Miami Sportswear Co., Inc

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

In tee Marrer or MIAMI SPORTSWEAR CO., INC., ET AL.

CONSENT ORDER, ETC., IN REGARD TO THE ALLEGED VIOLATION OF THE FEDERAL TRADE COMMISSION AND THE FLAMMABLE FABRICS ACTS Docket C-2100. Complaint, Nov. 15, 1971—Decision, Nov. 15, 1971 Consent. order requiring marketer of Opa-Locka, Fla., to cease marketing dangerously flammable products in violation of the Flammable Fabrics Act. MIAMI SPORTSWEAR CO., INC., ET AL. 771 770 Complaint ComrLaIntT Pursuant to the provisions of the Federal Trade Commission Act and the Flammable Fabrics Act, as amended, and by virtue of the authority vested in it by said Acts, the Federal Trade Commission, having reason to believe that Miami Sportswear Co., Inc., a corporation, and Jack L. Brasington and Clayton B. Brasington, Jr., individually and as officers of said corporation, hereinafter referred to as respondents, have violated the provisions of said Acts and the rules and regulations promulgated under the Flammable Fabrics Act, as amended, and it appearing to the Commission that a proceeding by it in respect thereof would be in the public interest, hereby issues its complaint stating its charges in that respect as follows: Paracraru 1. Respondents Miami Sportswear Co., Inc., is a corporation organized, existing and doing business under and by virtue of the laws of the State of Florida. Respondent corporation maintains its office and principal place of business at 2600 Ali Baba Avenue, Opa- Locka, Florida.

Respondents Jack L. Brasington and Clayton B. Brasington, Jr., are officers of the corporate respondent. They formulate, direct and control the acts, practices and policies of said corporate respondent including those hereinafter set forth.

Respondents are engaged in the manufacture and sale of ‘ladies’ sportswear including swim suits and beach coat-scarf ensembles. Par. 2. Respondents are now and for some time last past have been engaged in the sale and offering for sale, in commerce, and have introduced, delivered for introduction, transported and caused to be transported in commerce, and have sold or delivered after sale or shipment in commerce, products, as the terms “commerce” and “product” are defined in the Flammable Fabrics Act, as amended, which fail to conferm to an applicable standard or regulation continued in effect, issued or amended under the provisions of the Flammable Fabrics Act, as amended.

Among such products mentioned hereinabove were ladies’ scarves as part of a beach coat ensemble.

Par. 3. The aforesaid acts and practices of respondents were and are in violation of the Flammable Fabrics Act, as amended, and the rules and regulations promulgated thereunder, and constituted, and now constitute, unfair methods of competition and unfair and deceptive acts and practices in commerce, within the intent and meaning of the Federal Trade Commission Act.

772 FEDERAL TRADE COMMISSION DECISIONS.

Decision and Order 7 F.T.C.

Decision AND ORDER The Federal Trade Commission having initiated an investigation of certain acts and practices of the respondents named in the caption hereof, and the respondents having been furnished thereafter with a copy of a draft of complaint which the Atlanta Regional Office proposed to present to the Commission for its consideration and which, if issued by the Commission, would charge respondents with violation of the Federal Trade Commission Act and the Flammable Fabrics Act, as amended; and The respondents and counsel for the Commission having thereafter executed an agreement containing a consent order, an admission by the respondents of all the jurisdictional facts set forth in the aforesaid draft of complaint, a statement that the signing of said agreement is for settlement purposes only and does not constitute an admission by respondents that the law has been violated as alleged in such complaint, and waivers and other provisions as required by the Commission’s rules; and The Commission having thereafter considered the matter and having determined that it had reason to believe that the respondents have violated the said Acts, and that complaint should issue stating its charges in that respect, and having thereupon accepted the executed consent agreement and placed such agreement on the public record for a period of thirty (30) days, now in further conformity with the procedure prescribed in § 2.34(b) of its rules, the Commission hereby issues its complaint, makes the following jurisdictional findings, and enters the following order :

1. Respondent Miami Sportswear Co., Inc., is a corporation organized, existing, and doing business under and by virtue of the laws of the State of Florida with their office and principal place of business located at 2600 Ali Baba Avenue, Opa-Locka, Florida. Respondents Jack L. Brasington and Clayton B. Brasington, Jr. are ofiicers of said corporation. They formulate, direct, and control the policies, acts and practices of the corporate respondent and their address is the same as that of said corporate respondent. 2. The Federal Trade Commission has jurisdiction of the subject matter of this proceeding and of the respondents and the proceeding ig in the public interest.

ORDER It is ordered, That respondents Miami Sportswear Co., Inc., a corporation, and its officers, and Jack L. Brasington and Clayton B. Brasington, Jr., individually and as officers of said corporation, and MIAMI SPORTSWEAR CO., INC., ET AL. 773 770 Decision and Order respondents’ representatives, agents and employees, directly or through any corporate or other device, do forthwith cease and desist from selling, offering for sale, in commerce, or introducing, delivering for introduction, transporting or causing to be transported in commerce, or selling or delivering after sale or shipment in commerce, any product, fabric, or related material; or selling or offering for sale, any product made of fabric or related material which has been shipped or received in commerce, as “commerce,” “product,” “fabric,” and “related material” are defined in the Flammable Fabrics Act, as amended, which product, fabric, or related material fails to conform to an applicable standard or regulation issued, amended or continued in effect, under the provisions of the aforesaid Act. It is further ordered, That respondents notify all of their customers who have purchased or to whom have been delivered the prodticts which gave rise to the complaint, of the flammable nature of said products, and effect the recall of said products from such customers. It is further ordered, That respondents either process the products which gave rise to the complaint so as to bring them into conformance with the applicable standard of flammability under the Flammable Fabrics Act, as amended, or destroy said products. It is further ordered, That the respondents herein shall, within ten (10) days after service upon them of this order, file with the Commission a special report in writing setting forth the respondents’ intentions as to compliance with this order. This special report shall also advise the Commission fully and specifically concerning (1) the identity of the product which gave rise to the complaint, (2) the number of said products in inventory, (3) any action taken and any further actions proposed to be taken to notify customers of the flammability of said products and effect the recall of said products from customers, and of the results thereof, (4) any disposition of said products since March 17, 1971, and (5) any action taken or proposed to be taken to bring said products into conformance with the applicable standard of flammability under the Flammable Fabrics Act, as amended, or destroy said products and the results of such action. Such report shall further inform the Commission as to whether or not . respondents have in inventory any product, fabric, or related material having a plain surface and made of paper, silk, rayon and acetate, nylon and acetate, rayon, cotton or any other material or combinations thereof in a weight of two ounces or less per square yard, or any product, fabric, or related material having a raised fiber surface. Respondents shall submit. samples of not less than one square yard in size of any such product, fabric, or related material with this report. It is further ordered, That respondents notify the Commission at Complaint TD F.T.C.

least 80 days prior to any proposed change in the corporate respondent’s business organization, such as dissolution, assignment or sale resulting in the emergence of successor corporations, the creation or dissolution of subsidiaries or any other change in the corporation which may affect compliance obligations arising out of the order. It is further ordered, That the respondent corporation shall forthwith distribute a copy of this order to each of its operating divisions. Lt is further ordered, That the respondents 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.