations respecting comparative prices, percentage savings claims, prices being reduced from regular or usual prices, and prices being "Many way below cost" 1.n1es5 there are maintained by respondents i' ul1 and adequate records disclosing the facts upon which such claims and representations are based.
DECISION OF THE COMMISSION AND ORDER TO FILE REPORT OF' COMPLlA"CE Pursuant to Section 3. 21 of the Commission s Rules of Practice, the initial decision of the hearing examiner shall, on the 10th day of March 1959, become the decision of the Commission; and, accordingly:
It is O1' de?' 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.
ST AZ-SET, INC., ET AL. 1427 Decision