Consumer Law Library

Ecobaby Organics, Inc.

Volume 156 · 156 F.T.C. 334

Citation
156 F.T.C. 334
Docket
C-4416
Complaint
2013-11-08
Decision
2013-11-08
Document type
consent order
Case type
consumer protection
Statutes
FTC Act (section 5)
Industry
mattress manufacturing
Outcome
consent order entered
Relief
cease_and_desist; recordkeeping; compliance_reporting; notice_to_customers
Order term (years)
20
Source
Original volume PDF
Original PDF
This decision as a PDF

deceptive advertisingenvironmental claimshealth claims

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Ecobaby Organics, Inc., 156 F.T.C. 334 (2013). Consumer Law Library, https://consumerlawlibrary.org/decisions/v156-0010

Report an error in this record (decision id v156-0010)

Order status: active_until:2033-11-08. Sunset may be extended by the latest qualifying federal-court complaint alleging an order violation; complaints, dismissal/appeal outcomes, and respondent-specific extensions are not fully tracked.

Cited by 0 later FTC decisions

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

IN THE MATTER OF ECOBABY ORGANICS, INC.

CONSENT ORDER, ETC. IN REGARD TO ALLEGED VIOLATION OF SEC. 5 OF THE FEDERAL TRADE COMMISSION ACT Docket No. C-4416; File No. 122 3129 Complaint, November 8, 2013 – Decision, November 8, 2013 This consent order addresses false and misleading statements that respondent Ecobaby Organics, Inc. (“Ecobaby”).made regarding its “natural latex” mattresses. The complaint alleges that Ecobaby made unsubstantiated claims that its mattresses are chemical-free, formaldehyde-free, free of VOCs such as toluene and benzene, and without toxic substances, in violation of FTC Act Section 5. Though Ecobaby asserted its mattresses were certified by an independent third party certifier, the complaint alleges that the certifier was not independent and, in fact, was an alter ego of Ecobaby. The consent order bars Ecobaby from making zero-VOC claims unless the VOC emission level is zero micrograms per cubic meter or unless the company possesses and relies upon competent and reliable scientific evidence that their mattresses contain no more than a trace level of VOCs, as prescribed in the Green Guides. The consent order further requires Ecobaby to keep copies of all advertisements and materials relating to its mattresses and to file periodic compliance reports with the Commission.

Participants For the Commission: Thomas Goodhue and Robin Moore. For the Respondent: Not represented by counsel. COMPLAINT The Federal Trade Commission, having reason to believe that Ecobaby Organics, Inc. (“Respondent”) has violated provisions of the Federal Trade Commission Act, and it appearing to the Commission that this proceeding is in the public interest, alleges: 1. Respondent is a California corporation with its principal office or place of business at 9541 Ridgehaven Ct., San Diego, CA 92123. Respondent does business under the names Ecobaby and Purerest.

ECOBABY ORGANICS, INC. 335 Complaint 2. Respondent manufactures, advertises, offers for sale, sells, and distributes “natural latex” mattresses, which are marketed as mattresses that conform to the sleeper’s body shape and weight, as well as baby mattresses. Respondent distributes these mattresses through its website, www.purerest.com.

3. The acts and practices of Respondent alleged in this complaint have been in or affecting commerce, as “commerce” is defined in Section 4 of the Federal Trade Commission Act. 4. Respondent has disseminated or has caused the dissemination of promotional materials for its latex mattresses, including, but not limited to, print advertisements and website advertisements in the attached exhibits. 5. In many instances, including but not limited to the promotional materials shown in Exhibits 1 through 8, Respondent has prominently represented that:

a. Respondent does not allow any Formaldehydes, Toluene, or Phenols in its latex mattresses. See, e.g., Exhibit 1.

b. Respondent’s products do not contain Formaldehyde. See, e.g., Exhibit 2.

c. Respondent’s latex mattresses contain no Toluene or Benzene. See, e.g., Exhibit 3.

d. The rubber used in Respondent’s latex mattresses is “chemical free.” See, e.g., Exhibits 4-5. e. Respondent’s mattresses are chemical free. See, e.g., Exhibit 6.

f. Respondent’s crib mattresses contain no toxic substances. See, e.g., Exhibit 7.

g. Respondent’s mattresses contain fewer contaminants and chemicals than other companies’ memory foam or latex mattresses. See, e.g., Exhibit 8.

VOLUME 156 Complaint h. Tests show that Respondent’s mattresses do not contain volatile organic compounds (“VOCs”). See, e.g., Exhibits 3-4, 7.

i. Tests show that Respondent’s mattresses contain no Formaldehyde. See, e.g., Exhibit 2.

j. Tests show that Respondent’s mattresses are “chemical-free.” See, e.g., Exhibit 4.

6. In truth and in fact, Respondent did not possess and rely upon a reasonable basis that substantiated the representations set forth in Paragraph 5.

7. In truth and in fact, testing does not confirm that Respondent’s mattresses are free of chemicals, VOCs, and Formaldehyde.

8. Respondent has prominently displayed in many of its promotional materials the seal of the National Association of Organic Mattress Industry (“NAOMI”). Exhibit 1. Respondent represents that its mattresses conform to NAOMI’s standards. Exhibit 6.

9. In reality, NAOMI is not an independent, third-party certifier or organization with appropriate expertise in evaluating whether Respondent’s mattresses meet objective standards. In fact, Respondent controls NAOMI and NAOMI is an alter ego of Respondent.

COUNT I (False or Misleading Representations) 10. Through the means described in Paragraphs 4 and 8, Respondent has represented, expressly or by implication, that: a. NAOMI is an independent third-party certifier or organization with appropriate expertise in evaluating whether Respondent’s mattresses meet objective standards; and ECOBABY ORGANICS, INC. 337 Complaint b. NAOMI has awarded its seal to Respondent based on the application of NAOMI’s objective standards. 11. In truth and in fact:

a. NAOMI is not an independent third-party certifier with appropriate expertise in evaluating whether Respondent’s mattresses meet objective standards; and b. Respondent awarded the NAOMI seal to its own products without applying objective standards. Therefore, the representations set forth in paragraph 10 are deceptive.

COUNT II (Unsubstantiated Representations) 12. Through the means described in Paragraphs 4 and 5, Respondent has represented, expressly or by implication, that it possessed and relied upon a reasonable basis that substantiated the representations set forth in Paragraph 5, at the time the representations were made.

13. In truth and in fact, Respondent did not possess and rely upon a reasonable basis that substantiated the representations set forth in Paragraph 5 at the time the representations were made. Therefore, the representations set forth in Paragraph 12 are false or misleading.

COUNT III (Establishment Claim) 14. Through the means described in Paragraphs 4 and 5(h)- 5(j), Respondent has represented, expressly or by implication, that testing shows that Respondent’s latex mattresses are free of chemicals, VOCs, and Formaldehyde.

15. In truth and in fact, testing does not show that Respondent’s latex mattresses were free of chemicals, VOCs, and Formaldehyde. Therefore, the representations set forth in Paragraph 14 are false or misleading.

VOLUME 156 Complaint 16. Respondent’s practices, as alleged in this complaint, constitute deceptive acts or practices in or affecting commerce in violation of Section 5(a) of the Federal Trade Commission Act. THEREFORE, the Federal Trade Commission, this eighth day of November, 2013, has issued this complaint against Respondent.

By the Commission.

ECOBABY ORGANICS, INC. 339 Complaint EXHIBIT 1 About Us | Organic Certifications | A About Mattresses | Consumer Education | Policies & Warranties 1-800-996-7450 (Mon-Fri Gam to 3pm PST) | Comact Us i ORS £3 OROARNRT OS tha HOME | FURNITURE | ORGANIC MATTRESSES | ORGANIC BEDDING | ORGANIC BATH | ORGANIC PET | AIR FILTERS | CLEANING | CLEARANCE | SALE Register | Log in | My Account | © shopping Cart Search [___ PQ IF YOU FIND A PURER MATFRESS ANYWHERE ELSE WITHIN 30 DAYS, unity Buarankee WE WILL LET YOU KEEP OURS FOR FREE Top of the Ling 6-13" 100% Natural Rubber Mattresses Quality Manufacturing Sees ORGANIC win Preventing Bed Bug Infestations-See our consumer 40 WHO OF Follow the link to see why we do not get = Greenguard Certified. Pages 39-48 clearly show the 2005 VOLUME 156 Complaint EXHIBIT 2

VOLUME 156 Complaint EXHIBIT 3 ECOBABY ORGANICS, INC. 343 Complaint EXHIBIT 4 ORGANIC and Natural Crib & Infant Mattresses es & Warranties jam to 3pm PST) | Contact Us Regster | Loa im | My Account | i Shapping Cart i HOME | FURNITURE | ORGANIC MATTRESSES | ORGANIC BEDDING | ORGANIC BATH | ORGANIC PET | AIR FILTERS | CLEANING | CLEARANCE |SALE INFANT FURNITURE | ORGANIC CRIB & INFANT MATTRESSES | ORGANIC CRIB & INFANT BEDDING | ORGANIC CLOTHING | ORGANIC DIAPERING & MORE ORGANIC and Nat i bttresses > All of our crib mattresses are made with the purest ingredients we could find. We use wool processed organically so that you know there are no extraneous chemicals or fibers (most “organic” wool is processed in plants that process other fibers, so it gets chemicals and fibers in it. To know for sure, you would need to get and actual test result from a lab that tested their CARDED wool). The rubber is also tested for toxic vocs at a third party lab. We do not use ANY synthetic, nondisclosed hidden fibers as our competitors do. We want you to have total purity. Beware of so called certifications. Organic has to be 95% pure to be called organic, Green Guard allows even more contaminants and chemicals.

Crib Innerspring Mattress - extra firm 260 actual coils with Quilted Organic Cotton Batting and Quilted Organic Wool - this padding makes for a firm mattress that has some give in the padding to cut down on flat head syndrome for which they do not know what damage it could be causing. Organic fibers make it breathable and the quilting make so fibers don't shift. Organic Wool Tested Natural Rubber Organic and Natural Infant Mattresses ‘hittp://wewrwe purer est.com/ORGANIC-Crib-Infant-Mattresses/1 1/29/2011 7:34:04 AM] VOLUME 156 Complaint EXHIBIT 5 ECOBABY ORGANICS, INC. 345 Complaint EXHIBIT 6 All About Natural Latex About Us | Organic Certifications | All About Mattres: Consumer Education | Pdicies & Warranties 1-800-596-7450 (Mon-Fri 9am to 3pm PST) | Contact Us Regster | HOME | FURNITURE | ORGANIC MATTRESSES | ORGANIC BEDDING | ORGANIC BATH | ORGANIC PET | AIR FILTERS | CLEANING | CLEARANCE | SALE 9 © | My Account | GT shopping Cart INFANT FURNITURE | ORGANIC CRIB & INFANT MATTRESSES | ORGANIC CRIB & INFANT BEDDING | ORGANIC CLOTHING | ORGANIC DIAPERING & MORE What is Natural Latex and where doe it come from? Natural Latex also known as Natural Rubber comes from the Rubber Tree (Hevea Brasiliensis) and it’s acquired through a method called “tapping” where the latex serum is collected from the latex ducts of the Rubber Tree and then used to make Natural Latex.

Unlike synthetic man made latex, Pure Natural Latex is naturally hypo-allergenic, anti-microbial, and dust mite resistant; making it perfect for allergy sufferers or anyone who needs to breathe fresh, clean air while sleeping. Its breathable qualities allow it to keep cool in the summer and warm in the winter and it is the most naturally durable and cushioning material available in nature in addition to being biodegradable.

Not all natural latex is made equally and most companies do not test for strict purity standards or fair trade practices. Purity is our priority that is why Pure-Rest Organics consistently sends our materials for third party lab testing to ensure that our products are as PURE and HEALTHY for you and your family as they can be in addition to requiring Organic Certifications for our Organic Cotton and Organic Wool. We openly share all of our certifications and test results with the public and conform to the NAOMI Standards (National Organization of Organic Mattress Industry). Natural Latex & Natural Latex Mattresses FAQs: 1. I have allergies, would Natural Latex be good for me? + 100% Pure Natural Latex is inherently hypo-allergenic, anti-microbial, and dust mite resistant; making it perfect for anyone suffering from allergies. 2. I have heard of Latex Allergies; how can I be sure it will not affect me? + As of yet, there have NOT been any reported cases of allergies to Pure Natural Latex (or Pure Natural Rubber) and the general incidence of latex allergy is low, less than 1% of the U.S. population. People that are allergic to latex are normally allergic to the type of latex used in making latex gloves (workers who wear latex gloves most of the day have a risk of less than 10%) which is closed cell structure latex. However, we offer a free Test Kit before you purchase our Natural Latex products to ensure your safety. 3. Where does Natural Latex come from? + Natural Latex is a resin compound found in the Natural Rubber Tree (Hevea Brasiliensis), and “Tapped” from the latex ducts of the tree; contrary to popular belief it is not the tree's sap and the trees are not damaged in the process 4. I have back or joint problems and need proper support; how can Natural Latex help? « Natural Latex is a naturally cushioning but also firm material, it will naturally conform to your body and therefore provide superior back support and outstanding pressure relief; furthermore, our Natural Latex mattresses are free of chemicals therefore providing you with a clean, non-toxic, and restful sleep. 5. Which Firmnesses are available? « Pure-Rest offers several levels of firmness Extra Soft, Soft, Medium, Firm, Extra Firm, and Super Firm. If you suffer from back problems a medium to firm mattress is recommended. In addition if you and your partner require different firmness we offer a variety of customizable zip mattresses with split cores for maximum comfort. 6. What is the exterior of your mattresses made of? « Most Pure-Rest Organics Mattresses feature a Certified Organic Wool Inner quilted onto a http://www purerest.com/All- About-Mattresses/ Naturalatex{ 11/29/2011 7:35:14 AM) VOLUME 156 Complaint EXHIBIT 6 ECOBABY ORGANICS, INC. 347 Complaint EXHIBIT 7 Regster | Log ln | My Account | 81 shopping Cart HOME | FURNITURE | ORGANIC MATTRESSES | ORGANIC BEDDING | ORGANIC BATH | ORGANIC PET | AIR FILTERS | CLEANING | CLEARANCE |SALE INFANT FURNITURE | ORGANIC CRIB & INFANT MATTRESSES | ORGANIC CRIB & INFANT BEDDING | ORGANIC CLOTHING | ORGANIC DIAPERING & MORE RGANIC Crib & In edding > Infant ig > Our infant bed: iindudes natural mattresses tested to be free of ANY toxic vocs and our results posted online. Our organic cotton and wool are also tested chemical free and are certified organic. The only infant line out there that is free of chemicals, and free of boric acid and proven by third party test results. NOTE: Organic does not guarantee purity. The regulations of Greenguard, organic and OekoTex allow 5% or more of chemicals in the products to use their certification.

‘http://www purer est.com/ORGANIC-Crib-Infant-Bedding/ Infant-Bedding[ 11/29/2011 7:49:12 AM] VOLUME 156 Complaint EXHIBIT 7

VOLUME 156 Complaint EXHIBIT 8 DECISION AND ORDER The Federal Trade Commission, having initiated an investigation of certain acts and practices of the Respondent named in the caption hereof, and the Respondent having been furnished thereafter with a copy of a draft of a Complaint which the Bureau of Consumer Protection proposed to present to the Commission for its consideration and which, if issued, would charge the Respondent with violations of the Federal Trade Commission Act; and The Respondent and counsel for the Commission having thereafter executed an Agreement Containing Consent Order (“Consent Agreement”), which includes: a statement by Respondent that it neither admits nor denies any of the allegations in the draft complaint, except as specifically stated in the Consent Agreement, and, only for purposes of this action, admits the facts necessary to establish jurisdiction; 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 Respondent has violated the Federal Trade Commission Act, and ECOBABY ORGANICS, INC. 351 Decision and Order that a 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 for the receipt and consideration of public comments, and having duly considered the comments received from an interested person pursuant to Commission Rule 2.34, 16 C.F.R. § 2.34, now in further conformity with the procedure prescribed in Commission Rule 2.34, the Commission hereby issues its complaint, makes the following jurisdictional findings, and enters the following order:

1. Respondent is a California corporation with its principal office or place of business at 9541 Ridgehaven Ct., San Diego, CA 92123.

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 DEFINITIONS For purposes of this order, the following definitions shall apply:

1. Unless otherwise specified, “Respondent” shall mean Ecobaby Organics, Inc., also doing business as Ecobaby and Purerest, its successors and assigns, and its officers, agents, representatives, and employees. 2. “Commerce” shall mean as defined in Section 4 of the Federal Trade Commission Act, 15 U.S.C. § 44. 3. “Competent and reliable scientific evidence” shall mean tests, analyses, research, or studies that have been conducted and evaluated in an objective manner by qualified persons, that are generally accepted in the profession to yield accurate and reliable results, and that are sufficient in quality and quantity based on VOLUME 156 Decision and Order standards generally accepted in the relevant scientific fields, when considered in light of the entire body of relevant and reliable scientific evidence, to substantiate that a representation is true.

4. “Covered product” shall mean any mattress or component part.

5. “Trace” level of VOCs or chemicals shall mean: A. VOCs or chemicals have not been intentionally added to the product;

B. The presence of VOCs or chemicals at that level does not cause material harm that consumers typically associate with VOCs or chemicals, including, but not limited to, harm to the environment or human health; and C. The presence of VOCs or chemicals at that level does not result in concentrations higher than would be found at background levels in the ambient air. 6. “Volatile Organic Compound” (“VOC”) shall mean any compound of carbon that participates in atmospheric photochemical reactions, but excludes carbon monoxide, carbon dioxide, carbonic acid, metallic carbides or carbonates, ammonium carbonate, and specific compounds that the EPA has determined are of negligible photochemical reactivity, which are listed at 40 C.F.R. § 51.100(s).

I.

IT IS ORDERED that Respondent, directly or through any corporation, subsidiary, division, trade name, or other device, in connection with the manufacturing, labeling, advertising, promotion, offering for sale, sale, or distribution of any covered product in or affecting commerce, shall not make any representation, in any manner, expressly or by implication, that: ECOBABY ORGANICS, INC. 353 Decision and Order A. The covered product is VOC-free or free of harmful VOCs, unless the VOC emission level is zero micrograms per meter cubed (µg/m3), or Respondent possesses and relies upon competent and reliable scientific evidence that the covered product contains no more than a trace level of VOCs; or B. The covered product is free of chemicals. II.

IT IS FURTHER ORDERED that Respondent, directly or through any corporation, subsidiary, division, trade name, or other device, in connection with the manufacturing, labeling, advertising, promotion, offering for sale, sale, or distribution of any covered product in or affecting commerce, shall not make any representation, in any manner, expressly or by implication, regarding:

A. The VOC level of such product;

B. Whether the product is non-toxic;

C. Any other environmental benefit or environmental attribute of such product; or D. Any other health benefit or health attribute related to the VOC or chemical content of such product or exposure to such product;

unless the representation is true, not misleading, and, at the time it is made, Respondent possesses and relies upon competent and reliable scientific evidence that substantiates the representation. III.

IT IS FURTHER ORDERED that Respondent, directly or through any corporation, subsidiary, division, trade name, or other device, in connection with the manufacturing, labeling, advertising, promotion, offering for sale, sale, or distribution of any covered product in or affecting commerce, is permanently VOLUME 156 Decision and Order restrained and enjoined from making or assisting others in making, expressly or by implication, orally or in writing, any misrepresentation regarding certifications, including: A. the fact that, or degree to which, an independent thirdparty certifier or organization with appropriate expertise has evaluated a covered product based on its environmental or health benefits or attributes; or B. that an independent third-party certifier or organization with appropriate expertise has evaluated the environmental or health benefits or attributes of a covered product based on the application of objective standards.

IV.

IT IS FURTHER ORDERED that Respondent, directly or through any corporation, subsidiary, division, trade name, or other device, in connection with the manufacturing, labeling, advertising, promotion, offering for sale, sale, or distribution of any covered product in or affecting commerce, is hereby permanently restrained and enjoined from misrepresenting, in any manner, expressly or by implication, including through the use of any product name or endorsement, the existence, contents, validity, results, conclusions, or interpretations of any test, study, or research.

V.

IT IS FURTHER ORDERED that Respondent and its successors and assigns, shall, for five (5) years after the last date of dissemination of any representation covered by this order, maintain and upon request make available to the Federal Trade Commission for inspection and copying:

A. All advertisements and promotional materials containing the representation;

B. All materials that were relied upon in disseminating the representation; and ECOBABY ORGANICS, INC. 355 Decision and Order C. All tests, reports, studies, surveys, demonstrations, or other evidence in its possession or control that contradict, qualify, or call into question the representation, or the basis relied upon for the representation, including complaints and other communications with consumers or with governmental or consumer protection organizations.

VI.

IT IS FURTHER ORDERED that Respondent and its successors and assigns, shall deliver a copy of this order to all current and future principals, officers, directors, and managers, and to all current and future employees, agents, and representatives having responsibilities with respect to the subject matter of this order, and shall secure from each such person a signed and dated statement acknowledging receipt of the order. Respondent shall deliver this order to current personnel within thirty (30) days after the date of service of this order, and to future personnel within thirty (30) days after the person assumes such position or responsibilities. Respondent shall maintain and upon request make available to the Federal Trade Commission for inspection and copying all acknowledgments of receipt of this order obtained pursuant to this Part.

VII.

IT IS FURTHER ORDERED that Respondent and its successors and assigns, shall notify the Commission at least thirty (30) days prior to any change in the corporation that may affect compliance obligations arising under this order, including but not limited to a dissolution, assignment, sale, merger, or other action that would result in the emergence of a successor; the creation or dissolution of a subsidiary, parent, or affiliate that engages in any acts or practices subject to this order; the proposed filing of a bankruptcy petition; or a change in the corporate name or address. Provided, however, that, with respect to any proposed change in the corporation about which Respondent learns less than thirty (30) days prior to the date such action is to take place, Respondent shall notify the Commission as soon as is practicable after VOLUME 156 Decision and Order obtaining such knowledge. Unless otherwise directed by a representative of the Commission in writing, all notices required by this Part shall be emailed to [email protected] or sent by overnight courier (not the U.S. Postal Service) to: Associate Director for Enforcement, Bureau of Consumer Protection, Federal Trade Commission, 600 Pennsylvania Avenue NW, Washington, DC 20580. The subject line must begin: “Ecobaby Organics, Inc., File No. 122 3129, Docket No. C-4416.” VIII.

IT IS FURTHER ORDERED that Respondent and its successors and assigns, within sixty (60) days after the date of service of this order, shall file with the Commission a true and accurate report, in writing, setting forth in detail the manner and form of its own compliance with this order. Within ten (10) days of receipt of written notice from a representative of the Commission, it shall submit additional true and accurate written reports.

IX.

This order will terminate on November 8, 2033, or twenty (20) years from the most recent date that the United States or the Federal Trade Commission files a complaint (with or without an accompanying consent decree) in federal court alleging any violation of the order, whichever comes later; provided, however, that the filing of such a complaint will not affect the duration of: A. Any Part in this order that terminates in less than twenty (20) years;

B. This order’s application to any Respondent that is not named as a defendant in such complaint; and C. This order if such complaint is filed after the order has terminated pursuant to this Part.

Provided, further, that if such complaint is dismissed or a federal court rules that the Respondent did not violate any provision of the order, and the dismissal or ruling is either not appealed or upheld on appeal, then the order will terminate according to this ECOBABY ORGANICS, INC. 357 Analysis to Aid Public Comment Part as though the complaint had never been filed, except that the order will not terminate between the date such complaint is filed and the later of the deadline for appealing such dismissal or ruling and the date such dismissal or ruling is upheld on appeal. By the Commission.

ANALYSIS OF CONSENT ORDER TO AID PUBLIC COMMENT The Federal Trade Commission (“FTC” or “Commission”) has accepted, subject to final approval, an agreement containing a consent order from Ecobaby Organics, Inc., a corporation (“respondent”).

The proposed consent order has been placed on the public record for thirty (30) days for receipt of comments by interested persons. Comments received during this period will become part of the public record. After thirty (30) days, the Commission will again review the agreement and the comments received, and will decide whether it should withdraw from the agreement or make final the agreement’s proposed order.

This matter involves respondent’s marketing and sale of natural latex mattresses. According to the FTC’s complaint, respondent makes three types of claims about these mattresses. First, respondent claims that its mattresses are certified by the National Association of Organic Mattress Industry (“NAOMI”), an independent third-party certifier with appropriate expertise in evaluating whether respondent’s mattresses meet objective standards. However, the complaint alleges that NAOMI is an alter ego of respondent and not an independent third-party certifier and, indeed, awarded its seal to its own products without applying objective standards. Accordingly, the complaint alleges that such representations are deceptive practices in violation of Section 5(a) of the FTC Act.

VOLUME 156 Analysis to Aid Public Comment Second, respondent represents that its mattresses are chemical-free; Formaldehyde-free; free of VOCs, such as Toluene and Benzene; and without toxic substances. The complaint alleges that respondent did not possess and rely upon a reasonable basis substantiating these representations when it made them. Thus, the complaint alleges that respondent engaged in deceptive practices in violation of Section 5(a) of the FTC Act. Third, respondent claims that tests show that its mattresses are VOC-free, chemical-free, and Formaldehyde-free. The complaint alleges that tests do not support these claims. Thus, the complaint alleges that respondent engaged in deceptive acts or practices in violation of Section 5(a) of the FTC Act. The proposed consent order contains four provisions designed to prevent respondent from engaging in similar acts and practices in the future. Part I addresses the marketing of VOC-free and chemical free mattresses. It prohibits respondent from making zero-VOC claims unless the VOC emission level is zero micrograms per meter cubed or the company possesses and relies upon competent and reliable scientific evidence that their mattresses contain no more than a trace level of VOCs based on the Green Guides’ guidance on making free-of claims. It also prohibits respondent from making chemical-free claims. Part II addresses VOC claims, non-toxic claims, environmental benefit or attribute claims, and certain health claims made about mattresses. It prohibits such representations unless the representation is true, not misleading, and substantiated by competent and reliable scientific evidence. Part III addresses representations about third-party certifications. It prohibits any misrepresentations about the degree to which an independent third-party certifier has evaluated respondents mattresses based on environmental or health attributes, or evaluated those attributes based on the application of objective standards.

Part IV addresses claims that testing supports respondents’ advertising claims for its mattresses. It prohibits any ECOBABY ORGANICS, INC. 359 Analysis to Aid Public Comment misrepresentations about the existence, contents, validity, results, conclusion, or interpretations of any test, study, or research. Parts V through VIII require Ecobaby to: keep copies of advertisements and materials relied upon in disseminating any representation covered by the order; provide copies of the order to certain personnel, agents, and representatives having supervisory responsibilities with respect to the subject matter of the order; notify the Commission of changes in its structure that might affect compliance obligations under the order; and file a compliance report with the Commission and respond to other requests from FTC staff. Part IX provides that the order will terminate after twenty (20) years, with certain exceptions. The purpose of this analysis is to facilitate public comment on the proposed order. It is not intended to constitute an official interpretation of the complaint or the proposed order, or to modify the proposed order’s terms in any way.

VOLUME 156 Complaint

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