Sidney Wolff trading as; Wolfson Yarn Company, Etc.

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

mulgated thereunder in substituting labels as permitted by Section 3(e) of the said Act.

It is further ordered, 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 this order.

IN THE MATTER OF

SIDNEY WOLFF TRADING AS WOLFSON YARN COMPANY, ETC.

CONSENT ORDER, ETC., IN REGARD TO THE ALLEGED VIOLATION OF THE FEDERAL TRADE COMMISSION AND THE WOOL PRODUCTS LABELING ACTS

Docket C-675. Complaint, Jan. 7, 1964—Decision, Jan. 7, 1964

Consent order requiring a New York City importer of wool products to cease violating the Wool Products Labeling Act by such practices as labeling and invoicing as "100% Mohair," yarns which contained substantially different amounts of woolen fibers than thus represented and also contained other fibers, and failing to disclose on labels on certain yarns the percentages of the different fibers contained therein.

COMPLAINT

Pursuant to the provisions of the Federal Trade Commission Act and the Wool Products Labeling Act of 1939, and by virtue of the authority vested in it by said Acts, the Federal Trade Commission, having reason to believe that Sidney Wolff, an individual trading as Wolfson Yarn Company and Em-Gee-Ess Knitwear Company, hereinafter referred to as respondent, has violated the provisions of the said Acts and the Rules and Regulations promulgated under the Wool Products Labeling Act of 1939, and it appearing to the Commission that a proceeding by it in respect thereof would be in the

WOLFSON YARN CO., ETC. 27

26 Complaint

public interest, hereby issues its complaint stating its charges in that respect as follows:

PARAGRAPH 1. Respondent Sidney Wolff is an individual doing business as Wolfson Yarn Company and Em-Gee-Ess Knitwear Company. Said individual respondent formulates, directs and controls the acts, policies and practices of said proprietorships including the acts and practices hereinafter referred to. Respondent is an importer and distributor of wool products with his office and principal place of business located at 260 Fifth Avenue, New York, New York.

PAR. 2. Subsequent to the effective date of the Wool Products Labeling Act of 1939, respondent has introduced into commerce, sold, transported, distributed, delivered for shipment and offered for sale in commerce, as "commerce" is defined in said Act, wool products as "wool product" is defined therein.

PAR. 3. Certain of said wool products were misbranded by the respondent within the intent and meaning of Section 4(a)(1) of the Wool Products Labeling Act of 1939 and the Rules and Regulations promulgated thereunder, in that they were falsely and deceptively stamped, tagged, labeled, or otherwise identified with respect to the character and amount of the constituent fibers contained therein. Among such misbranded wool products, but not limited thereto, were certain yarns stamped, tagged, or labeled as containing 100% Mohair, whereas, in truth and in fact, said yarns contained substantially different amounts of woolen fibers than represented and also contained fibers other than woolen fibers. PAR. 4. Certain of said wool products were further misbranded by respondent in that they were not stamped, tagged, labeled, or otherwise identified as required under the provisions of Section 4(a)(2) of the Wool Products Labeling Act of 1939 and in the manner and form as prescribed by the Rules and Regulations promulgated under said Act.

Among such misbranded wool products, but not limited thereto, were certain yarns with labels on or affixed thereto which failed to disclose the percentage of the total fiber weight of the wool product, exclusive of ornamentation not exceeding 5 per centum of said total fiber weight, of (1) woolen fibers; (2) each fiber other than wool if said percentage by weight of such fiber is 5 per centum or more; and (3) the aggregate of all other fibers.

PAR. 5. The acts and practices of the respondent as set forth above were, and are in violation of the Wool Products Labeling Act of 1939 and the Rules and Regulations promulgated thereunder, and constituted, and now constitute, unfair and deceptive acts and prac-

Decision 64 F.T.C.

tices and unfair methods of competition in commerce, within the intent and meaning of the Federal Trade Commission Act. PAR. 6. Respondent is now, and for sometime last past, has been engaged in the offering for sale, sale and distribution of certain products, namely yarn, to retail stores. In the course and conduct of his business, respondent, now causes, and for sometime last past has caused, his said products, when sold, to be shipped from his place of business in the State of New York to purchasers located in various other States of the United States, and maintain, and at all times mentioned herein, has maintained, a substantial course of trade in said products, in commerce, as "commerce" is defined in the Federal Trade Commission Act.

PAR. 7. Respondent in the course and conduct of his business, as aforesaid, has made statements on invoices and shipping memoranda to his customers misrepresenting the fiber content of certain of his said products.

Among such misrepresentations, but not limited thereto, were statements representing certain yarns to be "100% Mohair", whereas said yarns contained substantially different fibers and quantities of fibers than represented.

PAR. 8. The acts and practices set out in Paragraph 7 have had and now have the tendency and capacity to mislead and deceive the purchasers of said products as to the true content thereof and to cause them to misbrand products sold by them in which said materials were used.

PAR. 9. The acts and practices of the respondent set out in Paragraph 7 were, and are, all to the prejudice and injury of the public and of respondent's competitors and constituted and now constitute unfair and deceptive acts and practices and unfair methods of competition, in commerce, within the intent and meaning of the Federal Trade Commission Act.

DECISION AND ORDER

The Commission having heretofore determined to issue its complaint charging the respondent named in the caption hereof with violation of the Federal Trade Commission Act and the Wool Products Labeling Act of 1939, and the respondent having been served with notice of said determination and with a copy of the complaint the Commission intended to issue, together with a proposed form of order; and The respondent and counsel for the Commission having thereafter executed an agreement containing a consent order, an admission by respondent of all the jurisdictional facts set forth in the complaint

WOLFSON YARN CO., ETC. 29

26 Order

to issue herein, a statement that the signing of said agreement is for settlement purposes only and does not constitute an admission by respondent that the law has been violated as set forth in such complaint, and waivers and provisions as required by the Commission's rules; and The Commission, having considered the agreement, hereby accepts same, issues its complaint in the form contemplated by said agreement, makes the following jurisdictional findings, and enters the following order:

1. Respondent Sidney Wolff is an individual trading as Wolfson Yarn Company and Em-Gee-Ess Knitwear Company, with his office and principal place of business located at 260 Fifth Avenue in the city of New York, 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

It is ordered, That Sidney Wolff, an individual trading as Wolfson Yarn Company and Em-Gee-Ess Knitwear Company, and respondent's 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, distribution or delivery for shipment in commerce, of wool yarn or other wool products, as "commerce" and "wool product" are defined in the Wool Products Labeling Act of 1939, do forthwith cease and desist from: Misbranding such products by:

1. Falsely or deceptively stamping, tagging, labeling or otherwise identifying such products as to the character or amount of the constituent fibers contained therein. 2. Failing to securely affix to, or place on, each such product a stamp, tag, label, or other means of identification showing in a clear and conspicuous manner each element of information required to be disclosed by Section 4(a)(2) of the Wool Products Labeling Act of 1939.

It is further ordered, That respondent Sidney Wolff, an individual trading as Wolfson Yarn Company and Em-Gee-Ess Knitwear Company, and respondent's representatives, agents, and employees, directly or through any corporate or other device, in connection with the offering for sale, sale, or distribution of yarn or any other textile products in commerce, as "commerce" is defined in the Federal Trade Commission Act, do forthwith cease and desist from misrepresenting the character or amount of constituent fibers contained in

Complaint 64 F.T.C.

yarn or any other textile products on invoices or shipping memo-