Cable Raincoat Company

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

IN THE J\IA TTER OF CABLE RAINCOAT COMPANY ET AL.

CONSENT ORDER, ETC., IN REGARD TO THE ALLEGED VIOLATION OF THE FEDERAL TRADE COMMISSION AND THE WOOL PRODUCTS LABELING ACTS Docket 7163. Complaint. , iany loss-Decision, Sept. 11, 1958 Consent orcier requiring manufacturers in Boston, Mass. , to cease violating the Wool Products Labeling Act by tagging as " 100% Reprocessed Wool LINING" misses' car coats, linings of which contained a substantial percentage of fibers other than wool; and by failing in other respects to comply with the requirements of the Act. Mr. Alvin D. Edelson supporting the complaint. Respondents 1)1'0 SC.

INITIAL DECISION BY JOHN LEWIS, HEARING EXAMINER The Federal Trade Commission issued its complaint against the above-named respondents on l\lay 28, 1958, charging them with having violated the Wool Products Labeling Act of 1939 and the Rules and Regulations promulgated thereunder, and the Federal Trade Commission Act, through the misbranding of certain wool products and falsely identifying the constituent fibers thereof on price lists. After being served with said complaint, respondents appeared and entered into an agreement containing consent order to cease and desist, dated July 11 , 1958, purporting to dispose of all of this proceeding as to all parties. Said agreement, which has been signed by all respondents and by counsel supporting the complaint, and approved by the director and assistant director of the Commission s Bureau of Litigation, has been submitted to the above-named hearing examiner for his consideration, in accordance \with Section 3.25 of the Commission s Rules of Practice for Adjudicative Proceedings.

Respondents, pursuant to the aforesaid agreement, have admitted all the jurisdictional facts alleged in the complaint, and have agreed that the record may be taken as if findings of jurisdictional facts had been duly made in accordance with such allegations. Said agreement further provides that respondents waive any further procedural steps before the hearing examiner and the Commission, the making of findings of fact or conclusions of law, and all of the rights they may have to challenge or contest the validity of the order to cease and desist entered in accordance Order 55 F.

\with said agreement.. It has been agreed that. the order to cease and desist issued in accordance vvith said agreement shall have the same force and effect as if entered after a full hearing and that the complaint may be used in construing the terms of said order. It has also been agreed that the aforesaid 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.

This proceeding having now come on for final consideration on the c.complaint and the aforesaid agreement c.containing consent order, and it appearing that the order provided for in said agreement covers all the allegations of the complaint and provides for an appropriate disposition of this proceeding as to all parties, said agreement is hereby accepted and is ordered filed upon this decision s becoming the decision of the Commission pursuant to Sections 3.21 and 3. 25 of the Commission s Rules Practice for Adjudicative Proc.eec1ings, and the hearing examiner accordingly, makes the following jurisdictional findings and order. 1. Respondent, the Cable Raincoat Company, is a corporation organized, existing and doing business under and by virtue the lavvs of the Commonwealth of Massachusetts with its principal place of business located at 68-72 Northampton, Boston, Mass. The individual respondents Robert Cable and Irving Perlmutter are officers of the corporate respondent. The individual respondent Austin L. Cable is a clerk of the c.corporate respondent. 2. The Federal Trade Commission has jurisdiction of the subject matter of this proceeding and of the respondents hereinabove named. The complaint states a cause of action against said respondents under the VVool Products Labeling Act of 1939 and the Federal Trade Commission Act, and this proceeding is in the interest of the public.

ORDER It is ordered That the respondent, Cable Raincoat Company, a corporation, and its officers, and Robert P. Cable and Irving Perlmutter, individually and as officers of said corporation, and Austin L. Cable, individually, and respondents' representatives agents and employees, directly or through any corporate or other device, in connection with the introduction or manufacture for introduction, into commerce, or the offering for sale, sale, transportation or distribution in commerce, as "commerce" is defined in CABLE RAINCOAT COMPANY ET AL. 325 Decision the Federal Trade Commission Act, and the Wool Products Labeling Act of 1939 of "wool products " as such products are defined in and subject to the Wool Products Labeling Act of 1939 do forthwith cease and desist from misbranding such products by: 1. Falsely or deceptively stamping, tagging, labeling or otherwise identifying such products as to the character or amount of the constituent fibers contained therein; 2. Failing to securely affix to or place on each such product a stamp, tag, label or other means of identification showing in a clear and conspicuous manner:

(a) The percentage of the total fiber weight of such wool product, exclusive of ornamentation not exceeding five percentum (3)of said total fiber weight, of (1) \vool, (2) reprocessed wool, reused wool, (4) each fiber other than wool where said percentage by \veight of such fiber is five percentum or more, and (5) the aggregate of all other fibers;

(b) The maximum percentage of the total weight of such wool products, of any nonfibrous loading, filling, or adulterating matter; (c) The name or the registered identification number of the manufacturer of such wool product or of one or more persons engaged in introducing such wool product into commer~:e, or in the offering for sale, sale, transportation, distribution or delivery for shipment thereof in commerce, as "comnlerce is defined in the Wool Products Labeling Act of 1939.

It is ht.rthe1' onle1' That respondent Cable Raincoat Company, a corporation, and its officers, and Robert P. Cable and Irving Perlmutter, individually and as officers of said corporation, and Austin L. Cable, individually, and respondents' representatives, agents and employees, directly or through any (\Jrporate or other device, in connection with the sale of rainwear, or any oth::-r merchandise, in commerce, as "commerce is defined in the Federal Trade Commission Act, do forthwith cease and desist falsefrom setting out on price lists, or any other medium, information as to the fiber content of their said rain\vear or other merchandise.

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 clay of September 1958, become the decision of the Commission; and, accordingly:

Decision 55 F.

It is 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 whi~h they have complied with the order to cease and desist.

EDW ARD H. BAKER 327 Decision