Derry Fibre Mills, Inc.

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IN THE MATTER OF DERRY FIBRE MILLS, INC., ET AI, CONSENT ORDER, ETC., IN HE(;ARD TO THE ALLEGED VIOLATION OF THE FEDERAL TRADE COMMISSION AND THE WOOL PRODL'CTS LABEUNG ACTS Duckd 7275. Complni1tt, Oct. 1958-Decision, Feu. , 1.59 COJIent order requiring a manufacturer in Derry, N. , to cease violating the Wool Products Labeling Act by failing to label wooJen st.ocks as required by t.he Ad, and by invoicing the stocks falsely as "all wool 100% wool and " loo(A all wool stade.

M,' . Garland S. Fe1' g1!SOn for the Commission, Hespondents, for themselves.

ITIAL DECISION BY AH ER E. LIPSCOMB, HEARING EXAMI The complaint herein was issued on October 8 , 1958, charging respondents with misbranding and falsely and deceptively invoicing certain of their wool products, in violation of the Federal Trade Commission Act and of the Wool Products Labeling- Act of 1939 and the Rules and Regulations promulgaled thereunder.

Thereafter, on December 12 , 1958, respondents and counsel supporting the complaint herein entered into an Agreement Contabling Consent Order to Cease and Desist, which was approver1 by the acting director and an assistant director of the Commission s Bureau of Litigation, and thereafter submitted to the hearing examiner for consideration.

The agreement identifies respondent Derry Fibre Mils, Inc. as a New Hampshire corporation, with its offce and principal place of business located at Derry, K. , and individual respondent Harry Flagler as an offcer of said corporation, in \vhi('h capacity he formulates, directs, and controls the policies and practices of the corporate respondent, his address being the same as that of the corporate respondent.

Respondents admit a1l the jurisdictional facts alleged in the complaint, and agree that the )'ecord may be taken as if finding' of jurisdictional facts had been duJy made in accordance with such allegations, Respondents \vaive any further procedure 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 ehal- DERRY FIBRE MILLS, INC" ET AL. 1153 1152 Order lenge or contest the validity of the order to cease and desist entered in accordance with the agreement. All parties agree that the record 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, when it shall have become a part of the decision of the Commission, shall have the same force and effect as if entered after a full hearing, and may be altered modified or sef 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 settement purposes only, and does not constitute an admission by the respondents that they have violated the law as alleged in the complaint. Having considered the allegations of the complaint and the provisions of the agreement and the proposed order, the hearing examiner 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 finels that this proceeding is in the public interest. Therefore It is onle?'eel That Respondents Derry Fibre Mills, Inc. , a corporation, and its offcers, and Harry Flagler, individually and as an offcer of said corporation, 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 ofiering for sale, sale, transportation, or distribution in comnlerce as "commerce" is defined in the Federal Trade Commission Act and the Wool Products Labeling Act of 1939, of woolen stocks or other "wool products as such products are defined in and subject to said Wool Products Labeling Act do forthwith cease and desist from: Failing- to securely affx to, or place on, each such product a st.amp, tag, or 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 per centum of said total fiber weight, of (1) wool, (2) reprocessed wool, (3) reused wool, (4) each fiber other than wool where ,said percent- 1154. FEDERAL TRADE COMMISSION DIcCISIONS Decision 55 F.

age by weight of such fiber is five per centum or more, and (5) the aggregate of all other fibers;

(b) The maximum percentage of the total weight of such wool product of any nonfibrous, loading, filling, or adulterating matter; (c) The name or the registered identification number of the manufacturer of such wool product or one or 11101'e persons engaged in introducing such wool product into commerce, or in the offering for sale, sale, transportation, distribution, or delivery for shipment thereof in commerce, as "commerce " is defined in the Wool Products Labeling Act of 1939.

It is fU1"thel' O1.de1"ed That respondents Derry Fibre Mills, Inc. , a corporation, and its offcers, and Harry Flagler, individually and as an offcer of said corporation, and respondents' representatives, agents, and employees, directly or through any corporate or other device, in connection with the sale or distribution of wooJen stocks or any other products in commerce, as "commerce" is defined in the Federal Trade Commission Act, do forthwith cease and desist from, directly or indirectly: Misrepresenting the constituent fibers of which their products are composed or the percentaR€S or amounts thereof, in sales invoices, shipping memoranda, or in any other manner. DECISION OF THE COMMISSIOK A D ORDER TO FILE REPORT OF COMPLIA!\CE Pursuant to Section 3. 21 of the Commission s Rules of Practice, the initial decision of the hearing examiner shan, on the 11th day of February 1959 , become the decision of the Commissian; and, accordingly:

It is ordered That respondents Derry Fibre 1\iills, Ine. , a corporation, and Harry Flagler, individually and as an offcer of said corporation, shall ,within sixty (60) days after service upon them of this order, fie v/ith 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. ?;.

MARK TRADING 1155 Decision