Cordes, J. V

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IN THE MATTER OF J. V. CORDES AND MRS. J. H. CORDES, DOING BUSINESS AS MARTHA BEASLEY ASSOCIATES COMPLAINT, FINDINGS, AND ORDER IN REGARD TO THE ALLEGED VIOLATIO~ OF SEC. 5 OF AN ACT OF CONGRESS APPROVED SEPT. 26, 1914 Docket 9841. Complaint, June 80, 19:19-Decision, Sept. 18, 1941 Where two Individuals engaged In interstatte> sale and distribution of certain medicinal preparations Intended for u~e lu the treatment of delayed men· struation, one being designated as "Martha Beaslt>:y's Compound Formula No. 2" and the other as "Martha Beasley's Compound Formula No. 3"; by means of advertisements disseminated through the mails and in periodicals, directly or by implication- {a) Represented that their preparations constituted competent and e:f'rective treatment1:1 for delayed menstruation, were recommended by physicians gen· erally, and were safe for use, through such stat€·inents as "Get a modt-rn woman's remedy. Ladies, when troubled with delay, get our Special Relief Compound at once. Don't wait longrr. Has rapidly relieved many unusual, long overdue or past due, suppressed, late appearing abnormally delayed periods In 2 to 4 days without pain or inconvenience," and "A preferred favorite time-tested prescription of many doctors"; The facts being active Ingredients in pro9acts in question were apiol, oil of savin, aloin, and ergotin, first three of which had long been recognized by pharma· cologiRts and physicians generally as gastrointestinal irritants, aloin in particular being regarded ns a drastic cathartic; under directions prescribed or suggested, daily dosage of last-named drug would be four times dose of the Unlterl Statp~ Pharmacopoeia, which dosage, particularly when added to the aplol and savln Ingredients, is likely to produce gaMrointestinal disttu·bances resulting In nausea and vomiting, with pelvic congestion, in· eluding congestion of the uterus, and possibly resulting and leading to excessive hemorrhage therefroin; while in the case of pregnancy, use of thelt' said preparations had a tendency to eliuse al~o contraction of uterus, sometimes prodnelng abortion anrl causing uterine infection, which might also extend to other pelvic and abdominal structures and result In septicemia or blood poisoning; and while dt·ugs which constituted active Ingredients of their sai(l preparations possess emmenagogue properties, they are not compe· tent or effective treatments for delayed menstruation, nor t"ecommended by physicians generally, being used only after carrful diagnosis and under supervision of the physician in those exceptional cases in which some of said drugs may be used; and {b) Failed to ren•alin said advertist-mt-nts that use of their said pt•oducts, under prescribed or usual conditions, might re;;nlt In serious injury to the health ot the user, and to appri;;e pt·ospcctive purchusers that said prcpanttions should not be used in evt-nt of pregnancy, by use in their advertisements of the word "abnormally" In connection with wot·ds "delayed periods," !'!lid preparations being offered for !'ale and sold Indiscriminately to the lay public, and prospective purchaser being usually incapable of determining whether her condition 1:> due to normal or abnormnl causes, and did not dis· MARTHA BEASLEY ASSOCIATES 1353 1352 Complaint close product's harmful potentialities, in d\rection "Should capsules cause looseness of bowels or act excessively, discontinue for several days or number of capsules may be reduced for a day or so," which appeared onl.t on the labels of said products and not in their advertisements, and which the many purchasers by mail bad no opportunity to observe until after they had received products ln question;

With tendency and capacity to mislead and deceive substantial portion of the purchasing public into the erroneous and mistaken belief that their said preparations possessed therapeutic values which they did not In fact possess, and that such preparations were safe for use, when such was not the fact, and to cause such portion of the public to purchase substantial quantities of their preparations as a result of such belief: Held, That such acts and practices, under the circumstances set forth, were all to the prejudice of the public and constituted unfair and deceptive acts and practices ln commerce.

As respects evidence of experiments performed on rats and rabbits, introduced to support claim that sellers' products, otrered for delayed menstruation, did not possess harmful potentialities, the Commission found that such experiments-which, in certain instances, tended to confirm the opinions of experts intt·oduced by the Commission as to the toxic propet"ties of said P\'odnctswere inconclusive, did not nfl'ord a substantial basis for their contentions, and lacked sufficient probative value to overcome evidence Introduced at the instance of the Commission, which included the testimony of outstanding authorities in the field of gynecology and obstetrics. Before J.fr. William C. Reeves, trial examiner. Mr. Gerard A. Ra:ult for the Commission.

Nash & Donnelly, of Washington, D. C., for respondents. Complalnt Pursuant ~o the provisions of the Federal Trade Commission Act, and by virtue of the authority vested in it by said act, the Federal Trade Commission, having reason to believe that J. V. Cordes and Mrs. J. II. Cordes, trading and doing business as Martha Beasley Associates, hereinafter referred to as respondents have violated the· provisions of 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:

PAR.\GRAPH 1. Respondents, J. V. Cordes and :Mrs. J. II. Cordes, are individuals trading and doing bu!'<ine~s under the name of Martha Beasley Associates, with their principal office and place o£ business located at 5741 Grand River Boulevard, Detroit, :\Iich. The ler--pondents are now, and for several years last past have been, engaged in the sale of medicinal preparations designed for the treatment of unnaturally delayed menstruation, one known as l\Iartha Beasley Complaint 33F.T.C.

Compound Formula No. 2 and as Special Relief Compound, and Special Package No.2; and the other known as ~Iartha Beasley Co~­ potmd Formula No.3, and as Special Relief Compound, and Special Package No.3. Respondents cause said preparations when sold to be transported from their aforesaid place of business in the State of Michigan to the purchasers thereof located in various States of the United States other than the State of Michigan and in the District of Columbia. Respondents maintain, and at all times mentioned herein have maintained, a course of trade in said drugs in commerce between and among various States of the United States and 1n the District of Columbia.

PAR. 2. In the course and conduct of their aforesaid business the respondents have disseminated, and are now disseminating, and have C'aused, and are now causing, the dissemination of false advertisements concerning their said preparations by the United States mails, by insertions in newspapers and periodicals having a general circulation, and also in circulars and other printed or written matter, all of which are distributed among and between the various States of the United States and by other means in commerce, as "commerce" is defined in the Federal Trade Commission Act, for the purpose of indue· ing, and which are likely to induce, directly or indirectly, the purchase of their said preparations; and have disseminated, and are now' disseminating, and have caused, and are now causing the dissemina- I tion of false advertisements concerning their said preparations by · various means for the purpose of inducing, and which are likeiy to induce, directly or indirectly, the purchase of their said preparations in commerce, as "commerce" is defined in the Federal Trade Commission Act. Among and typical of the false representations contained in the advertisements disseminated and cause to be disseminated, as aforesaid, are the following:

Get a modern woman's remedy. Ladies, when troubled with delay, get our Svecial Relief Compound at once. Don't wait longer. Has repeatedly relieved many unusual, long overdue, or past due, suppt·essed, late appearing abnormally delayed periods in 2 to 5 days without pain or inconvenience. A preferred favorite time-tested prescription of many doctors. The representations hereinbefore set out, and other representations similar thereto but not set out herein, appearing in respondents' ad· vertisements, are false, misleading, and untrue. Respondents' preparations are not safe or scientific treatment for delayed menstruation. They are not recommended by physicians. Said advertisements of respondents are also false in that they fail to reveal that the use of such preparations under the conditions prescribed in said advertisements or under such conditions as are customary and usual may result in the serious illness, and in some cases the death, of the user. MARTHA BEASLEY ASSOCIATES 1355 1352 Findings The true facts are that the following drugs constitute the chief ingredients of each of these preparations, apiol, ergotin, savin, water Pepper, and aloin, and that the use of either of these preparations may · result in gastrointestinal disturbances such as catharsis, nausea and Vomiting with pelvic congestion, inflammation and congestion of the Uterus leading to uterine hemorrhage, and in those cases where either of these preparations is used to interfere with the normal course of Pregnancy may result in uterine infection with extension to other Pelvic and abdominal structures causing septicemia or blood poisoning. . PAR. 3. The ~se by the respondents of the foregoing false advert~sements and deceptive and misleading statements and representations with respect to their preparations disseminated as aforesaid has had, and now has, the capacity and tendency to, and does, mislead and deceive a substantial portion of the purchasing public into the ert·oneous and mistaken belief that such statements and representations are true and to induce a portion of the purchasing public, because of such erroneous and mistaken belief, to purchase respondents' medicinal . Preparations containing injurious drugs.

PAR. 4. The aforesaid acts and practices of respondents, as herein . alleged, are all to the prejudice and injury of the public and constitute unfair and deceptive acts and practices in commerce within the intent and meaning of the Federal Trade Commission Act. REPORT, FINDINGS AS TO THE F AOTS, AND ORDER Pursuant to the provisions of the Federal Trade Commission Act, the Federal Trade Commission, on June 30, 1939, issued, and subsequently served, its complaint in this proceeding upon the respondents, J. V. Cordes and Mrs. J. H. Cordes, individuals trading and doing business as Martha Beasley Associates, charging them with the use of unfair and deceptive acts and practices in commerce in violation of the provisions of said act. After the issuance of said complaint and the filing of respondents' answer thereto, testimony and other evidence in support of the allegations of the complaint were introduced by Gerard A, Rault, attorney for the Commission, and in opposition thereto by :Messrs. Nash and Donnelly, attorneys for respondents, before 'Villiam C. Reeves, trial examiner of the Commission theretofore duly designated by it, and such testimony and other evidence '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 complaint, answer, testimony and other evidence, rt>port of the trial examiner upon the evidence, briefs in support of and in opposition to the complaint, and oral argument; and the Com- Findings 33F. T.C.

mis:wn,. having duy considered th.e matter,. an~ ?eing ~ow :full~ advised m the premises, finds that this proceedmg IS m the mterest. 0 the public and makes this its findings as to the facts and its conclusion drawn therefrom. · FINDINGS AS TO THE FACTS PAMGRAPH 1. The respondents, J. V. Cordes and l\lrs. J. H. Cordes, are individuals trading under the· name Martha Beasley Associate~ with their principal office and place of business located at 5741 Grun River Boulevard, Detroit, Mich. Respondents are now,. an~ fo.r seV'f eral ~ears la~t. past have be~n, e~gagecl in the sale. and distnbutwn °f certam mediCmal preparations m'tended for use m the treatment 0 delayed menstruation, one of such preparations being designated by respondents as "Martha Beasley's Compound Formula No. 2" and the other as "Martha Beasley's Compound Formula No.3." ~AR. 2. In the course and conduct of their business the respondents cause their preparations, when sold, to be transported from their pla~e of business in the State of Michigan to purchasers thereof loca~ed 1~ various other States of the United States and in the District ? Columbia. Respondents maintain, and at all times mentioned herelD have maintained, a course of trade in their preparations in commer~e among and between the various States of the United States and ID the District of Columbia.

PAR. 3. In the course and conduct of their business the respondents have dissemin~ted, a~d have caused the dissem.ination of, ad;ertised ments concermng their preparations by the Umted States mails an by various other means in commerce as "commerce" is defined in t~e Federal Trade Commission Act; and respondents have also dissell11" nated, and have caused the dissemination of, advertisements concern· ing their preparations by various means, for the purpose of inducin1 and which are likely to induce, directly or indirectly, the purchase 0 their preparations in commerce, as "commerce" is defined in the Fed· eral Trade Commission Act.

Among and typical of the statements and representations appearing in such advertisements, disseminated and caused to be disseminated bY the United States mails and by advertisements in periodicals, are the following:

Get of modern woman's remedy. Ladies, when troubled with delay, get on~ Special Relief Compound at once. Don't walt longer. Has rapidly relievet many unusual, long overdue or past due, suppressed, late appearing abnormllllY' <lelayeu periods in 2 to 4 days without pain or inconvenlencP. A preferred favorite time-tested prescription of many doctors. · ns PAn. 4. Through the use of these statements and representatio and others of similar import, the respondents represent, directly or bY 1\!ARTHA BEASLEY ASSOCIATES 1357 1352 Findings implication, that their preparations constitute competent and effective treatments for delayed menstruation; that they are recommended by Physicians generally; and that they are safe for use. PAR. 5. The formulas for respondents' preparations are as follows: Formula Nu. l Formula No . .'1 Apiol-7% minims Apiol-8 minims Oil of Savin-% grain Oil of Savin-% minims Ergotin-1 grain Ergotin-1 grain Extract of water pepper- Extract of water pepper- % grain % grain Aloin-% grain Aloin-% grain The dosage as prescribed by respondents for Formula No. 3 is "One or two capsules four times a day." The dosage prescribed for Uormula No.2 is the same as that for Formula No.3 except that the words ''three or four times a day" are used instead of "four times a day." Respondents' directions for the use of the preparations contain the following statement: . Should the capsules cause looseness of bowels or act excessively, discontinue for several days or number of capsules may be reduced. for a day or so. PAR. 6. The active ingredients in the preparations are the apiol, savin, aloin and ergotin. Apiol, savin, and aloi11 have long been recognized by .pharmacologists and by physicians generally as gastrointestinal irritants, aloin in particular being regarded as a drastic cathartic. The average dose_ of aloin, according to the United States Pharmacopoeia, is one-fourth grain. The amount in each of respondents' capsules (Formula No. 3) is one-half of that amount or oneeighth grain. According to respondents' directions, as many 'as eight capsules may be taken in 1 day, and in that event the total amount of aloin taken per day would be four times the United States Pharmacopoeia dose. This dosage, particularly when added to the apiol and savin ingredients, is likely to produce gastrointestinal disturbances, resulting in nausea and vomiting. Pelvic congestion, including congestion of the uterus, may also result, leading to excessive hemorrhage from the uterus. · In the oase of pregnancy, the use of respondents' preparations has n tendency to cause, in addition to the results mentioned above, a contraction of the uterus, clue to the ergotin content of the preparations. Such co11traction of the uterus may in some cases produce an abortion, which may result in uterine infection. Such infection may also extenJ to other pelvic anJ abdominal structures and may result in SPpticcmia or blood poisoning.

PAR. 7. The respondents insist that their advertisements are not directed to pregnant women, and that the use in their advertisements 435~2Gm--42--vol.33----80 Findings 33 F. T. C. of the word "abnormally" in connection with the words "delayed periods" is sufficient to apprise prospective purchasers that the preparations should not be used in the event of pregnancy. The preparations, however, are offered for sale and sold indiscriminately to the lay public, and the prospective purchaser is usually incapable of deter· mining whether her condition is due to normal or abnormal causes. Respondents further insist that their direction, "Should capsule~ cause looseness of bowels or act excessively, discontinue for several days or number of capsules may be reduced for a day or so," is sufficient to obviate the danger of excessive cathartic action. The Com· mission finds, however, that this statement is insufficient to disclose the harmful potentialities of the preparations. Moreover, the statement appears only on the labels of the preparations and does not appear in respondents' advertisements. Many of respondents' sales are made through the mails, and the purchasers have no opportunity to observe such statement until after tJ1ey have received the preparations.

PAR. 8. In support of their claims that their preparations do not possess the harmful and dangerous potentialities referred to above, the respondents introduced in evidence, in addition to the testim~nY of certain expert witnesses, the .results of certain experiments per· formed on rats and :r;abbits. It is questionable, however, whether the number of animals used in the experiments was sufficient to afford a substantial scientific basis for the conclusions contended for by re· spondents. Moreover, in certain of the tests, the results tend to. con· firm the opinions of the experts. introduced by the Commission as to the toxic properties of the preparations. It is doubtful also whether these experiments can be accepted as a positive indication of the effect of the preparations on human beings, there being substantial differ· ences in the degrees of susceptibility of animals and human being~· The Commission therefore finds that while these animal experiments may be to a limited degree incijcative of the effects produced by respondents' preparations, the experiments are inconclusive and do not afford a substantial basis for respondents' claims. Their pro· bative value is insufficient to overcome the testimony of the expert . witnesses testifying at the instance of the Commission, among whoJU were outstanding authorities on pharmacology, toxicology, gyne· cology, and obstetrics.

PAn. 9. While the drugs which constitute the active ingredients of respondents' preparations possess emmenagogue properties, such drugs are not competent or effective treatments for delayed men· ~truation, nor are they recommended by physicians generally. In those exceptional cases in which some of the drugs may be used by MARTHA BEASLEY ASSOCIATES 1359 1352 Order Physicians, they are used only after careful diagnosis and under the supervision of the physician.

PAn. 10. The Commission therefore finds that the representations of the respondents with respect to their preparations are misleading and deceptive, and constitute false advertisements. The Commission finds also that respondents' advertisements. are :false :for the :further ~reason that they fail to reveal that the use of respondents' preparations under the conditions prescribed in such advertisements, or under ~u?h conditions as are customary or usual, may result in serious 111Jury to the health of the user.

Pan. 11. The Commission finds that the use by the respondents of such false adve1tisements has the tendency and capacity to mislead and deceive a substantial portion of the purchasing public into the erroneous and mistaken belief that respondents' preparations possess therapputic values which they do not in fact possess, and that such Preparations are safe :for use, when such is not the fact, and the tendency and capacity to cause such portion of the public to purchase substantial quantities of respondents' preparations as a result of such belief.

CONCLUSION The acts and practices of the respondents as herein found are all to the prejudice of the public, and constitute unfair and deceptive acts and practices in commerce within the intent and meaning of the Federal Trade Commission Act.

ORDER TO CEASE AND DESIST . This proceeding having been heard by the Federal Trade Commis- Sion upon the complaint of the Commission, the answer of the respondents, testimony, and other evidence taken before 'William C. 'Reeves, trial examiner of the Commission theretofore duly designated by it, in support of and in opposition to the allegations of the com- Plaint, report of the trial examiner upon the evidence, briefs in support of and in opposition to the complaint, and oral argument; · nnd the Commission having made its .findings as to the facts and its ronclusion that the respondents have violated the provisions of the Federal Trade Commission Act.

It is ordered, That the respondents, J. V. Cordes and Mrs. J. H. Cordes, individually and trading as .Martha Beasley Associates, or trading under any other name, and respondents' representatives, agents, and employees, directly or through any corporate or other device, in connection with the offering for sale, sale, or distribution of their medicinal preparations designated as "Martha lleaslcy's Com- Order 33F. T. C.

pound Formula No.2" ~nd "Martha Beasley's Compound Formula No. 3," or any preparations of substantially similar composition or pos· sessing substantially similar properties, whether sold tinder the same names or under any other names, do forthwith cease and desist front directly or indirectly:

1. Disseminating or causing to be disseminated any advertisement (a) by means of the United States mails' or (b) by any means in c~Jll· merce, as "commerce" is defined in the Federal Trade Commission Act, which advertisement represents, directly or by implication, that said preparations constitute competent or effective treatments for delayed menstruation; that said preparations are recommended .bY physicians generally; that said preparations are safe for use; or which advertisement fails to reveal that the use of said preparations rnay cause gastrointestinal disturbances and excessive congestion and hem· orrhage of the pelvic organs, and in the case of pregnancy may cause uterine infection and blood poisoning. · 2. Disseminating or causing to be disseminated any advertisement by any means for the purpose of inducing, or which is likely t?, induce directly or indirectly, the purchase in commerce as "commerce is defined in the Federal Trade Commission Act, of said preparatio~s, which advertisement contains any of the representations prohibited 1n paragraph 1 hereof, or which fails to reveal that the use of said prep· arations may cause gastrointestinal disturbances and excessive congestion and hemorrhage of the pelvic organs, and in the case of pregnancy may cause uterine infection and blood poisoning. It is fu;ther ordered, That the respondents shall, within 10 days after service upon them of this order file with the Commission an interim z:eport in writing, stating whether they intend to comply with this order and, if so, the manner and form in which they inter1d to co~ ply; and that within GO d.ays after service upon them of this ~r?e:, Sahl respondents shall file With the Commission a report in wntlD.,, se~ting !orth .in detail the manner and form in which they have corn· phed with tlus order.

PERFECT VOICE INSTITUTE, ET AL. 1361 Syllabus