Babijuice Corporation of Florida

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IN THE l\IATTER OF BABIJUICE CORPORATION OF FLORIDA COXSEN"T onder, ETC.. IN REGARD TO THE ALLEGED VIOLATION OF SEC. 2 (c) OF TUE CL/\.YTON ACT Docket 8001. Complaint, June 1960-Decision, May 1961 Consent order requiring an Orlando. Fla. , l1ncker of citrus fruit to cease yjolating Sec. 2(c) of the Clayton Aet by paring brokerage, or its equivalent, to cnstomel's making lHll'chases for their own accounts for resale. 890 FEDERAL TRADE COM::nSSION DECISIONS Complaint 58 F, fPLAIXT 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 snbscetion (c) of Section 2 of the Clayton Act, as amended (V. C. Title 15, Section 13), hereby issues its complaint, stating its charges with respect thereto as follows:

PARAGRAPH 1. Respondent Babijuice Corporation of Florida is a corporation organized, existing and doing bllsine.ss under and virtue of the Jaws of the State of Florida, with its offce and principal place of business located at Orlando, Florida., with mailing address as Post Offce Box 2215, Orlando, Florida. PAR. 2. Respondent is TImv and since January 1 , 1957 has been engaged in the business of pncking, selling and distributing citrus fruit, such as oranges, tflngerines and grapefruit, a.ll of which are he,reinafter referred to as citrus fruit or fruit products. Respondent sells and dist.ributes its citrus fruit through brokers, as well as direct, to customers located in many sections of the United States. When brokers a.re utilized in making sales for it, respondent pays them for their services a brokerage or commission, usually at the rate of 10 cents per 1% bushel box, or e.quivalent. R.respondent's annual volume of business in the sale and distribution of citrus fruit is substantial.

PAR. 3. In t.he course and conduct of its busine,ss over the past several years, l'Bspondent has sold and distributed and is now 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 Florida, or from other places ''v within the State, to such buyers or to the buyers' customers located in various other state\.s of t.he Unite,d States. Thus there lias been, at all times mentioned herein, a continuous course of trade in commerce.e in such citrus fruit RCTOSS state lines between said respondent and the respect1T'c buyers of such fruit. PAR. 4. In the course and conduct of irs business as flforesaid respondent has been and is now making snDstnnbal Bflles of citrus fruit to some, but not alj, of its brokers nnd direct buyers Pllrchasing for the.ir own accollnt for resale. and on n. largt', number of these sales respondent paid. granted or allowecl and is nm\" paying, granting or allowing ro these brokers and other djrecl buyers on rhe, purchases, a commission, brokerage: or other compensatjon, or an &, BABlJUICE CORPORATION OF FLORIDA 891 8S9 Decision allowance or discount in lieu thereof, in connection therewith. PAR. 5. The acts and practices of respondent, as above aUeged and described, am in violation of subsection (0) of Section 2 of the Clayton Act, as amended (D. C. Title 15, Section 13). Mr. Oecil G. Miles and Mr. Ernest G. Barne" for the Commission. Gallup lladley, of Boston, Mass. , by lVfT. Martin W. Oohen for respondent.

INITIAL DECISION BY 1VILLIAM L. PACK, HEARING 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 now been executed by respondent. and its counsel and counsel supporting the complaint and submitted to the hearing examiner for his consideration. Attached 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 word "agreement" as used here.inafter will include the stipulation.

The agreement provides, among other things, that respondent admits 1111 of the jurisdictional allegations in the complaint; 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 inclusion of findings of fact and conclusions of law in the decision disposing of this matter is waived, together with any further procedural steps before the hearing examiner and the Commission; that the order hereinafter set forth may be entered in disposition of the proeepding, such order to have the same force ami. effect as if entered after a full hearing, respondent specifically waiving any and all rights to challenge or contest the validity of such order; that the order may be alte,red, modified or set aside in the manner provided for other orders of the Commission; that. the complaint Inay be used in construing the terms or tlle order; and that the agreement is for settlement purposes only and does not constiastute an admission by respondent that it has violated the la,w alleged in the complaint.

The hearing cXfuniner having considered the agreement and propose.d ordel' , and being or the opinion that they provide an adequate basis ror appropriate disposition of the proceeding, the agreement is hereby accepted, the following jurisdictional findings made, and the following order issued:

1. Respondent Babijuice Corporation of Florida is a Florida corporation with its offce and principal place of business located in Syllabus 58 !!, Orlando, Florida, with mailing address as Post Offce Box 2215 Orlando, Florida.

2. The Federal Trade Commission has jurisdiction of the subject matter of this proceeding and of the respondent. ORDER It w ordered That the respondent Babijuice Corporation of Florida, a corporation, and it.s offcers, agents, representat.ives and employees, directly or through any corporate or other device, in connection with the sale of citrus fruit or fruit product.s in commerce as "commerce" is defined in the aforesaid Clayton Act, do forthwith cease and desist from:

Paying, granting or allowing, 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 saJe of citrus fruit or fruit products to such buyer for his own account. DECISION OF 'file COl\DIISSlO:N AND ORDER TO FILE REPORT OF CO IPLIANCE Pursuant to Section 3.21 of t.he Commission s Rules of Practice the initial decision of the hearing examiner shall, on the 19th day of May 1961, become the decision of the Commission; anu, accordingly:

It w ordered That respondent herein shah, within sixty (60) days after service upon it of this order, file with the Commission a report in writing setting forth in detail the manner and form in which it