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A. F. of L. Trade Union Committee for Unemployment Insurance and Relief

Volume 23 · 23 F.T.C. 909

Citation
23 F.T.C. 909
Docket
2531
Complaint
1935-08-30
Decision
1936-11-18
Document type
final order
Case type
consumer protection
Statutes
FTC Act (section 5)
Industry
magazine publishing
Outcome
cease and desist
Relief
cease_and_desist; compliance_reporting
Hearing examiner
John W. Norwood (Trial Examiner)
Commission counsel
lllr. Edward L. Smith
Respondent counsel
and lffr. M. Herbert Syme, of Philadelphia, Pa
Source
Original volume PDF
Original PDF
This decision as a PDF

deceptive advertising

Cite this decision

A. F. of L. Trade Union Committee for Unemployment Insurance and Relief, 23 F.T.C. 909 (1936). Consumer Law Library, https://consumerlawlibrary.org/decisions/v023-0091

Report an error in this record (decision id v023-0091)

Order status: unknown. 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 1\fatter OF A. F. OF L. TRADE UNION COMMITTEE FOR UNEMPLOY- MENT INSURANCE AND RELIEF, ET AL.

COMPLAINT, FINDINGS, .AND ORDER IN REGARD TO THE .ALLEGED VIOLATION OF SEC. 5 OF AN ACT OF CONGRESS APPROVED SEPT. 26, 1914 Docket 2531. Complaint, .Aug. 30, 1935-Decision, Nov. 18, 1936 Where the initials "A. F. of L.", through their use by the American Federation of Labor and by its local, national, and international labor unions, its affiliated federations, central boards, and local unions, had come to be known and understood by said American Federation of Labor, and its local and other unions and affiliated organizations, etc., as above set forth, and by the general public, as the initials for and designation of said American Federation of Labor, and the word "Federationist," through long use by said American Federation for its magazine "American Federationist," had become known to said American Federation of Labor and its various unions, etc., and to the purchasing public as an abbreviated designation for its afore· said periodical; and thereafter an unincorporated association of pez·sons and a number of individuals who composed a "national committee" to supervise and direct the activities of said association, including publication and distribution of its magazine- Made use of the name "A. F. of L. Trade Union Committee for Unemployment Insurance and Relief" and "A. F. of L. Rank and File Federationist" for their said organization and magazine, respectively, notwithstanding fact said organization or association was not a committee of the aforesaid Amer· lean Federation of Labor and said association or organization's aforesaid magazine, 1. e., "A. F. of L. Rank and File Federatlonist," was not a publication of said American Federation, and use of the aforesaid names was Without latter's authority or permission;

With capacity and tendency to mislead and deceive members of such American Federation and the purchasing public into the belief that the aforesaid association or organization was a committee of said American Federation of Labor, and that said "A. F. or L. Rank and File Federationist" wns Its publication, and to purchase the latter in such erroneous belief, and with result that trade was thereby diverted by said association or organization and individuals from competitors who do not mislead and deceive the pur· chasing public by the use of names for their publications or associations; to the substantial injury of substantial competition in commerce: lleld, That such acts and practices were to the prejudice of the public and competitors and constituted unfair methods of competition. Before Mr. John W. Norwood, trial examiner. lllr. Edward L. Smith for the Commission.

l.!r. Harr'1J Sacher, of New York City, for respondents in general, and lffr. M. Herbert Syme, of Philadelphia, Pa., for respondent A. Fleming.

Complaint 23F.'l'.C. Col\t:PLAINT Pursuant to the provisions of an Act of Congress, entitled "An Act to create a Federal Trade Commission, to define its powers and duties, and for other purposes," the Federal Trade Commission, having reason to believe that the A. F. of L. Tra<le Union Committee for Unemployment Insurance and Relief, hereinafter referred to as respondent association, Louis \V einstock, Abraham Daskoff, Richard l\I. Kroon, Frank Mozer, J. P. Anderson, A. Allen, Elmer Johnson, Hobert C. Drown, Harry Bridges, David Gor<lon, Elmer Brown, Ben Gerjoy, Dora Zukor (or Zucker), C. Taylor, Luigi Genovese, l\I. :Manes (or Manis), T. L. Major, A. Edwards, G. Alston, M. Dalya, G. Spagnol, A. W. McPherson, Karl Maisus (or l\fasis), A. Weiner, William Thacker, E. Crews, F. Phillips, A. Fleming, and Charles B. Killinger, hereinafter referred to as respon<lent individuals, have been and now are using unfair methods of competition in commerce as ''commerce" is defined in said act, 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: PARAGRAPH 1. Respondent association, A. F. of L. Trade Union Committee for Unemployment Insurance and Relief, is an unincorporated, voluntary association of persons, having its principal office and place of business at 1 Union Square, New York City, in the State of New York. Respondent individuals, Louis Weinstock, Abraham Daskoff, Elmer Brown, Den Gerjoy, Dora Zukor (or Zucker), all of. the city of New York, State of New York; Hichard l\I. Kroon, A. Allen, G. Alston, all of the city of Detroit, State of Michigan; Frank Mozer, A. Fleming, both of the city of Philadelphia, State of Pennsylvania; E. Crews of the city of Pittsburgh, State of Pennsylvania; Robert C. Brown of the city of Butte, State of Montana; Harry Bridges, of the city of San Francisco, State of Califomia; J. P. An- <lerson of the city of Washington, District of Columbia; Elnwr Johnson of the city of Chicago, State of Illinois; C. Taylor of the city of Cleveland, State of Ohio; David Gordon of l\Iicldle Village, Long Island, State of New York; Luigi Genovese of the city of Rochester, State of New York; A. ,V. McPherson of the city of Cbirton, State of Pennsylvania; Charles B. Killinger of the c~ty of Flint, State of l\Iichigan; and l\I. l\Ianes (or l\Ianis), T. L. Major, A. Edwards, l\f. Dalya, G. Spagnol, Karl l\Iaisus (or 1\Iasis), A. \Veiner, William Thacker and F. Phillips, whose addresses are unknown, are members of the respondent association and compose a "national committee" for the purpose of supervising and directing all of the activities of the re~pondent association, including the publication and distr~bution of the "A. F. of L. Rank and File Federationist." A. F. OF L. TRADE UNION Colic\IITTEE, ETC., ET AL. 911 909 Complaint One of the principal purposes for the organization of the respondent association by the respondent individuals was and is the publication each month of a magazine entitled "A. F. of L. Rank and File l<'ederationist." The publication of this magazine began in the month of January 1934, and has, with a few exceptions, continued monthly.

PAn. 2. In the comse and conduct of the business of publishing thq magazine," A. F. of L. Rank and File Federationist," hereinbefore mentioned, the respondent individuals, acting through and by the aforesaid respondent association, sell and solicit the sale of the aforesaid magazine between and among the various States of the United States and in the District of Columbia, and cause copies of the aforesaid magazine when sold, to be transported from the place of business of tho respondent association in New York City to the purchasers of such copies, some located in the State of New York and others located in various oth<>r States of the United States, and there is now ami has been for more than one year last past a constant current of trade and commerce by the respondent association and respondent individuals in such magazine between and among the various States of the United States.

In the course nnd conduct of their business the respondent association and respondent individuals are now and for more than one year last past have been in substantial competition with other associations and incliYitluals, and with corporations, firms, and partnerships engag('d in tlh' sale of magazines between and among the various States of the United States. Among such competitors is the American Fed- E'ration of Labor, hereinafter described, which now and for more than one year last past has published a monthly magazine known as the "American F<>derationist," hereinafter described. P,\R. 3. In 1881 an unincorporated association was organized in the enit('d States under the name of "Federation of Organized Trades and Labor Unions of the United Statps and Canada," which name Was, in the year 1886, changed to ".American Federation of Labor." This organi;ation consists of local, national, and international unions, anu directly affiliated \With it are approximately 482 federations with npproximately 725 central boards and approximately 1,350 local llnions. The aggregate number of persons affiliated with the American Ff'deration of Labor is approximately 3,000,000. The initials "A. F. of L.", through tlh~ir use by the American Federation of Labor and by its local, national, and international labor lmions, its affiliated federations, central boards and local unions, am now and have been for more than one year last past known and understood by the America Federation of Labor, its local, national, and 912 FEDERAL TUADE COMMISSION DECISIONS Findings 23F. T.C, international labor unions, its affiliated federations, central boards, and local unions, and by the general public, as initials for their aforesaid American Federation of Labor, and as a designation of the aforesaid organization.

The American Federation of Labor has since 1894 published monthly as its official magazine the "j.. american Federationist,'' which has a circulation throughout rhe various States of the United States to more than 110,000 subscribers. Through and by its use since 1894 of the term "American Federationist" by the American Federation of Labor for its aforesaid magazine, the word "Federationist," when used as a designation of a magazine, has become known to the American Federation of Labor, its local, national, and international labor unions, its affiliated federations, central boards, and local unions, and to the purchasing public as an abbreviated designation for the magazine "American Federationist." PAn. 4. The use by the respondent association and respondent individuals of the name "A. F. of L. Trade Union Committee for Unemployment Insurance and Relief," and of the name "A. F. of L. Rank and File Federationist," has the capacity and tendency to mislead and deceive members of the American Federation of Labor and the purchasing public into the beliefs that the respondent association, A. F. of L. Trade Union Committee for Unemployment Insurance andrelief, is a committee of the American Federation of Labor, and that the said publication is a publication of the American Federation of Labor, and to purchase tho aforesaid "A. F. of L. Rank and File Federationist" in such erroneous beliefs; thereby trade is diverted by respondent association and respondent individuals from their competitors who do not by the use of names for their publications or by the use of names for associations, mislead and deceive the purchasing public, and thereby substantial injury is done by respondent association and respondent individuals to substantial competition in interstate commerce.

PAn. 5. The above alleged acts and practices of the respondent association and the respondent individuals are to the prejudice of the public and to the competitors of the said respondents, and constitute unfair methods of competition in commerce within the intent and meaning of Section 5 of an Act of Congress entitled "An Act to create a Federal Trade Commission, to define its powers and duties, and for other purposes," approved September 26, 1914. REPORT, FINDINGS AS TO THE FACTS, AND OrJ)ER Pursuant to the provisions of an Act of Congress approved September 26, 1!'111, entitled "An Act to create a Federal Trade Com- A. F. OF L. TRADE UNION 00:\E\IITTEE, ETC., ET AL. 913 {J()!) Findings mission, to define its powers and duties, and for other purposes," the Federal Traue Commission, on August 30, 1935, issued and served its complaint in this proceeding upon respondents A. F. of L. Trade Union Committee for Unemployment Insurance and Helie£, hereinafter referred to as respondent association, Louis 'Veinstock, Abraham Baskoff, Richard :M. Kroon, Frank Mozer, J. P. Anderson, A. Allen, Elmer Johnson, Robert C. Drown, Harry Bridges, David Gordon, Elmer Brown, Ben Gerjoy, Dora Zukor {or Zucker), C. Taylor, Luigi Genovese, M. Manes (or Manis), T. L. Major, A. Edwards, G. Alston, M. Balya, G. Spagnol, A. "\V. McPherson, Karl Maisus (or Masis), A. Weiner, William Thacker, E. Crews, F. Phillips, A. Fleming, and Charles B. Killinger, hereinafter referred to as respondent individuals, charging them with the use of unfair methods of competition in commerce in violation of the provisions of said act. .~after the issuance of said complaint, and the filing of 1·respondents' answer thereto, testimony and other evidence in support of the allegations of said complaint were introduced by Edward L. Smith, attorney for the Commission, before John "\V. Norwood, an examiner of the Commission theretofore duly designated by it CHarry Sacher, attorney for the respondents, having waived the introduction of testimony and other evidence in oppo:;;ition to the all~gaticns of the complaint), and said testimony and other evidence in support of the allegations of the complaint were duly recorded and filed in the office of the Commission. Thereafter, the proceeding regularly came on for final hearing before the Commission on the said complaint, the answer thereto, testimony and evidence, briefs in support of the complaint and in opposition thereto, but without Qral argument, respondents having waived oral argument; and the Commission having duly considered the record and being now fully advised in the premises, finds that this proceeding is in the interest of the public, and makes this its findings as to the facts and its conclusion drawn therefrom.

FINDINGS AS TO THE FACTS PARAGRAPH 1. Respondent association, A. F. of L. Trade Union Committee for Unemployment Insurance and Relief, is an unincor- Porated, voluntary association of persons, having its principal office and place of business at 1 Union Square, New York City, in the State of New York. Respondent individuals, Louis "\Veinstock, Abraham Baskoff, Elmer Brown, Ben Gerjoy, Dora Zukor (or Zucker), all of the city of New York, State of New York; Richard M. Kroou, A. Allen, G. Alston, all of the city of Detroit, State of Michigan; Frank Mozer, A. Fleming, both of the city of Philadel- 914 FEDERAL TP.ADE COl\U.IISSION DECISIONS Findings 23 1J'. T. C. phia, State of Pennsyh·ania; E. Crews of the city of Pittsburgh, State of Pennsylvania; Robert C. Brown of the city of Butte, State of Montana; Harry Bridges of the city of San Francisco, State of California; J. P. Anderson of the city of Washington, District of Columbia; Elmer Johnson of the city of Chicago, State of Illinois; C. Taylor of the city of Cleveland, State of Ohio; David Gordon of Middle Village, Long Island, State of New York; Luigi Genovese of the city of Hochester, State of New York; A. ,V. McPherson of the city of Clairton, State of Pennsylvania; Charles B. Killinger of the city of Flint, State of Michigan; and 1\f. Manes (or Manis), T. L. 1\lajor, A. Edwards, l\I. Tialya, G. Spagnol, Karl Maisus (or Masis), A. Weiner, William Thacker and F. Phillips, whose addresses are unknown, are members of the respondent association and compose a "national committee" for the purpose of supervising and directing all of the activities of the respondent association, including the publication and distribution of the "A. F. of L. Rank and File Federationist."

One of the principal purposes for the organization of the respondent association by the respondent individuals was the publication each month of a magazine entitled "A. F. of L. Hank and File Federationist." The publication of this magazine began in the month of January 1034, and continued through October 1935. PAR. 2. In the course and conduct of the business of publishing the magazine, "A. F. of L. Rank and File Federlltin,list," hereinbefore mentioned, the respondent individuals, acting through and by the aforesaid respondent association, sold and solicited the sale of the aforesaid magazine between and among the various StatQS of the United States and in the District of Columbia, and caused copies of the aforesaid magazine when sold, to be transportrd from the place of business of the respondent association in New York City to the purchasers of such copies, some located in the State of New York and others located in various other States of the United States, and there was from January 1034, to and until October 1935, a constant current of trade and commerce by the respondent association and respondent individuals in such magazine between and among the various States of the United States.

In the course and conduct of their business the respondent association and respondent individuals have been in substantial competition with other associations and individuals, and with corporations, firms, and partnerships engaged in the sale of magazines between and among the various States of the United States. Among such competitors is the American Federation of Labor, hereinafter described, which now and for more than one year last past has pub- A. F. OF L. TRADE UNION COMl\liTTEE, ETC., ET AL. 915 909 Findings Eshed a monthly magazine l;:nown as the "American Federationist," hereinafter described.

PAR. 3. In 1881 an unincorporated association was organized in the United States under the name of "Federation of Organized Trades and Labor Unions of the United States and Canada," which name Was, in the year 1886, changed to "American Federation of Labor." This organization consists of 110 national and international unions, 1,154 local unions, and about 3,615,000 members. The initials "A. F. of L.," through their use by the American Federation of Labor an<l by its local, national, and international labor unions, its affiliated federations, central boards and local unions, are now and :for more than one year last past have been known and understood by the American Federation of Labor, its local, national, and international labor unions, its affiliated federationst central boards, and local unions, and by the general public, as initials for the aforesaid American Federation of Labor, and as a designation of the aforesaid organization. Thc~ ~<\meriean Flederation of Labo;r has since 1894 published monthly as its official magazine the "American Federationist," which has a circulation throughout the various States of the United States to more than 110,000 subscribers. Through and by its use since 18!)4 of the term "American Federationist" by the American Federation of Labor for its aforesaid magazine, the word "Federationist," when llscd as a designation of a magazine, has brcome known to the American Federation of Labor, its local, national, and international labor unions, its affiliated fe<lerations, central boards, and local unions, &.nd to the purchasing public as an abbreviated designation for the lnagazine "American Federationist."

PAR. 4. Respondent association was not a committee of the American Federation of Labor nor was the aforesaid A. F. of L. Rank and File Federationist, a publication of the American Federation of Labor. The use by the respondent association and by respondent individuals of the name "A. F. of L. Trade Union Committee for Unemployment Insurance and Relief" and of the name "A. F. of L. Rank and File Federationist" was without the authority or penni~­ sion of the American Federation of Labor.

PAR. 5. The nse by the respondent association and respondent individuals of the name "A. F. of L. Trade Union Committee for Unemployment Insurance and Relief," and of the name "A. F. of L. Rank and File Federationist," has had the capacity and tendency to mislead and deceive members of the American Federation of Labor and the purchasing public into the beliefs that the respondent as:;ocialion, A. F. of L. Trade Union Committee for Unemployment ]nnu- 7S035m-S!J-vol. 23-60 COMMISSIO~ DECISIO~S:916 FEDERAL TRADE Order 23F.T.C.

ance and Relief, was a committee of the American Federation of Labor, and that the said publication was a publication of the American Federation of Labor, and to purchase the aforesaid "A. F. of L. Rank and File Federationist" in such erroneous beliefs; thereby trade has been diverted by respondent association and respondent individuals from their competitors who do not mislead and deceive and who have not misled and deceived the purchasing public by the usc :3f names for their publications or by the use of names for asso- -ciations. Thereby substantial injury has been clone by respondent association and respondent individuals to substantial competition in interstate commerce.

CONCLUSION The aforesaid acts and practices of the respondent association, A. F. of L. Trade Union Committee for Unemployment Insurance and Relief, and respondent individuals Louis 'Veinstock, Abraham Baskoff, Richard M. Kroon, Frank Mozer, J. P. Anderson, A. Allen, Elmer Johnson, Robert C. Brown, Harry Bridges, David Gordon, Elmer Brown, Ben Gerjoy, Dora Zukor (or Zucker), C. Taylor, Luigi Genovese, M. Manes (or Manis), T. L. Major, A. Edwards, G. Alston, M. Balya, G. Spagnol, A. vV. McPherson, Karl l\faisus (or Masis), A. Weiner, William Thacker, E. Crews, F. Phillips, A. Fleming, and Charles B. Killinger, are to the prejudice of the public and of respondents' competitors, and constitute unfair methods of competition in commerce, within the intent and meaning .of Section\ 5 of an Act of Congress, approved September 2G, 1914, entitled "An Act to create a Federal Trade Commission, to define its powers and duties, and for other purposes." ORDER TO CEASE AND DESIST This proceeding having been heard by the Federal Trade Commission upon the complaint of the Commission, the answers of the respondents, testimony and other evidence taken before John W. Norwood, an examiner of the Commission theretofore duly designated by it, in support of the allegations of the complaint (Harry Sacher, attorney for the respondents having waived the introduction of testimony and other evidence in opposition to the allegations of the complaint), and briefs filed herein, and the Commission having made its findings as to the facts and its conclusion that the respondents herein have violated the provisions of an Act of Congress approved September 26, 1914, entitled, "An Act to create a Federal Trade Commission, to define its powers and duties, and for other purposes."

A. F. OF L. TRADE UNION CO!.I!IIITTEE, ETC., ET AL. 917 Order It is hereby ordered, That the respondent association, A. F. of L. Trade Union Committee for Unemployment Insurance and Relief, and respondent individuals Louis Weinstock, Abraham Baskoff, Richard M. Kroon, Frank Mozer, J. P. Anderson, A. Allen, Elmer Johnson, Robert C. Brown, Harry Bridges, David Gordon, Elmer Brown, Ben Gerjoy, Dora Zukor (or Zucker), C. Taylor, Luigi Genovese, M. Manes (or Manis), T. L.l\Iajor, A. Edwards, G. Alston, M. Balya, G. Spagnol, A. W. McPherson, Karl Maisus (or l\Iass), A. Weiner, William Thacker, E. Crews, F. Phillips, A. Fleming; and Charles B. Killinger and their respective agents, servants and employees, in connection with the sale and offering for sale of magazines in interstate commerce or in the District of Columbia, do forthwith cease and desist from the use of the name "A. F. of L. Trade Union Committee for Unemployment Insurance and Relief" and of the name "A. F. of L. Rank and File Federationist" and of any other name indicating or suggesting that the said respondent association or any of its members constitute a committee of the American Federation of Labor, or that any publication by them or by any of them so sold and offered for sale is a publication of the American Federation of Labor.

And it is hereby further orde·red, That the aforesaid respondent association and respondent individuals shall, within 60 days after service upon them of this order, file with this Commission a report in writing spt,ting forth in detail the manner and form in which they have complied with this order.

918 FEDERAL TRADJ:1 COMl\USSJON DECISIONS Syllabus 23 F. T. 0.

← 23 F.T.C. 900 · 23 F.T.C. 918 →