Canadian Fur Company

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IN THE MATTER OF CANADIAN FUR COMPANY ET AL.

CONSENT ORDER, ETC., IN REGARD TO THE ALLEGED VIOLATION OF THE FEDERAL TRADE COMMISSION AND THE FUR PRODUCTS LABELING ACTS Docket 72.46. Com7Jlaint, Sept. 4, 195R-Deci.c., , Dec. , 1958 Consent order requiring furriers in Springfield, Mass., to cease violating the Fur Products Labeling Act by advertising in newspapers which failed to disclose the names of animals producing certain furs, or that certain products contained artificially colored fur, or to set forth the description dyed mouton-processed lamb" as required; which represented prices as reduced from regular prices which were in fact fictitious, or as affording percentage savings not in accord with the facts, and falsely repres('nted certain fur products as from stock being liquidated in a "Removal Sale and by failing to comply with the invoicing requirements. Mr. S. F. House for the Commission.

M,.. Benjnmin D. Novnlc of Springfield Mass., for respondents. INITIAL DECISIO:- BY EARL J. KOLB, HEARING EXA IINER The complaint in this proceeding issued September 4 , 1958 charged respondents Canadian Fur Company, a corporation, located at 272 Bridge Street, Springfield, lVass. , and Carl Riner and Harold Hiner, individually and as offcers of said corporation their address being the same as that of the corporate respondent with the use of unfair and deceptive acts and practices in interstate commerce in violation of the provisions of the Federal Trade Commission Act and the Fur Products Labeling Act and the Rules and Regulations promulgated thereunder. After the issuance of thc complaint, respondents entered into an agreement containing consent order to cease and desist with counsel in support of the complaint, disposing of all the issues in this proceeding, which agreement was duly approved by the director and assistant director of the Bureau of Litigation. It was expressly provided in said agreement that the signing thereof is for settlement purposes only and does not constitute an admission by respondents that they have violated the law as alleged in the complaint.

By the terms of said agreement, the respondents admitted all the jurisdictional facts alleged in the complaint and agreed that the record herein may be taken as if the Commission had made findings of jurisdictional facts in accordance with the allegations. 878 FEDERAL TRADE COM:vISSION DECISIONS Order 55 F.

By said agreement, the parties expressly waived any further procedural steps before the hearing examiner and the Commissian; 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.

Respondents further agreed that the order to cease and desist issued in accordance with said agreement, shall have the same force and effect as if made after a full hearing. It was further provided that said agreement, together with the complaint, shall constitute the entire record herein; that the complaint herein may be used in construing the terms of the order issued pursuant to said agreement; and that said order may be altered, modified or set aside in the manner prescribed by the statute for orders of the Commission.

The hearing examiner has considered such agreement and the order therein contained, and, it appearing that said agreement and order provides for an appropriate disposition of this proceeding, the same is hereby accepted and is ordered filed upon becoming part of the Commission s decision in accordance with Sections 21 and 3. 25 of the Rules of Practice; and, in consonance with the terms of said agreement, the hearing examiner fmds that the Federal Trade Commission has jurisdiction of the subject matter of this proceeding and of the respondents named herein that this proceeding is in the interest of the public, and issues the following order:

ORDER It is onle,' That respondent Canadian Fur Company, a corporation, and its offcers, and Carl Riner and Harold Riner individually and as offcers of said corporation, and respondent' reprcscntatives, agents and employees, directly or through any corporate or other device, in connection with the introduction, sale, advertising, offering for sale in commerce or the transportation or distribution in commerce of fur products, or in connection with the sale, advertising, offering for sale, transporatation or distribution of fur products which have been made in whole or in part of fur which has been shipped and received in commerce, as commerce fuy " and "fur product" are defined in the Fur Products Labeling Act, do forthwith cease and desist from: A. Misbranding fur products by:

(1) Representing on labels affxed to the fur products or in CANADIAN FUR COMPANY ET AL. 879 877 Order any other manner that certain amounts are the regular and usual prices of fur products when such amounts are in excess of the prices at which respondents usually and customarily have sold such products in the recent regular course of their business. (2) Failing to affx labels to fur products showing: (a) The item number or mark assigned to a fur product. B. Falsely or deceptively invoicing fur products by: (1) Failng to furnish purchasers of fur products invoices showing:

(a) The name or names of the animal or animals producingthe fur or furs contained in the fur product, as sct forth in the Fur Products Name Guide and as prescribed under the Rules and Regulations;

(b) That the fur product contains, or is composed of used fur when such is the fact;

(c) That the fur product contains, or is composed of bleached (1yed, or otherwise artificially colored fur, when such is the fact; (d) That the fur product is composed in whole or in substantial part of paws, tails, bel1es, or waste fur, when such is the fact; (e) The name and address of the person issuing such invoice; (f) The name of the country of origin of any imported furs contained in the fur product.

(2) SeUing- forth information required under Section 5 (b) (1) of the Fur Products Labeling Act and the Hules and Regulations thereunder in abbreviated form.

(3) Failing to set forth the description "dyed mouton processed Jamb" in the manner required by law.

C. Falsely or deceptively advertising fur products through the use of any advertisement, representation, public announcement, or notice, which is intended to aid, promote, or assist, directly or indirectly, in the sale, or offering for sale of fur products, and which:

(J) Fails to disclose:

(a) The name or names of the animal or animals producing the fur or furs contained in the fur product, as set forth in the Fur Products Name Guide aud as prescribed under the Hules and Regulations;

(b) That the fur product contains or is composed of bleached dyed or otherwise artifieiaJly colored fur, when such is the fact. (2) Fails to set forth the description "dyed mouton processed lamb" in the ll1anner required by 1aw.

(3) Scts forth information required under Section 5 (a) (1) of 880 FEDERAL TRADE COM;IISSION DECISIONS Decision 55 F.

the Fur Products Labeling Act and the Rules and Regulations thereunder in abbreviated form.

(4) Represents, directly or by implication, that the regular or usual price of any fur product is any amount which is in excess of the price at which the respondents have usually and customarily sold such product in the recent and regular course of their business.

(5) Represents, directly or by implication, through percentage savings claims or othenvise that the regular or usual retail prices charged by respondents for fur products in the recent regular course of their business are reduced in direct proportion to the amounts of savings stated when contrary to the fact. (6) Represents, clirectly or by implication, that certain fur products are part of the regular stock of the business, and not secured or purchased for purpose of a "Removal Sale" or other such special sale, when such is the fact. DECISION OF THE COMMISSI01\ A="D 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 17th day of December 1958, become the decision of the Commission; and, accordingly:

It is onlmed That respondents herein shall, within sixty (60) days after service upon them of this order, fie with the Commission a report in 'writing setting- forth in detail the manner and form in which they have comp1iec1 with the order to cease and desist.

ATLAS ROSE FARMS, INC" ET AL. 881 Decision