Regent-Sheffield, LTD.

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

IN THE MATTER OF REGENT-SHEFFIELD, LTD., ET AL.

CONSENT ORDER, ETC. , IN REGARD TO THE ALLEGED VIOLATION at" THE FEDERAL TRADE COMMISSION ACT Docket. 7282. Cumplaint, Oct. J 7, 1 D58-Decision, Feb. 105.9 Consent oruer requiring distributors of cutlery in New York City to cease selling without disclosure of foreign origin, carving forks assembled from heads mam1factured in Japan and stamped on the shanle with the word JaJJan " which was concealed in the process of assembling with domestic handles, and paclwged with carving knives, the blades of which were made in England and so marked ami attached to domestic handles; to cease preticketing their merchundise, and furnishing their customers, with tags bearing fictitious and greatly exaggerated prices represented thereby as regular retail prices; and to cca e representing certain kinds of merchandise falsely as " 24 karat Rold plated" by catalog' sheets urton imprints, and attached "tickers.

Ames VV. Williams Esq., for the Commission. Respondents pro se.

INITIAL DECISION BY ROBERT L. PIPER, HEARING EXAMINF:R The Federal Trade Commission issued its complaint against the above-named respondents on October 17, 1958, charging them with having violated the Federal Trade Commission Act, by misrepresenting the quality, price and origin of their products. Hespondents appeared and entered into an agreement dated December 12 , 1958, containing a consent order to cease and desist disposing of al1 the issues in this proceeding without further hearings, which agreement has been duly approved by the acting director of' the Bureau of' Litigation. Said agreement has been submitted to the undersigned, heretofore duly desiguated to act as hearing examiner herein, for his consideration in accordance ,with 83.25 of' the Rules of' Practice of the Commission. Respondents, pursuant to the aforesaid agreement, have admitted all of the jurisdictional allegations of the complaint and agreed that the record may be taken as if fmdings of jurisdictional facts hact been made duly in accordanee with such allegat.ans. Said agreement further provides that respondents waive all further procedural steps before the hearing examiner or the Commission, including the making of findings of fact or conclusions of law and the right to challenge or contest the validity of REGENT-SHEJ.' FIELD, LTD., ET AL. 1159 1158 Order the order to cease and desist entered in accordance with such agreement. It has also been agreed that the record herein shall consist solely of the complaint and said agreement, that the agreement shall not become a part of the offcial record unless and until it becomes a part of the decision of the Commission, that said agreement is for settlement purposes only and does not constitule an admission by respondents that they have violated the Jaw as alleged in lhe complaint, that said order to cease and desist shall have the same force and effect as if entered after a full hearing and may be altered, modified, or set aside in the manner provided for other orders, and that the complaint may be used in construing the terms of the order. This proceeding having now come on for final consideration on the complaint and the aforesaid agreement containing the consent order, and it appearing that the order and agreement cover all of the allegations of the complaint and provide for appropriate disposition of this proceeding, the agreement is hereby accepted and ordered filed upon this decision and said agreement becoming part of the Commission s decision pursuant to SS3. and 3. 25 of lhe Rules of Practice, and the hearing examiner accordingly makes the following findings, for jurisdictional purposes, and order:

1. Respondent Regent-Sheffeld is a corporation existing and doing business under and by virtue of the laws of the State of New York, with its offce and principal place of business located at 3545 Webster Avenue, Bronx, New York, N. 2. Individual respondents Jerome S. Hahn and Bernard Fuller , directare offcers of the corporate respondent. They dominate and conlrol the policies, acts and practices of the corporate respondent and their address is the same as that of the corporate respondent.

3. 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 Federal Trade Commission Act, and this proceeding is in the interest of the public. ORDER It is urdered That the respondent Regent-Sheffeld, Ltd., a corporation, and its offcers, am1 Jerome S. Hahn and Bernard Fuller, individually and as offcers of said corporation, and respondents' agents, representatives and employees, directly or Decision 55 F.

through any corporate or other device, in connection with the offering for sale, sale, or distribution of cutlery, or other merchandise, in commerce, as "commerce" is defmed in the Federal Trade Commission Act, do forthwith cease and desist from directly or indirectly, 1. Offering for sale or sellng cutlery or any other product containing parts made in Japan, or in any other foreign country except England, combined with components made in England and bearing a legend asserting- or indicating English origin, without affrmatively disclosing the country of origin of such other parts; 2. Offering for sale or selling any product, made in Japan or in any foreign country, without clearly disclosing the foreign origin of such product;

3. Hepresenting by words or symbols on the containers in which cutlery or other products, made in part in Japan, or any other foreign country other than England, are shipped, or in any other manner, that such products are of English origin; 4. Representing through the use of the words "Plant-Upper Allen Street-Sheffeld, England" on price lists, advertisements and invoices, or in any other manner, that respondents own, operate, or control a factory in England or any other foreign country in which their products are made;

5. Hepresenting, by preticketing, or in any other manner, that a certain amount is the customary or usual retail price of merchandise when said amount is in excess of the price at which said merchandise is customarily and usually sold at retail; 6. Representing that merchandise is gold plated unless it has a surface plating of gold or gold alloy applied by a mechanical process provided, however, that a product or a part thereof on which there has been affxed by an electrolytic process a coating of gold, or a gold alloy of not less than 10 karat fineness, the minimum thickness of ,,,which is equivalent to seven one-millionths of an inch of fme gold may be marked or described as gold electroplate or gold electroplated.

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 day of February 1959 , become the decision of the Commission; and, accordingly:

REGENT-SHEFFIELD, LTD., ET AI" 1161 1158 Dccision It is ordered That the above-named respondents shall, within sixty (60) days after service upon them of this order, file with the Commission a report in writing, settng forth in detail the manner and form in which they have complied with the order to cease and desist.

Decision 55 F.