A. E. Lewis & Co. Inc.

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

In the Marrer or A. E. LEWIS & CO. INC., ET AL.

CONSENT ORDER, ETC., IN REGARD TO THE ALLEGED VIOLATION OF THE FEDERAL TRADE COMMISSION ACT Docket 6577. Complaint, June 27, 1956—Decision, Mar. 11, 1958 Consent order requiring sellers in New York City to cease selling cutlery, assembled by them from steel blades stamped “made in Sheffield, England” with handles made in Japan, some copied from English patterns—the word “Japan” on the end of the handle concealed by the assembling process— without disclosing the Japanese origin of the handles. Mr. Morton Nesmith and Mr. Berryman Davis for the Commission. Mr, Abraham J. Efrein, of New York, N.Y., for Respondents. Intra, Decision sy Apner E. Lrescomu, Hrartne Examiner The complaint herein was issued on June 27, 1956, charging respondents with false, misleading, and deceptive practices, in that they have failed to disclose the origin of substantial parts of their cutlery, and have misrepresented such cutlery, in its entirety, as a product of England, in violation of the Federal Trade Commission Act.

On December 30, 1957, respondents, their counsel, and counsel supporting the complaint herein entered into an agreement containing consent order to cease and desist, which was approved by the director and the assistant director of the Commission’s Bureau of Litigation, and thereafter submitted to the hearing examiner for consideration. The agreement. identifies Respondent A. E. Lewis & Co., Inc., as a New York corporation, with its office and principal place of business located at 304 FE. 23d Street, New York, N.Y., and respondents Alexander E. Lewis, Arthur Vinecour, and Morris Goodis as officers thereof, havmg the same address as the corporate respondent. Respondents admit all the jurisdictional facts alleged in the complaint, and agree that. the record may be taken as if findings of jurisdictional facts had been duly made in accordance with such allegations.

Respondents waive any further procedure before the hearing examiner and the Commission; the making of findings of fact or conclusions of law; and all the rights they may have to challenge or contest the validity of the order to cease and desist entered in accordance with the agreement. Al] parties agree that. the record Order . 54 F.T.C.

on which the initial decision and the decision of the Commission shall be based shall consist solely of the complaint and the agreement; that the order to cease and desist, as contained in the agreement, shall have the same force and effect as if entered after a full hearing, and may be altered, modified or set aside in the manner provided for other orders; that the complaint herein may be used in construing the terms of said order; and that the agreement is for settlement purposes only and does not constitute an admission by the respondents that they have violated the law as alleged in the complaint.

After consideration of the allegations of the complaint and the provisions of the agreement and the proposed order, the hearing exuniner is of the opinion that such order constitutes a satisfactory disposition of this proceeding. Accordingly, in consonance with the terms of the aforesaid agreement, the hearing examiner accepts the agreement containing consent order to cease and desist; finds that the Commission has jurisdiction over the respondents and over their acts and practices as alleged in the complaint; and finds that this proceeding is in the public interest. Therefore, It is ordered, That respondents A. E. Lewis & Co., Inc., a corporation, and its officers, and Alexander E. Lewis, Arthur Vinecour, and Morris Goodis, individually and as officers of said corporation, 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 cutlery or other products in commerce, as “commerce” is defined in the Federal Trade Commission Act, do forthwith cease and desist from, directly or indirectly :

1. Offering for sale or selling cutlery containing handles made in Japan, or in any other foreign country other than England, combined with other parts made in England which bear the legend “A. E. Lewis & Co., Made in Sheffield England” or any other legend indicative of English origin, without clearly disclosing the country of origin of the handles;

2. Offering for sale or selling any product, any substantial part of which was made in Japan, or in any other foreign country, without clearly disclosing the foreign origin of such part; 3. Representing by words or symbols on the containers in which cutlery or other products, made in substantial part in J apan, or in any other foreign country other than England, are shipped or displayed, or in any other manner, that such products are of English origin.

A. E. LEWIS & CO., ET AL. 1143 1141 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 11th day of March 1958, become the decision of the Commission; and, accordingly:

It is ordered, That respondents A. E. Lewis & Co., a corporation, and Alexander E. Lewis, Arthur Vinecour, and Morris Goodis, individually and as officers of said corporation, 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. Decision d4 F.T.C.