Jack J. Berlineh

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IN THE MATTER OF JACK J. BERLINEH ET AL. DOING BUSINESS AS J. ,J. BERLINER & STAFF, ETC.

CONSENT ORDER, ETC. , 11\' REGARD TO THE ALLEGED VlOLATION OF THE FEDERAL TRADE COMMISSION ACT Dod,:et ,OSl;. COJII'JJ/aiiil, JUII. 1.4, 1.r;'J8- D('(;isioil, .July :!(i, 1958 C011sent ordcr requiring tJJe ()pel' tors of a Nt'\-v York dipping service to cease repn.'s(' nting falsely, throul2:h use of their trade name and in 8(lvertising matter circulated to prospects, that ,they were D. society engaged in ese::l''h were experts in all management problems and maintained an extensive reseal"ch staff, supplying the latest information, domestic and foreign, in the fields of management, engineering, and chemistry; and that they authenticated 0.11 information they distributed. 111?'. Enrold A. Kennedy and 111'1. ThoTnas F. lIolIHlel' supporting the com plain t, Hecht Gluse,. by M,' . Sum"el Hecht of New York Y" for respondents.

INITIAL DECISION BY ,JOHN B. POI:-DEXTER HEARING EXAMINER On January 14 , 1958, the Federal Tre.de Commission issued a complaint alleging that Jack J. Berliner and Sara Berliner, doing business 35 ,T. ,T. Berliner & Staff and as the American Hesearch Society for Better l\lanagclTcnt, hereinafter called respondents had violated the provisions of the Federal Trade Commission Act by making false, misleading and deceptive statements and representations vvith respect to the nature of their business, a "clipping. service " and the value and quality of such service. 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: Rcspondenis admit all jurisdictional facts; the complaint may be used ill 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 hecome a part of the offcial record of the proceeding unless and until it becomes a part of the decision of the Commission; the record herein shall consist J. J. BERLINER & STAFF, ETC. 155 154 Order solely of the complaint and the agreement; respondents waive the requirement that the decision must contain a statement of findings of fact and conclusions of law; respondents \vaive further procedural steps before the hearing examiner and the Commission, and the order may be altered, modified or set aside in 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. 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 :ol1owing jurisdictional findings, and issues the following order:

JURISDICTIONAL FIKDIKGS 1. Respondents Jack J. Berliner and Sara Berliner are copartners, doing business and trading as J. J. Berliner & Staff and as the American Research Society for Better Management. Their offce and principal place of business is located lt G81 Broadway, New York, N.

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 o1'de1'ed That respondents Jack ,J. Berliner and Sara Berliner, individually and doing business as the American Hesearch Society for Better Vlanagement, or under any other name their agents, representatives and employees, directly or through any corporate or other device, in connection with the offering for sale, sale or distribution of their publications or printed matter in commerce, as "commerce " is defined in the Federal Trade Commission Ad, do forthwith cease and desist from: 1. Using a trade, JJusiness or corporate name vi'which includes the words "research" or "society, " or representing, directly or by implication, through the use of any trade, business or corpol' ate name, that respondents, or either of them, engage in research or operate or maintain a society of any nature; 2. Using a trade, business or corporate name which includes 156 FEDERAL TRADE COM:\IISSION DBCISIONS Decision 55 F.

the word "management " or representing in any manner, directly or by implication, through the use of any trade, business or corporate name, that respondents, or either of them, arc experts in management problems or are qualified as management consultants.

It is further orelcnlc/ , That respondents Jack J. Berliner and Sara Berliner, individually and doing business as J. J. Berliner & Stafl' , or under any other name, their agents, representatives and employees, directly or through any corporate or other device, in connection with the offering for sale, sale or distribution of their publications or printed matter, in commerce, as '; commerce is defined in the Federal Trade Commission Act, do forthwith cease and desist from:

I. Representing, directly or by implication: (a) That they are engaged in any research other than the reading, indexing, selecting, editing and compiling of previously published articles or other works:

(h) That the information which they distribute contains the latest information, either domestic or foreign, unless such is the fact, in the fields of management, engineering or chemistry; or (c) That they authenticate any of the information l1istributee! by them.

2. Offering for sale, selling or distributing publications or printed matter previously published by others without clear ane! conspicuous disclosure of such fact in advertising and on the pubhcations and printed matter themselves. DECISION OF THE COMMISSION AND ORDER FILE REPORT OF COMPLIANCE Pursuant to Section 3.21 of the Commission s Rules of Practice the initial decision of the hearing examiner shah, on the 26th day of July 1958 , become the decision of the Commission; and accordingly:

It is onle1' , That the respondents herein shah 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.

KORTH AMERICAN ACCIDENT INSURANCE COMPANY 157 Order