Apopka Fruit Co.

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

IN THE MATTER OF APOPKA FRUIT CO.

SENT ORDER, ETC. , IN REG.\HD TO THE ALLEGED VIOLATlOX OF SEC. 2(c) OF Tile CLAYTON ACT Docket 7936. Complaint, June 1960-Decision, May, 1961 Consent order requiring a citrus fruit packer at Apopka, Fla., to cease violating Sec. 2((') of the Clayton Act by paying brokerage, or its equivalent, to customers making purchases for their own accounts for resale. CO:\Il'LAINT The Federal Trade Commission, having reason to believe that the party respondent named in the capt.ion hereof, and hereinafter more particularly described, has been and is now violating the provisions of subsection (c) of Section 2 of the Clayton Act, as amended (U. C. Title 15 , Section 13), hereby issues its complaint, stating its charges with respect thereto as follows: PARAGRAPH 1. Respondent Apopka Fruit Co. is a corporation organized, existing and doing business under and by virtue of the laws of the State of Florida, with its offec and principal place of business located at Apopka, Florida, with mailing address as Post Offce Box 627, A popka, Florida.

PAR. 2. Respondent is now and for the past several years has been engaged in the business of paeking, selling and distributing citrus fruit, such as oranges tangerines and grapefruit, all of which are hereinafter sometimes referred to as citrus fruit, or fruit products. Respondent sells and distributes its citrus fruit through brokers as well as direct to customers located in many sections of the United States. 'Where brokers are utilized in making sales for it respondent pays the.m for their services a brokerage or commission usually at the rate of 10 cents per l%th bushel box, or equivalent. Respondent' s annual volume of business in the sale. and distribution of citrus fruit is substantial.

PAR. 3. In the course and conduct of its business over the past several ye.ars, respondent has sold a,nd distributed and is nm\' selling and distributing its citrus fruit in commerce, as "commerce" is defined in the aforesaid Clayton Act, as amended, to buyers located in the several States of the United States other than the State of Florida in which respondent is located. Respondent transports or causes such citrus fruit: when sold: to be transported from its place of business or packing plant in the State of I' Jorida, or from other 878 FEDERAL TRADE COMMISSIO:: DECISIONS Decision 58 F.

places within the State, to such buyers or to the buyers' customers located in various other States of the United States. Thus there has been at an times mentioned herein a continuous course of trade in commerce in said citrus fruit across state lines between said respondent and the respective buyers of such fruit. PAn. 4. In the course and conduct of its business as aforesaid respondent has been and is now making substantial sales of citrus fruit t.o some, but not aJl, of its brokers and direct buyers purchasing for their own account for resale, and on a large number or these sales respondent paid, granted, or allowed, a.nd is now paying, granting or allowing to these brokers and other direct buyers on their purchases, a commission brokerage, or other compensation, or an allowance or discount in Jieu thereof, in conne,ction therewith. P AH. 5. The acts and practices of respondent, as above alleged and described, are in violation of subsection (c) of Section 2 of the Clayton Act, as amended (U. C. Title 15, Section 13). Mr. Oecil G. Miles aud Mr. Ernst G. Barnes for the Commissicn. INITIAL DECISION BY EARL J. KOLB, HEAlUNG EXAMINER The complaint in this matter charges the respondent with violation of Section 2(c) of the Clayton Act, as amended. An agreement for disposition of the proceeding by means of a consent order has uow been executed by respondent and counsel supporting the complaint and submitted to the hearing examiner for his consideration. \ttached to and made a part of the agreement is a stipulation entered into by the same parties for the purpose of making clear the intent of the complaint and of the proposed order to cease and desist. The agreement provides, among other thiugs, that respondent admits all of the jurisdictional allegations in the complaint; that the record on which the initial decision aud the decision of the Commission shall be based shall cousist solely of the complaint and the agreement; that the inclusiou of findings of fact and conclusions of law in the decision disposing of this matter is waived, together with any further procedural steps before thc hearing examiner and the Commission; that the order hereinafter set forth may be entered in disposition of the proceeding, such order to have the same force and effect as if entered after a full hearing, rcspondcnt specifically waiving auy and all rights to challenge or eon test the validity of such order; that the order may be altered, modified or set aside iu the manner provided for other orders of the Commission; that the APOPKA FRUIT CO. 879 877 Decision complaint may he used in construing t.he terms 01 the order; and that the a,grecment is for settlement purposes only and does not constitute an admission by respondent that it has violated the law as alleged in the complaint.

The hearing examiner having considered the agreement, and the propose,d order, and being of the opinion that they provide an adeguate basis for appropriate disposition of the proceeding, the agreement is hereby accepted, the following jurisdictional fmdings made and the fo1Jowing order issued:

1. Respondent, Apopka Frujt, Co. , is a corporation existing and doing business under and by virtue of the laws of the State of Florida, with its offce and principal place of business located in the City of Apopka, State of Florida, with mailing address as P. O. Box 627, Apopka, Florida.

2. The Federal Trade Commission has jurisdiction of the subject mat.ter of this proceeding and of the respondent. ORDER It is ordered That the respondent, Apopka Fruit Co. , a corporation, and its offcers, agents, representatives and employees, directly or through any corporate or other device, in connection with the sale or citrus fruit or fruit products in commerce, as "commerce is defined in the aforesaid Clayton Act, do forthwith cease and desist from:

Paying, granting or a!Jowing, directly or indirectly, to any buyer or to anyone acting for or in behalf of, or who is subject to the direct or indirect control of such buyer, anything of value as a commission, brokerage, or other compensation, or any allowance or discount in lieu thereof, upon or in connection with any sale or citrus fruit or fruit products to such buyer for his own account. DECISION m' THE CO).OfISSION AND ORDER TO FILE REPORT OF CO)IPLIA The Commission having now determined that the hearing examiner s initial decision, filed February 2, 1961, is adeguate and appropriate to dispose of this proceeding:

1 t is ordered That said decision be, and jt hereby is, adopted as the decision or the Commission.

It is furthe?' ordered That the respondent shall, within sixty (60) days after service upon it or this order, fie with the Commission a report, in writing, setting forth in detail the manner and rorm il1 which it has coln plie,d with the order to cease and desist contained in the aforesaid initial decision.

880 FEDERAL TRADE COIvLMISSIO DECISIONS Complaint 58