Emerson Radio and Phonograph Corporation

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In THe Martrer or EMERSON RADIO AND PHONOGRAPH CORPORATION CONSENT ORDER, ETC., IN REGARD TO THE ALLEGED VIOLATION OF THE FEDERAL TRADE COMMISSION ACT Docket 6614. Complaint, Aug. 20, 1956—Decision, May 18, 1957 Consent order requiring a manufacturer of radios in Jersey City, N.J., to cease Trepresenting falsely in advertising in newspapers, periodicals, ete, and in advertising matter furnished to dealers, that its products were “transistor” radios, did not contain vacuum tubes, and were the smallest pocket Tadios ever made.

Edward F. Downs, E'sq. in support of the complaint. Marx Leva, Esq., and Alexander B. Hawes, E'sq., of the firm of Fowler, Leva, Hawes & Symington, of Washington, D.C., for the respondent.

Init1au Decision sy JAMES A. Purcett, Hesartnc EXAMINER The complaint in this proceeding, issued August 20, 1956, charges the respondent Emerson Radio and Phonograph Corporation, a corporation existing by virtue of the laws of the State of New York, with violation of the Federal Trade Commission Act in connection with the offering for sale, sale or distribution of radios in commerce, as “commerce” is defined in said Act.

After the issuance of said complaint, respondent entered into an agreement for consent order with counsel in support of the complaint, disposing of all of the issues in this proceeding, which agreement was duly approved by the Director and the Assistant Director of the Bureau of Litigation. It was expressiy provided in said agreement that the signing thereof is for settlement purposes only and does not constitute an admission by respondent that it has violated the law as alleged in the complaint. By the terms of said agreement, the respondent admitted all the jurisdictional allegations of the complaint and agreed that the record herein may be taken as though the Commission had made findings of jurisdictional facts in accordance with such allegations. By said agreement the parties expressly waived a hearing before the Hearing Examiner or the Commission, the making of findings of fact or conclusions of law by the Hearing Examiner or the Commission, the filing of exceptions and oral argument before the Commission, and all further and other procedure before the Hearing Examiner and the Commission to which respondent may be entitled under the Order 53 F.T.C.

Federal Trade Commission Act or the Rules of Practice of the Commission.

By said agreement, respondent further agreed that the order to cease and desist issued in accordance with said agreement shall have the same force and effect as if made after a full hearing, presentation of evidence and findings and conclusions thereon, and specifically waived any and all right, power or privilege to challenge or contest the validity of such order.

It was further provided that said agreement, together with the complaint, shall constitute the entire record herein; that the complaint herein may be used in construing the terms of the order issued pursuant to said agreement; and that the said order may be altered, modified or set aside in the manner provided by statute for other orders of the Commission.

Said agreement recites that respondent Emerson Radio and Phonograph Corporation, is a corporation existing under and by virtue of the laws of the State of New York, with its office and principal place of business located at 14th and Coles Streets, Jersey City, New Jersey.

The Hearing Examiner has considered such agreement and the order therein contained, and, it appearing that said agreement and order provides for an appropriate disposition of this proceeding, the same is hereby accepted and is ordered filed upon becoming part of the Commission’s decision in accordance with Sections 3.21 and 3.25 of the Rules of Practice, and in consonance with the terms of said agreement, the Hearing Examiner finds that the Federal Trade Commission has jurisdiction of the subject matter of this proceeding and of the respondent named herein, and that this proceeding is in the interest of the public, and issues the following order: ORDER It is ordered, That respondent, Emerson Radio and Phonograph Corporation, a corporation, and its officers, agents, representatives, and employees, directly or through any corporate or other device, in connection with the offering for sale, sale or distribution of radios in commerce, as “commerce” is defined in the Federal Trade Commission Act, do forthwith cease and desist from: 1. Representing directly or by implication that radios containing vacuum tubes are “transistor radios” or that they do not contain vacuum tubes.

2. Representing that certain of its radios are the smallest radios on the market unless such is the fact.

EMERSON RADIO AND PHONOGRAPH CORP. 1049 1047 Decision DECISION OF THE COMMISSION AND ORDER TO FILE REPORT OF COMPLIANCE Pursuant to Section 3.21 of the Commission’s Rules of Practice, the initial decision of the hearing examiner shall, on the 18th day of May, 1957, become the decision of the Commission; and, accordingly:

It 7s ordered, That the respondents herein shall, within sixty (60) days after 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 the order to cease and desist. Findings 58 FTC.