Steven Hasso et al. trading as Hasso'S Furs
Volume 56 · 56 F.T.C. 318
product labelingpricing comparisonsdeceptive advertising
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Steven Hasso et al. trading as Hasso'S Furs, 56 F.T.C. 318 (1959). Consumer Law Library, https://consumerlawlibrary.org/decisions/v056-0076
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In the Marrter oF _ STEVEN HASSO ET AL. TRADING AS HASSO’S FURS CONSENT ORDER, ETC., IN REGARD TO THE ALLEGED VIOLATION OF THE FEDERAL TRADE COMMISSION AND THE FUR PRODUCTS LABELING ACTS Docket 7522. Complaint, June 16, 1959—Decision, Sept. 17, 1959 Consent order requiring a furrier in Troy, N.¥., to cease violating the Fur Products Labeling Act by attaching to fur products, Jabels containing fictitious prices, represented thereby as the regular retail selling prices; by advertising in newspapers which falsely represented “savings of as much as 40% and 70%,” and represented prices falsely as reduced from regular prices which were in fact fictitious; and by failing to maintain adequate records on which such pricing claims were based. Mr. Garland S. Ferguson for the Commission. Murphy, Aldrich, Guy, Brodrick & Simon, by Mr. Bruce W. Hislop, of Troy, N.Y., for respondents.
Initia, Decision py J. Eart Cox, Heartnc Examiner The complaint charges respondents with misbranding and falsely and deceptively advertising certain of their fur products, and with failing to maintain full and adequate records disclosing the facts upon which were based certain pricing and saving claims and representations made by respondents in advertisements of said 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, respondents, their 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’s Bureau of Litigation, and thereafter transmitted to the hearing examiner for consideration.
The agreement states that respondents Steven Hasso and Richard Hasso are individuals and copartners trading as Hasso’s Furs, with their office and principal place of business located at 44 Fourth Street, Troy, New York.
The agreement provides, among other things, that respondents admit all the jurisdictional facts alleged in the complaint, and agree that the record may be 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 shall consist solely of the complaint and HASSO'S FURS 319 318 Order this agreement; that the agreement shall not become a part of the official 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 agree. ment is for settlement purposes only and does not constitute an admission by respondents that they have violated the law as 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 a full hearing. Respondents waive any further procedural steps before the hear ing 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 with the agreement.
The order agreed upon fully disposes of all 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 Rules 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, lt 7s ordered, That Steven Hasso and Richard Hasso, individually and as copartners, trading as Hasso’s Furs or under any other name, and respondents’ representatives, agents and employees, directly or through any corporate or other device, in connection with the introduction into commerce, or the sale, advertising or offering for sale, transportation or distribution, in commerce, of fur products; or in connection with the sale; advertising, offering for sale, 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 “fur product” are defined in the Fur Products Labeling Act, do forthwith cease and desist from: 1. Misbranding fur products by:
A. Falsely or deceptively labeling or otherwise identifying such products as to the regular prices thereof by any representation that the regular or usual prices of such products are any amounts in excess of the prices at which respondents have usually and customarily sold such products in the recent regular course of business; 2. Falsely or deceptively advertising fur products through the use of any advertisement, representation, public announcement, or Syllabus 56 F.T.C.
notice which is intended to aid, promote or assist, directly or indirectly, in the sale, or offering for sale of fur products, and which: A. Represents, directly or by implication, that the regular or usual price of any fur products is any amount which is in excess of the price at which respondents have usually and customarily sold such products in the recent regular course of business; B. Represents, directly or by implication, through percentage savings claims, that the regular or usual retail prices charged by respondents for fur products in the recent and regular course of business are reduced in direct proportion to the amount of savings stated, when contrary to fact;
C. Misrepresents in any manner the savings available to purchasers of respondents’ fur products;
8. Making claims or representations in advertisements respecting prices or values of fur products unless respondents maintain full and adequate records disclosing the facts upon which such claims and representations are based.
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 17th day of September, 1959, become the decision of the Commission; and, accordingly :
It is ordered, That respondents Steven Hasso and Richard Hasso, individually and as copartners trading as Hasso’s Furs, 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 which they have complied with the order to cease and desist.