Cuesta, Rey & Co.
Volume 54 · 54 F.T.C. 992
deceptive advertisingproduct labeling
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Cuesta, Rey & Co., 54 F.T.C. 992 (1958). Consumer Law Library, https://consumerlawlibrary.org/decisions/v054-0146
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In roe Marrer or CUESTA, REY & CO. ET AL.
CONSENT ORDER, ETC., IN REGARD TO THE ALLEGED VIOLATION OF THE. FEDERAL TRADE COMMISSION ACT Docket 6855. Complaint, July 26, 1957—Decision, Jan. 28, 1958 Consent order requiring cigar manufacturers in Tampa, Fla., to cease placing on boxes of their cigars a “guarantee” stamp which so closely resembled the official Customs stamp in lettering, design, and placement on boxes that purchasers believed they were buying cigars made under bond. Afr. Charles W. O'Connell for the Commission. Mr. Norman S. Brown, of Brown, Brown & Corcoran, of Tampa, Fla., for respondents.
Ixiv1at Decision By Joun B. Poinpexter, Hearine Examiner The complaint in this proceeding charges that Cuesta, Rey & Co... a corporation, Angel L. Cuesta, Jr., Ygnacio D. Rey, Karl B. Cuesta, and Eugene Simon, individually and as officers of said corporation, hereinafter called respondents, have violated the provisions of the Federal Trade Commission Act by misrepresenting that the cigars which they manufacture are made in a customs bonded warehouse. After issuance and service of the complaint, the respondents, their counsel and counsel supporting the complaint entered into an agreement for a consent order. The order disposes of the matters complained about. The agreement has been approved by the director and assistant director of the Bureau of Litigation. The pertinent provisions of said agreement are as follows: Respondents admit all jurisdictional facts; the complaint may be used in construing the terms of the order; the order shall have the same force and effect as if entered after a full hearing and the said agreement shall not become a part of the official record of the proceeding unless and until it becomes a part. of the decision of the Commission; the record herein shall consist solely of the complaint and the agreement; respondents waive the requirement. that the decision must contain a statement of findings of fact and conclusion of Jaw; respondents waive further procedural steps before the hearing examiner and the Commission, and the order may be altered, modified, or set aside 1 the manner provided by statute for other orders; respondents waive any right to challenge or contest. the validity of the order entered in accordance with the agreement; and the signing of said 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. CUESTA, REY & CO. ET AL. 993 992 Decision The undersigned hearing examiner having considered the agreement and proposed order and being of the opinion that the acceptance thereof will be in the public interest, hereby accepts such agreement, makes the following jurisdictional findings, and issues the following order:
JURISDICTIONAL FINDINGS _# The respondent Cuesta, Rey & Co., is a corporation organized and doing business under and by virtue of the laws of the State of Florida, with its office and principal place of business located at 2416 N. Howard Avenue, Tampa, Fla. The individual respondents Angel L. Cuesta, Jr., Ygnacio D. Rey, Karl B. Cuesta, and Eugene Simon are president, vice president, treasurer, and secretary, respectively, of said corporation and their business address is the same as that of the corporation.
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 ordered, That Cuesta, Rey & Co., a corporation, and its officers, and Angel L. Cuesta, Jr., Ygnacio D. Rey, Karl B. Cuesta, and Eugene Simon, individually, and as officers of said corporation, and their agents, representatives and employees, directly or through any corporate or other device, in connection with the offering for sale, sale or distribution of cigars in commerce, as “commerce” is defined in the Federal Trade Commission Act, do forthwith cease and desist from: , Using any stamp which either by reason of its appearance, its placement on containers of cigars, or by a combination of both effects, simulates the United States Customs stamp required by the Tariff Act of 1930 and the regulations thereunder to be affixed to boxes containing cigars manufactured in bond.
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 28th day of January 1958, become the decision of the Commission; and, accordingly:
It is ordered, That the respondents herein shall within sixty (60) days after service upon them of this order, file with the Comniission a report in writing setting forth in detail the manner and form in which they have complied with the order to cease and desist. Decision 54 F.T.C.