S. Mitchell Axelrod trading as S. M. Axelrod & Son

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IN THE :MATTER OF S. ~1ITCI-IELL AXELROD TRADING AS S. ~1. AXELROD & SON CONSENT ORDER, ETC., IN REGARD TO THE ALLEGED VIOLATION OF THE FEDERAL TRADE CO::\DIISSION AND THE WOOL PRODUCTS LABELING ACTS Docket /942. Complaint, June 1960-Decision, Sept. 1960 Consent order requiring Boston distributors to cease violating the Wool Products Labeling Act by labeling as "50% rayon, 30% reprocessed wool, 20% Complaint 57 F.

nylon" and as "55% rayon 35% reprocessed wool, 10% nylon, woolen fabrics which contained substantially less woolen fibers than so represented, and by failing to label certain wool products as required. COMPLAINT Pursuant to the provisions of the Federal Trade Commission Act and the "\V 001 Products Labeling Act of 1939, and by virtue of the authority veste.d in it by said Acts, the Federal Trade Commission ~:Lhaving reason to believe that S. ~fitchel1 Axelrod, trading as S. Axelrod & Son, hereinafter referred to as respondent, has violated the provisions of said Acts and the Rules and Regulations promulappearing togated under the "\V 001 Products Labeling Act and it it in respect thereor would bethe Commission that. a proceeding by in the public interest hereby issues its complaint stating its charges in that respect as follows:

PARAGRAPH 1. Respondent, S. ~1it.chell Axelrod, is an individual principal placetrading as S. :1\1. Axelrod & Son with his office and , :Mass. of business located at 115 Chauncy Street, Boston PAR. 2. Subse.quent to the efiective date of the vV 001 Products , re- Labeling Act or 1939, and more especially since January 1958 , distrib- spondent has introduced into commerce, sold, transported uted, delivered for shipment and offered for sale in commerce, as , as "wool commerce is defined in the said Act, vi'Ool products products" are defined therein.

P AU. :3. Certain of said wool products were misbranded by the respondent within the intent and meaning of Section 4 (a) (1) of the "\V 001 Products Labeling Act and the Rules and Regulations promulgated thereunder, in that they were falsely and deceptively labeled or tagged with respect to the character and amount of constituent fibers contained therein.

Among such misbranded ',001 products were woolen fabrics labeled or tagged by respondent as 50% rayon, 30% reprocessed wool, 20% nylon; and 55% rayon 35% reprocessed wool 10% nylon whereas in truth and in fact said fabrics contained substantially less woolen fibers than represented.

PAR. I:. Certain of said wool products were further misbranded or labeled by respondents in that they were not stamped, tagged, Wool as required under the provisions of Section 4(a) (2) of the Products Labeling Act and in the manner and form prescribed by the regulations promulgated under said Act. PAR. 5. Respondent in the course and conduct of his business, as aforesaid, was and is in substantial competition in commerce with corporations, firms and inc1iyic1lla Is in the sale of wool product-so S. M. AXELROD & SON 599 59. Decision PAR. 6. The acts and practices of the respondent, as set forth above, were and are in violation of the ""Yool Products Labeling Act of 1939 and the Rules and Regulations promulgated thereunder and constituted, and now constitute, unfair and deceptive acts and practices and unfair methods of competition ill commerce within the intent and meaning of the Federal Trade Commission' Act. J.lh.. Harry E. JJliddleton~ Jr. for the Commission. No appearance for respondent.

INITIAL DECISION BY '\VILLIAl\I L. PACK HEARING EXAMINER The complaint in this matter charges the respondent with violation of the 'Vool Products Labeling Act of 1939, and the Rules and Regulations promulgated thereunder, and the Federal Trade Commission Act in connection with the sale of woolen fabrics. An agreement has now' been entered into by respondent and counsel supporting the complaint which provides, among other things, that respondent admits an of the jurisdictional allegations in the complaint; that the record on which the initial decision and the deci- S10~1 of the, Commission shall be based shall consist solely of the complaint and agreement; that the inclusion of findings of fact and conclusions of law in the decision disposing of this matter is waived together with any further procedural steps before the hearing examiner and the Commission; that the order hereinafter set forth may be entered in disposition of the proceeding, such order to have the same force and effect as if entered after a full hearing, respondent specifically 'Taiving any and all rights to challenge or contest the. validity of such order; that the order may be altered, modified or set aside in the manner provided for other orders of the Commission; that the complaint may be used in construing the terms of the order; and that the agreement is for settlement purposes only and does not constitute an admission by respondent that he has ,'iolated the law as alleged in the complaint. The hearing examiner having considered the agreement and proposed order and being of the opinion that they provide an adequate basis for appropriate. disposition of the proceeding, the agreement. is hereby accepted, the following jurisdictional findings made and the following order issued:

1. The respondent S. :Mitchell Axelrod is an individual trading as S. :WI. Axelrod & Son, with his office and principal place of business located at 115 Chauncy Street, Boston, :Mass. 2. The Federal Trade Commission has jurisdiction of the subject matter of this proceeding and of the respondent, and the proceeclmg IS m the public interest..

Syllabus 57 F.-T.

ORDER I t is onlered That respondent, S. :Mitchell Axelrod, an individual trading as S. ~f. Axelrod & Son, or under any other name, and responclenfs representatives, agents, and employees, directly or through any corporate or other device, in connection with the introduction into commerce, or the offering for sale, sale, transportation or distribution in commerce, as "commerce" is defined in the Federal Trade Commission Act and the "\V 001 Products Labeling Act, of "001 products, as ""001 products" are defined in and subject to the "\V 001 Products Labeling Act, do forth"ith cease and desist from misbranding such products by:

1. Falsely or deceptively stamping, tagging, labeling, or identifying such products as to the character or amount of the constituent fibers contained therein.

2. Failing to affix labels to such products showing each element of the information required to be disclosed by Section 4 (a) (2) of the "\11 001 Products Labeling Act of 1939.

DECISION OF THE COl\I1\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 shall, on the 8th day of September 1960 become the decision of the Commission; and, accordingly :

It 'is ordered That respondent herein shall, within sixty (60) days after service upon him of this order, file with the Commission a report in writing setting forth in detail the manner and form in