A. P. W. Paper Company, Inc.

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

In THE MATTER OF A. P. W. PAPER COMPANY, INC.

MODIFIED CEASE AND DESIST ORDDR?! Docket 4747. Order, Dec. 18, 1947 Order, following remand to the Commission by the Circuit Court of Appeals for the Second Circuit on April 16, 1947, to consider the desirability of modifying the modified order entered by the Commission on August 12, 1946, 43 F. T. C. 70; and following stipulation entered into between the associate general counsel of the Commission, and respondent, etc., as hereinbelow set out— Modifying the aforesaid modified order, so as to prohibit respondent, its officers, ete., in connection with the offer, etc., of respondent’s toilet tissue and paper towels in commerce, from using, subject to the permissible limits prescribed by the statutes specified, the words “Red Cross,” etc., on its products, or using said words or said mark in selling or advertising the same, unless subject to clarifying and explanatory matter as below set forth. Before Mr. Miles J. Furnas, trial examiner.

Mr. Marshall Morgan for the Commission.

Sullivan & Cromwell, of New York City, for respondent. Mobpirtep Orprr To CEASE AND DgsIst This matter having been remanded to the Federal Trade Commission by the Circuit Court of Appeals for the Second Circuit on April 16, 1947, to consider the desirability of modifying the modified order entered by the Commission herein on August 12, 1946; and a stipulation having been entered into by and between Walter B. Wooden, associate general counsel of the Federal Trade Commission and the respondent, A. P. W. Paper Co., Inc., providing that subject to the approval of the Federal Trade Commission, the following modified order, prepared and agreed upon with due notice to and in pursuance of conferences and collaboration had with respondent herein may be entered and issued by the Commission in this proceeding, and be thereafter duly served upon respondents and the Commission also 1 The original findings and cease and desist orders, made as of January 7, 1944, were reported in 38 F, T. C. 1. Said order was reversed by the Circuit Court of Appeals on May 17, 1945, in A. P. W. Paper Co., Inc., v. Federal Trade Commission (149 F, (2d) 424, 40 F. T. C. 921), and the case remanded to the Commission, following the holding of the court that the order went beyond permissible limits in forbidding any use of the words and mark. On petition for certiorari, the Supreme Court, on May 6, 1946, in Federal Trade Commission v. A. P. W. Paper Co., Inc. (828 U. S. 193), with the case before it, held, that without undertaking to prescribe the order which the Commission should enter, it could not, under the facts of the case, absolutely forbid the use of the words and the symbol by respondent.

Order * 44ewc having taken into account all the proceedings had in the matter preceding its remand as above stated:

It is ordered, That the said stipulation be approved, accepted, and filed.

It is further ordered, That the respondent, A. P. W. Paper Co., Inc., a corporation, and its officers, representatives, and employees, directly or through any corporate device, in connection with the offering for sale, sale and distribution of respondent’s toilet tissues and paper towels in commerce as “commerce” is defined in the Federal Trade Commission Act, do forthwith cease and desist from : Using (subject to the permissible limits prescribed by the act. of January 5, 1905, as amended by sec. 4 of the act of June 23, 1910) the words “Red Cross’ or any abbreviation or simulation thereof, or the mark of a Greek red cross or any other mark, emblem, sign, or insignia simulating a Greek red cross, on respondent’s products, or using said words or said mark in selling or advertising the same} (a) Unless respondent uses upon the label, whether on the wrapper or the carton, and with equal clearness and conspicuousness In immediate conjunction with said words or said mark, the legend, “This product has no connection whatsoever with American National Red Cross”: Provided, That if said words or said mark appear on more than one side of respondent’s wrapper or carton, respondent shall use said legend, as aforesaid, on each such side, and the forms of labels _ shown in exhibits A and B hereto annexed are approved as illustrative of this order and as complying with its provisions; and (6) Unless respondent, in each of its written advertisements containing said words or said mark uses the said legend with equal clearness and conspicuousness; provided that if an advertisement covers more than one page, respondent shall use said legend as aforesaid on each and every page on which said words or said mark shall appear; and (c) Unless respondent, in each of its radio advertisements containing said words or said mark, makes the statement contained in said legend with equal clearness and conspicuousness. ; It is further ordered, That anything herein to the contrary notwithstanding, respondent may continue to use the labels for paper towels that were already printed on August 12, 1946, as compliance with the provisions of the aforesaid paragraph (a), until such labels are exhausted.

I tis further ordered, That the respondent shall, within 60 days after service upon it of this order, file with the Commission a report in A. P. W. PAPER CO., INC. 303 a ’ Exhibit writing setting forth in detail the manner and form in which it is complying with this order.

TRADE MARK REGISTERED IM U S PATENT OFFICE rS) Zz Red Cross > worn = TRADE MARK REG. U. S PAT. OFF. pesos2, <> ew 228358 bidHy 823etiesOZ Pp Pw S83 922 Caoaoe UGCAtheeineYeier ies + i Ooae a aoawe, aq5 T THIS PRODUCT HAS NO CONNECTION WHATSOEVER WITH THE AMERICAN NATIONAL RED CROSS EXHIBIT A 789940—_50——23 Exhibit a 44¥.T.C, I50 TOWELS TRADE MARK REOISTEREO In U.S PATENT OFFICE Rep Cross TOWELS TRADE MARK REG. U.S, PAT. OFF, I6vELSACFW11S190INWavWo1440LeetiveMI KITCHEN BATH NURSERY GARAGE Trode Marks RED CROSS ond A, P. W. registered STIMOL* U, S, Patent Offlee by A.P.W. PRODUCTS COMPANY, INC.

ALBANY, N.Y.

THIS PRODUCT HAS NO CONNECTION WHATSOEVER WITH THE AMERICAN NATIONAL RED CROSS EXHIBIT B MARKUS-CAMPBELL CO. ET AL. 305 Syllabus