P. Lorillard Co.

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

In THE MATTER OF P, LORILLARD CO.

Modified Cease and Desist Order Docket 4922. Order, May 24, 1950 Order modifying prior cease and desist order issued on March 31, 1950, 46 F. T. C. 734 at 752—which prohibited respondent from misrepresenting the qualities cr properties, etc., of its Beech-Nut, Sensation, or Old Gold cigarettes, or of its Friends smoking tobacco, or the smoke therefrom—so as to provide that nothing in the order with respect to respondent’s Beech-Nut cigarettes, or cther cigarettes of substantially the same length, shall be construed to pronibit it from representing “that during the time the extra length of anysuch cigarette is being smoked the smoke therefrom will contain less irritating properties and will be cooler than the smoke from standard length cigarettes”; and in certain other respects as below set forth. Before Mr. Webster Ballinger, trial examiner. Mr. John R. Phillips, Jr. for the Commission. Perkins, Daniels & Perkins, of New York City, and Bingham, Colcins, Porter &: Kistler, of Washington, D. C., for respondent. MODIFIED ORDER TO CEASE AND DESIST This proceeding was heard by the Federal Trade Commission upon the complaint, answer of the respondents, testimony, and other evidence taken before trial examiners of the Commission theretofore duly designated by it, recommended decision of the trial examiner and exceptions filed thereto by counsel supporting the complaint, and brief of counsel supporting the complaint. (no brief having been filed by counsel for respondent and oral argument not having been requested), and the Commission, having considered the matter, made and issued its findings as to the facts, conclusion, and order to cease and desist on March 81, 1950.

Thereafter the Commission, acting upon its own motion, reconsidered the matter and on May 12, 1950, issued its rules to show cause why said order to cease and desist should not be modified to read as set forth therein. In response to said rule to show cause, counsel supporting the complaint filed a statement acquiescing in the proposed modification and respondent, by its counsel, filed a statement containing additional proposals for modifying said order to cease and desist; and the Commission having considered such additional proposals and having rejected same for the reason that an order to cease and desist embodying such proposals would not adequately protect the public against a continuation or resumption of the practices found to be unfair and deceptive, and being of the opinion that the order to cease and desist heretofore issued in this proceeding should be modified in the respects set forth in said rule to show cause: Modified Order 46 F, T. C.

Now, therefore, it is ordered, That said order to cease and desist be, and the same hereby is, modified to read as follows: “It is ordered, That the respondent, P. Lorillard Co., a corporation, and its officers, representatives, agents, and employees, directly or through any corporate or other device, in or in connection with the offering for sale, sale, and distribution in commerce, as ‘commerce’ is defined in the Federal Trade Commission Act, of its products Beech- Nut cigarettes, Sensation cigarettes, Old Gold cigarettes, and Friends smoking tobacco, do forthwith cease and desist from representing by ‘any means, directly or indirectly:

“(1) That Beech-Nut cigarettes, or any other cigarette composed of substantially the same blend of tobaccos, or the smoke therefrom, will not harm or irritate the throat, or will provide any defense against throat irritation; or that the extra length of Beech-Nut cigarettes, or of any other cigarette of substantially the same length, will filter out or eliminate the harmful properties in the smoke from such cigarettes or will cause the smoke from such cigarettes to be cooler than the smoke from cigarettes of standard length; Provided, however, That nothing herein shall be construed to prohibit the respondent from representing that during the time the extra length of any such cigarette is being smoked the smoke therefrom will contain less irritating properties and will be cooler than the smoke from standard length cigarettes; “(2) That Sensation cigarettes, or any other cigarette composed of substantially the same blend of tobaccos, are made of extra-choice imported and domestic tobaccos, or are top quality cigarettes, or are made from the finest tobacco that can be bought; “(3) That Old Gold cigarettes or the smoke therefrom contains less nicotine, or less tars and resins, or is less irritating to the throat than the cigarettes or the smoke therefrom of any of the six other leading brands of cigarettes; or “(4) That Friends smoking tobacco, or any other smoking tobacco manufactured in substantially the same manner, is rum-cured, or that the process by which a rum flavoring is added to such tobacco enriches the tobacco or causes the smoke therefrom to be any less irritating to the throat or any cooler than if such rum flavoring were not added; or that the smoke from Friends smoking tobacco, or from any other smoking tobacco composed of substantially the same blend of tobaccos, will not irritate the mouth or throat of a smoker, or is cool, or is free from bite, burn, or harshness.

“It is further ordered, That respondent shall, within 60 days after service upon it of this order, file with the Commission a report in writing, setting forth in detail the manner and form in which it has complied with this order.”

WESTERN BATT & BEDDING CO., INC., ET AL. 855 Complaint