Artistic Modern, Inc.

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

IN THE 1\LATTER OF ARTISTIC :MODERN~ INC., ET AL.

COX SENT ORDER , ETC., IN REGARD TO THE ALLEGED Violation OF Tile FEDERAL TH..WE COl\OnSSION ACT D()(:ket ;'81" Com.plai. , A.pr. 22, 19S" Decision, Aug. 23, 1957 Consent order requiring a seller in New York City to cease advertising falsely that the price of chairs which regularly sold for $124,95 and $99,95 had been reduced to $44.95 and ~39,95, respecUvely, with consequent savings to purchasers. when in fact the latter were the usual selling prices; and that the qunntity of the chairs was limited.

JJT. Charles. 1V. O' Connell for the Commission. Art.istic :Modern, Inc., I-Iarry Shapiro and Cyril Shapiro, of New York, N. , pro se.

INITIAL DECISION BY "\VILLIA1\! L. PACK. HEARING EXAMINER The complaint in this matter charges the respondents with viola~ ion of the Federal Trade Commission Act through the making of certain misrepresentations in connection with furniture sold by them, An agreement has now been . entered into by counsel supporting the complaint and respondents which provides among other things that respondents admit all of the jurisdictional allegations in the complaint; that. the record on which the initial decision and the decision of the Commission shall be based shall consist solely of the complaint. and agreement; that the inclusion of findings of fact and conclusions of law in the decision disposing of this matter waived, together with any further procedural steps before the hearing examiner and the Commission; that the order hereinafter set forth may be entered in disposition of the proceeding, suc.h order to have the same force and effect as if entered after a full hearing, respondents specifically waiving any and all rights to challenge or . contest the validity of such order; that the order may be altered modified, or set aside in the manner provided for other orders of the Commission; that the complaint may be used in construing the terms of the order; and that the agreement is for settlement purposes only and does not constitute an admission by respondents that they have violated the law as alleged in the complaint. The hearing examiner having considered the agre.ement and proposed order and being of the opinion t.hat. they provide an adequate basis for an appropriate disposition of the proceeding, the agree- Decision 54 F.

ment is hereby accepted, the following jurisdictional findings made and the following order issued:

1. Respondent Artistic l\10dern, Inc., is a corporation organized existing and doing business under and by virtue of the laws of the State of New York, with its office and principal place of business located at 157 East 33rd Street, New York, New York. Respondents I-Iarry Shapiro and Cyril Shapiro are individuals and officers of said corporation with their office and principal place of business the same as that of the corporate respondent. . 2. The Federal Trade Commission has jurisdiction of the subject matter of this proceeding and of the respondents, and the proceeding is in the public interest.

ORDER It is ordel' That respondent Artistic ~fodern, Inc., a corporation and its officers, and respondents I-Iarry Shapiro and Cyril Shapiro individually and as officers of said corporation, and respondents representatives, agents, and employees, directly or through any corporate or other device, in connection with the sale, offering for sale or distribution of chairs or other merchandise, in commerce, as "commerce" is defined in the Federal Trade Commission Act, do forthwith cease and desist from representing, directly or by implication: 1. That any amount is the regular or usual price for merchandise when it is in excess of the price at which the merchandise offered is regularly and customarily sold in the normal course of business. 2. That any savings are afforded on the sale of merchandise, unless the represented savings are based upon the price at which the merchandise offered is regularly and customarily sold in the normal course of business.

3. That the supply of merchandise offered for sale is limited, unless such is the fact.

DECISION OF TI-IE 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 23rd day of August, 195' , become the decision of the Commission; and aceordingly :

It is 01yle1' That the respondents herein shall, within sixty (60) days after se,rvice 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. , FREE STATE PRODUCTS, INC., ET AL. 227 Decision