Louis Pizitz Dry Goods Co., Inc.

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

IN THE MATTER OF LOUIS PIZITZ DRY GOODS CO., INC.

CONSENT ORDER, ETC., IN REGARD TO THE ALLEGED VlOLATION OF THE FEDERAL TRADE COMMISSION AND THE FUR PRODUCTS LABELING ACTS Docket 7263. Com')Jlahlt, Sept. lD58-Decision, Peb. .?, 1959 Consent order requiring a retailer in Birmingham, Ala., to cease violating the Fur Products Labeling Ad by failing to comply with the invoicing requirement.s, and by advertising in newspapers which represented prices of fur products falsely as "Below wholesale prices " and represented falsely that price concessions weJ"e obtainable due to its "tremendous buying power.

Mr' . John T. Walke? for the Commission. PTitchaTd, McCall Jones by Mr. William S. PTitchaTd Birmingham, Ala. , for respondent.

INITIAL DECISION BY J. EARL Cox, HEARING EXAMINER The complaint charges respondent with falsely and deceptively invoicing and advertising certain of its fur products, in violation of the Fur Products Labeling Act and the Rules and Regulations promulgated thereunder, and of the Federal Trade Commission Act.

After the issuance of the complaint, respondent, its counsel and counsel supporting the complaint entered into an agreement containing consent order to cease and desist, which was approved by the director and an assistant director of the Commission Bureau of Litigation, and thereafter transmitted to the hearing examiner for consideration.

The agreement states that respondent Louis Pizitz Dry Goods Co. , Inc., is a corporation organized, existing and doing business under and by virtue of the laws of the State of Alabama, with its offce and principal place of business located at 1821 Second Avenue North, Birmingham, Ala.

The agreement provides, among other things, that the respondent admits ajj the jurisdictional facts alleged in the complaint and agrees that the record may he taken as if findings of jurisdictional facts had been duly made in accordance with such allegations; that the record on which the initial decision and the decision of the Commission shall be based shah consist solely of the complaint and this agreement; that the agreement shall not Order 55 F.

become a part of the offcial record unless and until it becomes a part of the decision of the Commission; that the complaint may be used in construing the terms of the order agreed upon, which may be altered, modified or set aside in the manner provided for other orders; that the agreement is for settement purposes only and does not constitute an admission by respondent that it has violated the Jaw 'lS alleged in the complaint; and that the order set forth in the agreement and hereinafter included in this decision shall have the same force and effect as if entered after full hearing.

Respondent waives 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 it may have to challenge or contest the validity of the order to cease and desist entered in accordance with the agreement. The order agreed upon fully disposes of al1 the issues raised in the complaint, and adequately prohibits the acts and practices charged therein as being in violation of the Fur Products Labeling Act and the Uules and Regulations promulgated thereunder, and of the Federal Trade Commission Act. Accordingly, the hearing examiner finds this proceeding to be in the public interest, and accepts the agreement containing consent order to cease and desist as part of the record upon which this decision is based. Therefore, It is ordered That respondent Louis Pizitz Dry Goods Co., Inc. , a corporation, and its offcers, representatives, agents and employees, directly or through any corporate or other device, in connection with the introduction into commerce, or the sale, advertising, offering for sale, transportation or distribution, in commerce, of fur products, or in connection with the sale, advertising, offering for saJe, transportation, or distribution of fur products which are made in whole or in part of fur which has been shipped and received in commerce, as "commerce fur " and Iur product" are defined in the Fur Products Labeling Act, do t"orthwith cease and desist from:

1, Falsely or deceptively invoicing fur products by; A. Failing to furnish invoices to purchasers of fur products showing:

(1) The name or names of the animal or animals producing the fur or furs contained in the fur products as set forth in the Fur Products Name Guide and as prescribed under the Uules and Regulations;

LOUIS PIZITZ DRY GOODS CO., INC. 1115 1113 Decision (2) That the fur product contains or is composed of used fur when such is the fact;

(3) That the fur product contains or is composed of bleached dyed or otherwise artificially colored fur, when such is the fact; (4) That the fur product is composed in whole or in substantial part of paws, tails, bellies, or waste fur, when such is the fact; (5) The name and address of the person issuing such invoices; (6) The name of the country of origin of any imported furs contained in a fur product;

(7) The item number or mark assigned to a fur product; B. Setting forth information required under S5 (b) (1) of the Fur Products Labeling Act and the llules and Regulations promulgated thereunder in abbreviated form; C. Failing to set forth the term "Dyed Mouton processed Lamb" in the manner required;

2. Falsely or deceptively advertising fur products through the use of any advertisement, representation, public announcement or notice which is intended to aid, promote, 01' assist, directly or indirectly, in the sale or offering for sale of fur products, and which:

A. Represents, directly or by implication, that fur products are offered for sale at prices which are below \vholesale, when such is not the fact;

B. Represents, directly or by implication, that price concessions for fur products purchased have been obtained due to buying power, or for any other reason, when such is not the fact. DECISION OF THE CO!\MISSION AND ORDER TO FILE REPORT OF COMPLIA1\CE Pursuant to Section 3.2J of the Commission s Rules of Practice, the initial decision of the hearing examiner shall, on the 4th day of February 1959, become the decision of the Commission; and accordingly:

It is onle, ed That respondent Louis Pizitz Dry Goods Co., Inc. a corporation, shall, \within sixty (60) days after service upon it of this order, lile with the Commission a report in writing, seUing forth in detail the manner and form in which it has complied with the order to cease and desist.

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Order 55 F.