Irene Johnston, Inc

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IN Tile 1\IAT'J'ER OF PEGGIE MORAN COMPANY, INC., AND IRENE JOHNSTON, INC. ' I COl\II•LADIT, FINDI:-IGS, AND ORDER IN REGARD TO THE ALLEGED YIOL.\TION Ol•' SEC. fi OF AN ACT OF CONGRESS AI'PROVED SEPT. 26, 1914 Doclcet H15. Complamt, Dec. 13, 19.~0-Dedsion, July i, 1942 II,.

Where two corporations, engflged In the interstate sale and dlstribution-rrlncipally to retail uealers, including department stores, drug stores, and beauty Shops-of "Peggie Moran Savon" reducing soap, which the second, 11Iso operating a beauty shop, pUI'chased from the first; iActtng In conjunction with each other and following a plan of cooperative llt!vertfslng pursued by said first corporation under which It assisted its customers In the advertisement of said product, supplying advertising circulars and leaflets for distribution, paying a portion of the cost of a<lvertislng through »Bowing discounts on dealers' Invoices upon the submission by the draler of a tear sheet showing the newspaper advertisement, supplying its dealers with mats and copies for their use In newspaper advertising, and assisting them In the preparation of other newspaper ndvertlsementsnepre~ented, through extensive advertisement of said soap by means of circulars and leaflets distributed among the public, and through advertisements Inserted in Los Angeles newspapers of wide circulation in California and other States, directly or by implication, that their soap was an effective t'educing agent through the use of which,h excessive flesh or fat could be removed from the body or from any particular portion or area "thereof; 'I'he facts being said soap was Incapable of affecting the size or weight of the body; while Bentonite clay-the only ingredient therein for whlth they 'claimed any reducing properties-might, because of its hygt•oscoplc action ot· affinity for water, withllraw small amounts thereof from the body through the skin, such amounts· would be- negligible; and any such hygroscnplc action would also be materially lessened by re1_1son of the substantial quantities of Water used in manufacture of the soap· and prfpnrution of the lu.tht;>t' that·e,froru;

With tenuency and capacity to mislead and deceive a substantial portion of the Purchasing public Into the mistaken belief that said soap possessed reducing Properties and values, that·eby Inducing it to purchase substantial quantities that·eof · 1 .

lela, That such acts und practices, under the circumstances set forth, were all to the prejudice of the public, and constituted unfair and deceptive acts and practices In commerce.

As respects the validity of claims in behalf of a .soap represented as capable of and effective for reducing the body or certain parts thereof tht•ough use in bathing, hy reason of the Bentonite clay included therein, with its hygroscopic properties or affinity for water, testimony offet·ed in support of such claims by Witne!'lses to the effect that they had obtained satisfactory results therefrom was Insufficient to overcome Jhe expert testimony that the soap was incapable, Complaint 35F. T. C.

through said pr·operties or otherwise, of aft'acting the size or weight of the body; it appearing that other users had testified that they had experienced no reduction and that some of those who testified to a reduction In weight following the use o! the soap had been contemporaneously dieting, Before Mr. Edward E. Reardon, trial examiner. Mr. Morton Nesmith and Mr. ]l,f erle P. Lyon for the Commission. Mr. J ohri F. Roberts, of Los Angeles, Calif., for respondents. · Complaint Pursuant to the provisions of the Federal TrH;de Commission Act and by virtue of the authority vested in it by said act, the Federal Trade Commission having reason to believe that Peggie :Moran Co., Inc., a corporation, and Irene Johnston, Inc., a corporation, herein· after 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: PARAGRAPH 1. Respondent, Peggie Moran Co., Inc., is a corporation organized, existing, and doing business under and by virtue of the laws of the State of California, with its principal office and place of business located at 1729%, North Wilcox Avenue in the city of Holly· wood, State of California.

Respondent, Irene Johnston, Inc., is a corporation organized, existing, and doing business under and by virtue of the laws of the State of California, with its principal place of business located at Suite 207, 811 West Seventh Street, in the city of Los Angeles, State . of California.

PAR. 2. Said respondent, Peggie Moran Co., Inc., is now and for more than 2 years last past has been engaged in the sale and distribution of a soap product, which it is claimed possesses reducing propertics, and which is currently sold under the trade name "Peggie Moran Savon." This product was formerly designated and sold under the name o~ "Peggie Moran Deluxus." Said respondent causes said product to be made up or manufactured for it on special order according to its own formula: Said respondent caus.es said product, when sold by it, to be transported from its place of busin~ss in Hollywood, Calif., to purchasers thereof located in various States of the United States other than the State of Califqrnia, and in the District of Columbia. Said respondent maintains and at all times mentioned herein has maintained a course of trade in said product in commerce between and among the various States of the United States and in the District of Columbia.

PEGGI'E MORAN CO., INC., Ell' AL. 29 27 Complaint The respondent, Irene Johnston, Inc.; operates a permanent-wave and beauty salon, and in connection with this business distributes and sells said product kown as "Peggie Moran Savon'.' and formerly sold and distributed as "Peggie Moran Deluxus," purchased from Peggie Moran Co., Inc., This rc8ponuent; likewise, causes said product, when sold by it, to be transported frmi1 its said place of business in Los Angeles, Calif., to purchasers thereof located in various States 'of the United States other than the State of California, and in the District of Columbia. This respondent maintains and at all.times mentioned herein has maintained· a course of trade in said product in commerce between and ·among the various States of the United States and in the. District of Columbia.

Said respondents have cooperated each with the other in the saler and distribution of said product in said comme~·ce. PAn. 3. In the course and conduct of their aforesaid business the responden~s have disseminated and are now disseminating and have . caused and are now'causing the dissemination of false advertisements . concerning said product known as "Peggie Moran Deluxus" and "Peggif· 1\Ioran Savon" by imert'ion in newspapers having a general circulation, all of which are distributed in commerce 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 inducing, and which are likely to induce, • directly or indirectly, the purchase of said product and have disseminated and are now disseminating and have caused ·and are now causing the dissemination of false advertisements concerning said product by various means, for the purpose of inducing and which are tirely · · to induce, directly or indirectly, the purchase of said product in comlnerce as commerce is defined in the Federal Trade Commission Act. Among and typical of the false statements and representations contaimid in said advertisements disseminated and caused to be .disseminated as aforesaid are the following:

I GAVE MYSELF A ~EW FIGUHE (Picture of Mrs. 1\Iay B. Come In to•luy nntl gPt my tit·cnlar with true Moran, president of respond- and remarlmhle stot·lps of· what some women fnt Peggie Moran 'Co., Inc., have done with SAVON-:-giving to ·themselves before using · Peggie Moran new contnurs nnrl trimmPr lines-truly "new ~llVon). figures fot• oitl"-ntldlug charm and gracefulness where bulging lines had manf'<J their attraetiveness.

( Pictlll"e of same ·person 1\Iany drugs taken to reduce are often danafter using Peggie 1\Ioran gerous to' health: DiPtlng and violent exercise S1n·on, showing marked re- nre not always ad,•lsuble. \Vomen who have 50!l7 4!>'"-43-vul. 35 ~-i:i Con1plaint 35 F. T. C. t duction in size, stature and used SA VON have not resorted to any of these. t weight.) Yet we have on file unsolicited letters froiJI \ women who say THEY HAVE CUT DOWN TilJ.IJ I MEASUREMENTS OF THEIR HIPS, LEGS. ! ANKLES, WAIST, BUST, NECK and AHl\fS.I Among my personal acquaintances I have seen ! a wonderful change. I know what it bas done I for me. One can not read these letters and l actually see the changes In the figures of SA VON' ! users without MARVELLING at what has taken 1 ~~ . ' I As you read these letters and see these pic·j tures you will realize why, to me,' SA VON means 1 a NEW ERA FOR WOl\IE~ with those em· I ' barrassing bulges who have found it impossible l to wear the clothes every woman desires. l 1 My records-filed with my. own physician-show my measurements before-and after-I started applying SA VON.

DATE HIPS WAIST NECK BUST . 4/1/38 M « ~% w 9/6/39 43 3,4 121,-2 41 I I want you to use SA VON with the full knowledge of what it really Is-a way ~ I other women and I have trimmed Inches from bulging curves. I hope SA VON' wlll bring to YOU the same gratifying pleasure and delight It has to me-- 11 and to those whose letters are repr(f(]uced in my circular. • (Dealer's signature and address) • • • • • • • I GAVE MYSELF A NEW FIGUUE ! I (Picture of Mt·s. Charlotte Actual photographs of the woman who wrote \' Russell, Bishop, Calif., or 8227 the letter below. From her new figure Miss R. , Kirkwood Dr. , Hollywood, gets genuine pleasure Increased by the innet' 1 Calif., after u s I n g Peggie feeling we all get when we realize we are 1 Moran Sa von, showing marked "bettet: looking" and can pick and wear styles ) reduction In size and weight.) in clothes we formerly hesitated to even try on. I There 'is nothing in SA VON wb\eh by any t medical or scientific actions, should act as a "reducer,"'yet women say they have given them· selves new contours and trimmer lines, truly "new figures for old" I "Dear Mrs. Moran :

I want so very much to let you know bow (Picture. of Mrs. Charlotte wry happy I am over the loss of inches, after Russell, before using Peggie the use of Peggie Moran SAVON. Moran Savon.) I started using SA VON September 21, 1938; my measurements were HIPS WAIST BUST UPPER ARJ\1 42 ln. · 31 in. 37 ln. 13 in.

PEGGI'E MORAN CO., INC., ET AL, 31 27 Complaint My measurements today, September 14, 1939, are: HIPS WAIST Bust upper ARM 38. in. 26% in. 33 in. 10 in.

It Is so easy and pleasant to use. With time you will really get the inches ott that you desire.

Miss C. R." · (Dealet·'s signature and adtlrei"s) REDUCE SAFELY • • • with Peggy 1\Iot·an Retlucer, believe It or not "A Soap." Its magic 1 &ther reduces superfluous flesh. No special diet or strenuous exercise, live sensibly. The results of this simple treatment will amaze you. One month's daily use of this non-irritating lather proves its efficiency. $2 per bar. 1\Iall orders invited.

ITIENE JOHNSTON 5th Floor 811 W. 7th St.

TUcker 9487 • • • • • • • REDUCE-SAFELY PEGGIE MORAN REDUCER A Soap It washes away excess pounds, causes superfluous flesh to disappear. ' . Remember-- :No medicine, no diet, no strenuous exercise, it takes only a few minutes daily. . $2.00 1\Iail Orders Invitetl Irene Johnston 5th Floor, 811 W. 7th St.

TUcker !=l487 • • • • • • • WANT TO REDUCE?.

:No diet! No exercise I Use PPggy l\Iot'tln soapy lather on fatty spots a few tnlnutes daily at home, Easy! Quick! Sane I The results w111 amaze you. .A.sk us about Peggy Moran Deluxus at $2 ppr bar. 1\lail orders invited .. IRENE JOHNSTON 5th Floor 811 W. 7th St .

• • • • • ... .. STREAl\ILINE YOUR FIGURE WITHOUT strenuous EXEUCISE or DIET I Use Peggie 1\Ioran's soapy lather a few spare minutes dally on fatty spots~ . n the privacy of your home, the results of this simple treatment wlll amaze :Vou. 'Vomen who ha,·e used Snvon sny they have cut down the measurements I .32 FEDERAL TRADE COMMISSION DE,CJSIONS ( 'omplalut 3;) F. T. C. 'Of theil· hips, legs, ankles, bust, neck and arms. Easy to apply. PEGGIE MORAN'S SA VOX (Picture of a cake of soap) $1 Regular $2.00 Cake SPECIAL PRICE During August only Phone Tu. 9487 or Mail This Coupon Today IRENE JOHNSTON, 2nd Floor, 811 W. 7th St., L. A. Piea~e send me _____ _ Cakes Peggy Moran's SAVON ______ cash enclosed ________ c. o. d. Name-------------~----------------------- Add ress ______ ------------- _________ ------- City _---- --------------·---~----~--------- • • • * • • "I ga\•e myself a new figure'' is the boast of hundreds of womPn ,who bare used Peggie Moran's way to slenderness. Peggy Moran Savon, applied nightly· will assist in changing your figure to the ru·oportlons you desire. At drug and depat·tment stores.

Peggie Moran's Sa von, mineral clay soap to help you ue trimmer! "New figures fot· old" is the watchwork of Peggie lii01·an's pine scented SA VON! It you're concerned about bulging lines, you'll lik(' tht> hE>lp this soap offers. Apply nightly.

Cake------------------------------------------------------------------~2.00 (Picture of slender woman) HOBINSONS' (J. W. Robinson Co., 7th Street at Grand Avenue, Los Angeles, Calif.) • • • • • • "I GAVE MYSELF A NEW FiGURF.'' PEGGY MORAN ( Pictu1·e of Peggie" 1\Ioran, Tlli~ true and remarkable sto1·y of what some president of respondent, before wom<'n have done with SA VON-giving to thelll· using Peggie Moran Savon.) -selves new contours and trimmer Iines-tt·uly (Plctui'e ot some person after' NEW FIGURES FOR OLD-adding chat·m and using Pt'~~le l\Ioran Saron, gt·acPfulnes>~ where BEFORE bulf!lng Jines had l'lhowln.~ marke<] reduction in mnrrefl their attractlvene!'ls. size, !'ltnture, and weight.)· SCIENCE AND 1\IEDICINE SAY "IT CAN'T HAPPEN"--'-BUT IS HAS- AND I DON'T KNOW Wily! (l'idure of Pt•ggie )loran.) Two years ago I was exces~ively o,·erweig)lt. lily physician would not allow me to diet ot' e~erclse, but with his consent, I expet·lmented with various comlJinntion of soaps-and at last discovered SA VON.

I 'lltere 18 notllin~ in SA VOX which, by any medical or scie~tiflc action, should att as a "rrouct'l'." Yet as I continued to use it, friends and bu!liness associates ' PEGGIE MORAN CO., INC., ET AL. 33 27 Complaint noticed the improvement in my figure and asked for samples of SA VON. They came back with enthusiastic reports of what SA VON had done for them. The demand grew and voluntary publicity directed other women to me. Many drugs taken to reduce are often dangerous to health. Dieting and "lolent exercise are not always advisable .. Women who have used SA VON have not resorted to any of these. Yet we have on file unsolicited letters from Women in various parts of the country who say THEY HAVE CUT DOWN 'rue MEASUREMENTS OF TIIEIU HIPS, LEGS, ANKLES, WAIST, BUST, ~ECK and ARMS. Among my personal acquaintances I have seen a wonderful change. I know what it bas done for me. One cannot read these letters and actually see' the changes In the figures of SA YON users without MARVELLING at What has taken place. · . • • • • • . " . All of said statements, together with other statements of similar ltnport and meaning appearing in respondents' advertising literature, Pttrport to be descriptive of respondents' product and of its effectiveness in use. In all of said advertising literature respondents directly, through the statements and representations herein Eet out and through other statements and representations of like and similar import and effect, represent, and have represented, that the product fonm~rly known as "Peggie Moran Deluxus" and currently known as "Peggie :h!oran Sa von," was and is, in fact, a reducing soap and that the application of said soap to the fatty portions of the body will cut down·the 111easurements thereof and will cause one to reduce at those portions 0 ~ the body where applied; will cause one to become slendf;'r; that it, "'~11 "wash away" pounds and cause superfluous flesh to disappellr . • "'ithout resort to a diet or exercise, and that it will give one a new figure. .

~AR, 4. Tlle represent!ltions made by the respon:dents and the implications therefrom as to the nature and effectiveness of said product, nr~ false, misleading, and deceptive, and greatly exceed those which 11llght truthfully be made for said preparation. In truth and in fact th.e use of said produjt will not rid the body of any excess fat; its use '"~ll not "wash away pounds and cause superfluous flesh to disappear. \\'lthout resort to a diet or exercise; .its use· will not give one a new· figure nor cause' one to become slender. It does not contain or possess any reducing properties or ingredients. - PAn. 5. The use by the respondents of the foregoing fabe, deceptive, and misleading s.tatements, representations, and advertisements, disselrtinated as aforesaid with respect to said product "Peggie Moran beluxus" and "Peggie Moran Sa von," has had and now has the capacity llnd tendency to mislead and deceive n substantial portion of the purchasing public into the erroneous and mistaken belief that such false ~tatements; representations, ana adnrtisements ure true, and that 34 FEDERAL TRADE COC\UIISSIOX DE.CISIONS Findings 35F. T. C.

respondents' said product is in fact a reducing agent; that it will rid the body of excess fat; that it will "wash away" pounds and cause superfluous flesh to disappear without resort to a diet or exercise; that it wiil give one a new figure and cause one to become slender, and 1 that it possesses reducing properties or contains reducing ingredients;! and causes a portion of the purchasing public, because of said errone· ! ous and mistaken be]ief so engenderetl, to purchase said product. II PAR. 6. The aforesaid acts and practices of the respondents, as herein ~alleged, 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. REPORT, FINDINGS .\s TO THE Facts, .\XD Onder Pursuant to the provisions of the Federal Trade Commission Act, · the Federal Trade Commission, on December 13, 1940, issued and sub·. sequently served its complaint in this proceeding upon the respondents, 1· Peggie Moran Co., Inc., a corporation, and Irene Johnston, Inc., II corporation, charging them with the use of unfair and deceptive ads and practices in commerce in violation of the prodsions of that act. After the filing of respondents' answers, testimony, and other evidence ·in support of the allegations of the complaint were introduced by the attorney for the Commission, and in opposition thereto by the attorney for one of the respondents, before a trial examiner of the Commissioll . theretofore duly designated by it, which testimony and other evidence were duly recorded and filed in the office of the Commission. There· after, the proceeding regularly came on. for final hearing before tho Commission on the' complaint, the answers of the respondents; testi· mony, and other evide1ice, report of the trial examiner upon the evi· dence imd the exce.ptions to such report, and brief in support of the complaint (no brief having been filed by respondents and oral argtl' ntt>nt not having been requested) ; and the Con;mission, having duly · considered the matter 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. Uespondent, Peggie Moran Co., Inc., is a corporatiol1 organized and existing under the laws of the State of California, :with its principal office and place of business at li29% North Wilcox Ave· nue, Hollywood, Calif.

PEGGI'E MORAN CO., INC., ET AL, 35 27 Findings Respondent, Irene Johnston, Inc., is a corporation organized and ex:isting under the laws of the State of California, with its principal office and place of business at 811 "\Vest Seventh Street, Los Angeles, Calif. , • PAR. 2. Respondent, Peggie Moran Co., Inc., has since January ~939 been engaged in the sale and distribution of a cosmetic product In the form of a soap, intended for use in the removal of excess flesh from the human body. .The soap was formerly designated as "Peggie Moran Deluxus" and as "Peggie Moran Reducer," but the name was later changed to "Peggie Moran Sa von."

Respondent, Irene Johnston, Inc., is engaged in the operation of a ?beauty shop, and in connection with this business it has also engaged ~n t?e sale and distribution of the soap referred to above, such soap aving been purchased by it from Peggie Moran Co., Inc. In the course and .conduct of their businesses the respondents have caused the soap, when sold by them, to be transported from their flaces of business in the State of California to purchasers thereof ocated in various other States of the United States. The respondents have maintained a course of trade in the soap in commerce among and between the various States of the United States. The· record indicates that the respondents have discontinued the sale of the product since this proceeding was instituted. PAR. 3. The Peggie Moran Co., Inc., sold its soap principally to retail dealers, including department stores, drug stores, and beauty shops, and for the purpose of promoting the resale of the soap by its customers to the public it has assisted its customers in advertising the· soap. Advertising circulars and leaflets have been supplied to deale~~ for distribution to the public. To encourage newspaper advertising, the company has also followed the practice of paying a portion of the cost of such advertising, such payment being made by means ~~ c:Jiscounts allowed dealers on their invoices. Before allowing such lscounts, the company has required that t~e dealer submit a tear sheet of the newspaper showing the advertisement. The company has not only supplied its dealers with mats and copy for use in news- :Pa~er advertising, but through its advertising manager has ·also assisted its dealers from time to time in the preparation of other news- Paper advertisements.

i . Following this plan of cooperative advertising, the respopdents, act- 1 l~g in conjunction with each other, have advertised the soap exten- 1 Sively both by means of circulars and leaflets distributed among the :Public, and by means of advertisements inserted in Los Angeles news-I1. :Papers having a wide circulation not only in the State of California 36 FEDERAL TRADE COMMISSIO:X DE,CISIO~S Finding:; 35F. T.c.· 1 but in other States. as well. Among and typical of the statements 1 appearing in the advertisements were the following: · I GAVE MYSELI~ A NEW FIGURE• Come in today and get my circular with true and remarkable stories of what , some women have done with SA VON-giving to themselves new contours and · trimmer lines-truly "new ·figures for old"-adding charm and graeefulness ·where bulging lines has ·marred their nttraeth·eness. · Many drugs taken to reduce at·e often dangerous to health. Dieting and violent exercise are not always advisable. Women who have used SAVON have not resorted to any of these. Yet we have on file unsolicited letters frolll women who say THEY HAVE CUT. DOWN THE MEASUHEl\IE~TS OF THEIR HIPS, LEOS, ANKLES, WAIST, DUST, NECK and ARMS. Among my personal acquaintances I have seen a wonderful change. I know what it has .. done for me. One can not read these letters and actually 'see the chuuges in the figures of SA VON users without MARVELLING at what has taken place. As you read these letters and see these pictures yau wlll realize wby, to me, SA VON means a NEW ERA FOR WOl\IEN. with those embarrassing bulges wbo have found it Impossible to wear the clothes every woman desires. My records-ftled with my owi:t ·physician-show my measurements befot·e-and after-I star~ed applying SA VON.

DATE HIPS WAIST NECK BUST 4/1/38 48 44 13'h 50 9/6/39 43 84 12'h 41 I want you to use SA VON with the full knowledge of what it really is-a way. other women and I have trimmed inches from bulging curves. I hope SA VON will bring· to YOU the same grutifylng pleasure and deiight It has to me-and to those whose letters are reproduced in my cit·cular. (In connection with this reading matter there also appeared pictures ·of Mrs. May B. .Moran, president of the Peggie Moran Co., Inc., purporting to show reduction in size and weight remlting from the use of the soap.) . • • • • • • . I GAVE MYSELF A NEW FIGURE ·Actual photogt·aphs of the woman who wrote the letter' below. From ·Iter new figure Miss R. gets genuine pleasure Increased by the inner feeling we all get when we realize we are "better looking" and can pick and wear styles In clothes we formerly hesitated to even try on. There Is nothing in SA vo:N which~ by any medical or scientific action, should act as a "reducer," yet women say they have given themselves new contours and trimmer lines, truly ."ne« figures for old !" ' Dear 1\Irs. Moran:

I want so tery much to let you know how very happy I am over the loss ot Inches, after the use of Peggie ·Moran SA VON. ' I started using S'A VON September 21, 1938; my measurements were HIPS, WAIST BUST UPPER ARM 42 in. 31 ln. 37 ln. . 13 Jn.

PEGGI'E MORAN CO., INC., Ell' AL, 37 27 Findings My measurements today, September 14, 1939, are: HIPS WAIST BUST UPPER ARM 38 in. 26Y.a in. 33 in. 10 ln. · It Is so easy and pleasant to use. With time you will really get the inches ott that You desire.

Miss C. R.

(In connection with. this reading matter there also appear~d pict~res of the writer of the letter, purporting to show reduction in her size and weight resulting from the use of the soap.) * * * •. * * "' REDUCE SAFELY • • * with Peggy Moran Reducer, I.Jelieve it or not "A Soup." Its magic • lather reduces superfluous flesh. No speclnl diet or strenuous exercise, live sen- Sibly. The results of this simple treutmeut will amaze you. One month's du1Jy · Use of this non-irritating lather proves its efficiency. $2 per bur. Mali orders Invited.

REDUCE - SAFELY PEGGIE MORAN REDUCER A SOAP It washes away excess pounds, causes superfluous flesh to disappear. Remember- No medicine, no diet, no strenuous exercise, It takes only a few minutes dnlly, * • • * * * * WANT TO REDUCE? \ No diet I No exercise! Use Peggy Moran s6apy luther on fatty spots a few llllnutes dally at home. Easy! Quick! Sane! The results will amn:r.e you.' Ask lls about Peggy Moran Deluxus at $2 per bar. 1\IRII ordej•s Invited. · * * * • * *·.

STREAMLINE YOUR FIGURE' WITHOUT strenuous EXEHCISE or DIET 1 Use Peggie Moran's soapy lather a few spare minutes daily on fatty spots. ln the privacy of your home, the results of this simple treatment will amaze ~ou. Women who have used Savon say they have cut down the measurements of their hips, legs, ankles, bust, neck and arms. Eusy to apply. PEGGY MORAN'S EIAVQN'· . .

• ~ I ' • * • * "' * * Peggie Moran's Savon, mineral ('lay soap to help you be trilnmt>r! "New figures for old'' is the watchword of Peggie Moran's pi~e scented SA VON! lt You're concerned about I.Julglng lines, you'll like the help this soup offers. Apply nightly. ' • * * * * • • SCIENCE AND MEDICINE SAY IT CAN'T HAPPEN I - BUT IT HAS - AN~ I _DON'T KNOW WHY! Findings 35F. T._c.

Two years ago I was excessively overweight. My physician would not allo'~ me to diet nor exercise, but with his consent, I experimented with various com· bination of soaps-and at last discovered SA VON. • There ls nothing In SA VON which, by any medical or scientific action, should act as a "reducer." Yet as I continued to use it, friends and business associates 1 noticed the Improvement in my figure and asked for samples of SA VON. They came back with enthusiastic reports of what Savon hnd done for them. The demand grew and voluntary publicity directed other women to me. PAR. 4. Through the use of these advertisements and others of tt similar nature, the respondents represented, directly or .by implication, that their soap was an effective reducing agent and that through the use of the soap excess flesh or weight could be removed from the body and from any particular portion or area of the body. • PAR. 5. The soap was manufactured for the Peggie Moran Company, Inc., by a Los Angeles manufacturer according to a formula supplied by the Company. The formula was:

Bentonite clay--------------------------------- 35~ Pure soap------------------------------------- 42~ Oil of pine------------------------------------ 3~ Distilled water--------------------------------- 20~ The directions for the use of the soap were as follows: Before retiring, make a lather of Savon and apply either with the bands or a soft brush over desired parts of the body, RUBBING INTO THE SKIN FOR NO'f OVER FIVE MINUTES. Then apply another lather of Savon and allow to dry. In the morning take a warm bath or shower.

PAR. 6. The only ingredient.in th~ soap for which any reducing properties are claimed by respondents is the Bentonite clay. Bentonite clay is a common industrial clay consisting principally of silica and aluminum, but containing other chemical substances in minor proportions, the exact analysis depending upon the region from which the clay is obtained. The clay js used in industry principally as a bonding agent, being employed in the making of such products as emery wheels, glasses, and porcelains. It possesses hygroscopic properties to ·a slight degree; that is, it has an affinity for water and draws water to it. Because of its hygroscopic action the clay in respol).dents' soap might conceivably withdraw small amounts of water from the body through the skin, but such amounts would be so small as to be negligible. Moreover, the hygroscopic action of the clay would be materially less· ened by reason of the fact that substantial quantities of water are used both in the manufacture of the soap and in the preparation of the lather therefrom, with the result that the point of saturation of the clay might be reached or at least approached before the application of the lather to the body. The expert testimony in the record ~stablishes PEGGIE "MORAN CO., INC., Err AL. 39 27 Order t~at the soap is incapable, th~ough its hygroscopic properties or other- Wise, of affecting the size or weight of the body. PAR. 7. The respondents offered no expPrt testimony in support of their claims, but rest their case on the statements of certain witnefises Who testified that they had obtained satisfactory results from the use of the soap. Other users of the soap, however, testified that they had experienced no reduction in weight. It appears also that some of the Witnesses who testified to a reduction in weight following the use of the 8?ap had been observing a diet during the same period, and it is quest1_onable whether the reduction testified to by them was due to the dieting or to the use of the soap. After careful consideration of the ~testimony of these witnesses, the Commission is of the opinion that lt is insufficient to overcome the expert testimony in the record .. PAR. 8. The Commission therefore finds that the representations lh.ade by the respondents with respect to their product, us set forth in Paragraphs 3 and 4 hereof, were erroneous and misleading, and constituted false advertisements. · . P A.R. 9. The Commission further finds that the use by the responde~ts of these false advertisements had the tendency and capacity to lh.Mislead and deceive a substantial portion of the purchasing public into the erroneous and mistaken belief that respondents' product possessed Properties and values which it did not in fact possess, and the tendency and capacity to cause such portion of the public to purchase substantial quantities of respondents' product as a result of such erroneous and tnistaken belief.

CONCLUSION The acts and practices of the respondent as herein found are an to the prejudice of the public, and constitute unfair and deceptive ;cts and practices in commerce within the intent and meaning of the ecleral Trade Commission Act.

ORDER TO CEASE AND DESIST . This proceeding having been heard by the Federal Trade Commis- .81011 upon the complaint of the Commission, the answers of the respondents, testiniony and other evidence in support of the allegations ?f the complaint and in- opposition thereto, taken before a trial exam- Iner of the Commission theretofore duly designated by it, the report of the trial examiner upon the evidence and the exceptions to such ~eport, and brief·in support of the complaint (no brief having been led by respondents and oral argument not having been requested), and the Commission having made its findings as to the facts and its Order 35 F. T.C.

conclusion that the resp01idents have violated the provisions of the · I•'ederal Trade Commission Act.

· It i.s ordel·ed, That the respondents; Peggie Moran Co., Inc., n corporation, and Irene Johnston, Inc:, a corporation, and their officers, agents, representatives, and employees, directly or through any cor· porate or other device, in connection with the offering for sale~ sale, -j or distribution of respondents' cosmetic product designated "Peggie ! Moran Savon," or any other product of substantially similar composi· tion or possessing substantially similar properties, whether sold under the same name or any other name, do forthwith cease and desist frotn directly 01' indirectly:

1. Disseminating or causing to be disseminated any advertisement by means of the United States mails or by 1my means in commerce, as "commerce" is defined in the Federal Trade Commission Act, which advertisement represents, directly or by implica~ion, that respondents' product possesses any value in the removal of excess flesh or exces~ weight from the body or from any particular part or area of the body. 2. Disseminating or causing to be disseminated any advertisement by any means for the purpose of inducing, or which is likely to induce, directly or indir£>ctly, the purchase in commerce, as "commerce" is defined inthe Federal Trade Commission Act, of respondents' protl· uct, which advertisement contains any representation prohibited in paragraph 1 hereof. , : It is further'· ordered, That the respondent shall, within 60 days niter 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.

I '' THE CLIMAX CLEANER MFG. CO. 41 Cmuplaint