Advance Spectacle Company, Inc., et al.

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IN THE :Matter OF ADV AKCE SPECTACLE COMP A , I , ET AL. cox SENT ORDER, ETC. , IN REGARD TO THE ALI EGED VIOLATION OF THE FEDERAL TRDE C01.IlfISSION ACT Docket 6285. Complaint, Jan. 10, 1955-Dccision, May, 1955 Consent order requiring a Chicago firm to cease representing falsely in adver. tising that eyeglasses marle according to prescriptions furnished by sells. tomeI'S using its "14 LENS SAMPLE CARD" and other devices would COfrect defects in vision of all persons.

Before Jllr. Earl J. Ii alb hearing examiner. Jfr. Frederick J. M cJ! anus for the Commission. F1'oelich, Gros81nan, Teton& Tabin of Chicago, Ill. , for respondents. rPLAINT Pursuant. to 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 Advance Spectacle Company, Inc., a corporation and :l\ichael M. Egel, individually and as an offcer of Advance Spectacle Company, Inc., hereinafter referred to as respondents have violated the provisions 0-( t.he said Act, and it appearing to the Connnission 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 follmys:

P ARAGUAPH 1. Advance Spectacle Company, Inc., is a corporation organized) existing and doing business under' and by virtue of the la\vs of illeState of Illinois, ",with its place of business located at 537 South Dearborn Street, Chicago, Illinois. Individual respondent Michael J\1. Egel is president and treasurer of corporate respondent and formulates the policy of said corporation and directs, controls and puts into effect all of its acts and practices including those hereinafter referred to. His address is the SHIne as that of the corporate respondent.

m. 2. R.respondent.s arc now and for more than one year last past have been e,ngaged in the busincss of selling eye glasses and as an inducement or inst.rumentality in the saJe of said glasses make use of a certain device designated " 14 LENS S--\.MPLE CARl)" and other devices. Eye glasses are a device as "device" is defined in the Federal Trade Commission Act.

ADVA CE SPECTACLE CO. , INC., ET AL: 1217 1216 Complaint Respondents cause said devices, together with printed instructions Tor the use thereof, and an order blank upon which spaces are provided Tor the insertion 01 various measurements or figures obtained by the use or said devices, to be. transported from their place or business in the State of Illinois to prospective purchasers and eye gla.ses to the purchasers thereof located in various other States of the United States. Hespondents maintain, and at all times mentioned herein have maintained a course aT trade in said eye glasses in connection with the said "14 LEXIS SAMPLE CARD" and other devices and instructions for use. thereor in commerce, between and among the various States of the l7united States.

P AU. 3. In the course and conduct of their business, respondents have disseminated and caused tbe dissemination aT advertisements concerning said eye glasses a.nd o'f the devices referred io above; by United States mails and by various means in commerce as "commerce is defined in the Federal Trade Commission Act, including but not limited to advertisements inserted in nmvspapers and periodicals, and by means aT circulars and Iorm letters, for the purpose or inducing, and which \were likely to induce, directly or indirectly, the purchase of their said eye glasses; respondents have also disseminated and caused the dissemination of advertisements concerning their said eye glasses and the devices referred to above, including, but not limited to the advertisement media rererred to above, Tor the purpose of inducing and which "Were likely to induce, directly or indirectly, the purchase or their said eye glasses in COlrlmerCe as "commerce " is defined in the Federal Trade Commission ;\.ct. Among and typical or the statements and representations contained in the said advertisements ate the following: EYE GLASSES BY JHAIL As Low as $1.95 Where FOn x'ILEE CATALOG 'WITH 14 LE:\S SAl\IPLg CARD Thousands of Customers Est. 1830 Quality reafling :Jlagnifying (Pictorial representaor bifocal glasses for tion of Pair of Ulllsses) far and near.

A(lnmce Spectacle Company, Inc.

587 Sonth Dearborn Street.

Department SP- Chicago 5, Illnois EYE GLASSES BY MAIL low buy attractive creations in model' reading- magnifying or bifocal _____ 1218 F:DERAL 'fRAnE cmIMISSIOK DECISIONS Complaint 51 F. T. C.

glasses for far or near froin the oldest (Picture of established U. S. firm offering this glnsses) service) Thousands of customers coast to coast) 1Ve furnish 14-lens sample card with many combinations n" low as $1.85 SEND I"OH A'l" RACTIVE SEND XO )lONIDY! FREE catalog Styles 30 DAYS TRIAL! Al\IE_ S 'f' REET ---- ------ CITY--___--- STA'f' E_--__--_DEPT. E-6 ADVA:\TCE SPgCTACLE CO., 11'0.

537 S. Dearborn St.

Chicago 5, Ill.

DEAR FRIEND:

re going to show you a way to make some good profits easily, simply and WITHOUT INVESTING ANY ::fO:\EY. 'Ve have had considerable experience in sellng glass;cs direct to the wearer. This field has been profitable and you can cash in on it as so many others have. While we do Dot employ agents or canvassers to sell the ghlsscs, we do have a number of attractive offers for you as a dealer, Look in our catalog ilnstrating latest style of attractive quality spectacles. Note the reasonable prices quoted. \Ve aJ'e wiling to allow you, HS a dealer 25% discount from these prices.

Adnmce Spectacle Company PAR. 4. Respondents Eye Glasses bJ' mail" advertising disseminated by them as aforesaid is being and has been answered by persons in various States of the United States. Said purehasers, in answering such advertising, have requested that respondents' catalog a, nd the various devices above referred to, for llse in testing of the eyes, be sent them. Said catalog and device have been ordered alike by in c1ivic1l1als desiring to purchase eye glnsses for themselves and by other individuals c1esh-ing to sell glasses by acting as dealers of respondents. Individmds receiving respondents 14 LENS SAJlIPLE CARD" have attempted to use the device to determine the eye glasses neces sa.ry to correct defects in their vision, have written out their own prescriptions for respondents' eye glasses upon the forms provided by respond, have 11ftlled the preseriptions to respondent.s a,nel re sponclents hflye shipped to theln the eye glns es ordered pursuant to said prescriptions.

Dealers of respondents, loca ed in V81'IOUS States of the United States receiving responde,nts' said " 14 LEi\'S SA:.IPLE Carly' have attempted to use the device io determine the eye glasses necessary to correct the defects ill the vision of others and have 1n'itten prescrip lions OJ' as. ted in the, "writing 01 prescriptions for respondents' eye ADVANCE SPECTACLE CO. ET AL. 1219 )216 Decision glasses upon the forms provided by respondents, have mailed the prescriptions to respondents and respondents have shipped said glasses ordered pursuant to said prescriptions to various customers. \R. 5. Through the use of advertisements containing the state- Inents hereinabove set forth and explanatory literature and directions which accompany the eye testing device designated "14 LENS SAM- PLE CARD" sent by respondents to those requesting it, respondents represented, directly and by implication, that the eye glasses sold by them, made pursuant to the results of the tests of the eyes, using respondents' device, will correct the defects in vision of all persons. PAR. 6. Said advertisements were and are misleading in material respects and consdtutc "false advertisements" as this term is defined in the Federal Trade Commission Act. In truth and in fact the eye glasses sold by respondents, made pursuant to the results of tests of the eyes, using respondents' device will not correct defects in vision of aD persons. On the contrary, such glasses are capable of correcting defects in vision of only those persons approximately 40 years of age and over who do not have astigmatism or diseases of the eye and who require only simple magnifying lens.

PAR. 7. The use hy the respondents of the foregoing advertisements containing the false, misleading and deceptive statements and representations ahove referred to have had and now have the capacity and tendency to mislead and deceive substantial numbers of the purchasing public into the erroneous and mistaken belief that such statements and representations were and are true and into the USe of respondents devices and the purchase of substantial quantities of respondents' eye. glasses, because of such erroneous and mistaken belief. PAR. 8. The aforesaid acts and practices of respondents, as herein alleged, are all to the prejudice and injury of the jJublic and constitute unfair and deceptive acts and practices, in commerce, within the intent "end meaning of the Federal Trade Commission Act. DECISION OF THE C01\DHSSIOX Pursuant to Rule XXII of the Commission s Rules of Practice and as set forth in the Commission s "Decisions of the Commission and Order to File Report of Compliance " dated "May 22, 1955, the initial decision in the instant matter of hearing examiner Earl J. Kolb, as set out as follows, became on that date the decision of the Commission: Trial DECISION BY EARL J. KOLil, HEARING EXAl\II The complaint in this proceeding charges the respondents Advance Spectacle Company, Inc., a corporation, and ::lichael M. Egel, individ- 1220 FEDERAL TRADE COMlIISSIOX' DECISIO Decision 51 F. T. C. ually and as an offcer of Advance Spectacle Company, Inc., with the use of unfair and deceptive acts and practices in COIDlnerce in violation of the provisions of the Federal Trade Commission Act, in c01mection with the sale and distribution of eyeglasses through and by means of a self-testing device designated as "14 Lens Sample Card" After the issuance of said complaint and the fiing of their answer thereto, t.he respondents entered into a stipulation for a consent order with counsel for the complaint, disposing of all the issues in this proceeding, which stipulation was duly approved by the Director and Assistant Director of the Bureau of Litigation. Respondents, pursuant to the aforesaid stipulation, admitted all of the jurisdictional allegations of the complaint and agreed that the record herein may be taken as if the Commission had made findings of jurisdictional facts 1n accordance with such allegations. Said stipulation further provides that the answer heretofore fied hy respondents is to be withdrawn and that the parties expressly waive a hearing before the Hearing Examiner or the Commission, the filing of exceptions or oral argument before the Commission, and all other procedure before the hearing Examiner and the Commission to which the respondents may be entitled under the Federal Trade Commission Act or the Rules of Practice of the Commission. In said stipulation, respondents further agreed that the order to cease and desist issued in accordance with said stipulation shall ha. the same force and effect as if made after a full hearing, presentation of evidence and findings and conclusions thereon, and specifically waived all right, power and privilege to chaUenge or eon test the validity of such order.

It was further provided that said st.ipulation, together with the complaint, shaU constitute the entire record herein; that the complaint therein may be used in construing the terms of the order issued pursuant to said stipulation; anc11hat said order may be a.1ered modi fied or set aside in the manner prescribed by statute.e for the orders of the Commission.

The Hearing Examiner has considered such stipula60n and the order therein contained, and it appearing that said stipulation and order provides for an appropriate disposition of this proceeding the same is hereby accepted and made a part of the record, and the followiug jurisdictional findings made, and the following order issued: 1. Respondent Advance Spectacle Company, Inc., is a corporation organized, existing and doing business under a,nd by virtue of the 10 ws of the State of Illinois, with its place of business located at 537 South Dearborn Street, Chicago, illinois. Individual respondent ADVANCE SPECTACLE CO., INC., ET AL. 1221 1210 Order Michael ;vI. Egel, is president and treasurer of corporate respondent and formulates the policy of said corporation and directs, controls and puts into effect all of its acts and practices. 2. The Federal Trade Commission has jurisdiction of the subject matter of this proceeding and of the respondents named herein, and this proceeding is in the interest or t.he pu bee. ORDER It i8 orde?' That respondents Advance Spectacle Company\ Inc. a corporation, and its offcers, and respondent :Jiicheall\L Egel, individually, and respondents' agents, representatives and employees, directly or through any corporate or other device in connection with the offering for sale, sale or distribution of eyeglasses, do forthwith cease and desist from:

1. Disseminating, or causing to be disseminated, any advertisement by means of the 1Jnited States mails, or by any means in commerce, as commerce" is defined in the Federal Trade Commission Act, which advertisement represents, directly or by implication that the eyeglasses sold by respondents, made pursuant to the results of tests of the eyes using respondents' devices, \"ill correct., or are capable of correcting, defects in vision of persons unless expressly limited to those persons approximately forty years of age and older who do not have astigmatism or diseases of the eye and \\ho require only simple magnifying lenses.

2. Disseminating, or causing to be djsseminatec1, any advertisement by any means, for the purpose of inducing, or 1"which is likely to induce directly or indirectly, the purchase of their eyeglasses in commerce as "commerce' is defined in the Federal Trade Commission Act, which advertisement contains the representation prohibited in paragraph 1 hereof.

OHDEH TO FILE HEroET 01" CO:\IPLIANCE It is ordered That the respondents herein shall within sixty (60) days after service upon them of this order, file with the Commission manner and forma report in writing setting forth in detail the which they have complied with the order to cease and desist (as required hy said declaratory decision and order of May 22, 1955J. 1222 FEDERAL TRADE CO:'vLVUSSION DECISIONS Order 51 F. T. C.

I:\T Tile J\L\.TTER OF JOSEPH TRIKER CORPORATION l\fODIFIED ORDER , ETC. , IN REG/I_RD TO THE ALLEGED VIOLATION OJ.' Tile FEDERAL TRADE CO:iDIISSION ACT Docket 5227. Jlod-i,lcd Ordcl' , Jf(l'i 5!G , 19. Order modifying findings and order issued on .T111e 27, 1945, 40 P. '.L. C. 668, in which the Commission found that respondent corporation had made false representations in advertisements and failed to reveal material facts, in connection with the sale of a medicinal preparation sold by it designated as "Triner s Bittel' 'Vine, etc.

111'. Joseph Callaway and MT. Dctniel .1. Mw' phy for the Commission.

l(el'ner Jai' o8 Tittle and 3/1'. Henry Junge of Chieago, 111., for respondent.

ORDER HEOI' E::-nng PIWCEEDIXG \Nn GTIANTIXG IN 1'. \RT \ND DEXYIKG IN PART PETITION FOR JHODIFICATIO::-.-,- OF FIXDI GS AND ORDER This matter coming on to be heard upon petition of respondent Joseph TrineI' Corporation, filed February 25 , 1935 , to reopen fhe proceeding and to modify the findings as to the facts and order to cease and desist, and upon ans"\yer thereto filed by the Legal Adviser on Deceptive Practices, Bureau of Litigation, opposing in part, and interposing no objection in part thereto; and The Commission having duly considered the matter and having concluded that respondent's petition for modification should be granted in part and denied in part, as hereinafter indicated, and that the proceeding accordingly should be re.opencd for that purpose: It is oTCleTed That said petition to reopen he, and it hereby is granted.

It is jnrthCJ' o7'dered That Paragraphs Four and Five of the Findings as to the Facts herein be modified by deleting from each of said paragraphs the phrase "poor appetite, that Paragraph Six in said Findings be deleted, and that Paragraph Seven thereof be renumbered as Paragraph Six.

It is JUTtheT ordered That the Order to Cease and Desist herein be modified by deleting from Paragraph 1 (a) thereof the phrase "poor appetite, by deleting Paragraph 2. in its ent.irety, and by renumbering Paragraph 3 as Paragraph 2 and deleting from said paragraph the JOSEPH TRllER CORP. 1223 1222 Order concluding clause "or which fails to comply with the requirements set forth in paragraph 2 hereof.

It is further' ordered That in all other respects respondent' s petition for modification he, and it hereby is, denied. ote. Paragraphs " " and "7" of the findings above referred to are modified by this order to read as follows: PAll. 4. Through the use of the foregoing .statements and representations, and others of similar import and meaning not specifically set out herein, respondent has represented, and is now representing, that said preparation is a cure or remedy for stomach disorders faulty digestion, headache, nervousness, fatigue, and insomnia.; that it cleanses the stomach and intestines and keeps the intestines clean; and that it raises the general vitality of the body and increases the resistance of the body to germs, thereby preventing colds. PAR. 5. The foregoing statements and representations are false deceptive, and misleading. Hesponclent's preparation is not a cure or remedy for stomach disorders, faulty digestion, heaeladlC, nervousness, fatigue, or insomnia, anel has no therapeutic value in the treatment of such conditions in excess of providing temporary relief from headache 1vhen due to constipation. It docs not cleanse the stomach. 1Vhile it has the temporary effect of a laxntive, it does not c1eam:e the intestines or keep them clean. It does not raise the general vitality of the body or increase the resistance or the body to germs. It has no beneficial effect in the prevention of colds. PAR. 6. The use by the respondent of the foregoing false deceptive, and misleading statements and r.epresentations, disseminated and caused to be disseminated as aforesaid, has had, and now has the capa.city and tendency to, and does, mislead and deceive a. substantial portion of the purchasing public into the er:l'lleOllS and mistaken belief that such statements and representations are true, and that said preparation may be used at all times without ill effects, and into the purchase of substantial quantities or sa.id preparation because of such erroneous and mistaken belief, The order to cease and desist, as modified, is as follows: This proceeding having been heard by the Federal Trade Commission upon the complaint of the Commission anel the a. er of the respondent, in which answer respondent admitted all the material allegations of fact set fort.h in saiel complaint and waived all intervening procedure and further hearings as to said facts, and tlle Commission having made its findings as to the facts and its conclusion that said respondent has viola.ted the provisions of the Federal Trade Commission Act:

Order 51 F. T. C.

It is oTdel'ed That respondent, Joseph Triner Corporation, a corporation, its offcers, directors, representatives, agents, and employees directly or through any corporate or other device, in connection with the ollering for sale, sale, and distribution of its medicinal preparation variously designated as ' Triner s Bitter 'Vine Triner s Bitter 'Vine 'ivith Vitamin B ' and 'Triner s American Elixer of Bitter 'Vine ' or any other preparation of substantially similar composition or possessing substantially similar properties, whether sold under the same names or any other name, do forthwith cease a,nd desist from: 1. Disseminating or causing to be disseminated, by means of the United States mails or by any means in commerce, as 'commerce' is defined in the Federal Trade Commission Act, any advertisement which represents, direcily or by implication: a) That said preparation is a cure or remedy for stomach dis orders faulty digestion, headache, nervousness, farigue, or insomnia or that it has miy therapeutic value in the treatment of such conditions in excess of providing temporary relief from headaches "\\hen due to constipation.

(b) That said preparation cleanses the stomach or intestine, or keeps the intestines dean.

(c) That the use of said preparation win raise the general vitality of the body, increase the resist.ance of the body to germs, or prevent or aid in the prevention of colds.

2. Disseminating or miusing to be disseminated, by any means, any adver6sement for the purpose of inducing or which is likely to induce directly or indirectly, the purchase in commerce, as 'commerce' is defined in the Federal Trade Commission Act, of said preparation which advertisement contains any of the representations prohibited in paragraph 1 he.reof, and the respective subclivisioIl thereof. It is further ordered That the respondent shall, within 60 days after service upon it OT this order, file with the Commission a report in writing setting forth in detail the manner and form in which it has cmnplicd with this order.

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SAMUEL GAILBAJSD, INC. , ET AL. 1225 Complaint