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Irving Lippe

Volume 60 · 60 F.T.C. 72

Citation
60 F.T.C. 72
Docket
C-59
Complaint
1962-01-05
Decision
1962-01-05
Document type
consent order
Case type
consumer protection
Statutes
FTC Act (section 5)
Industry
merchandise distribution
Outcome
consent order entered
Relief
cease_and_desist
Source
Original volume PDF
Original PDF
This decision as a PDF

Cite this decision

Irving Lippe, 60 F.T.C. 72 (1962). Consumer Law Library, https://consumerlawlibrary.org/decisions/v060-0007

Report an error in this record (decision id v060-0007)

Order status: unknown. Sunset may be extended by the latest qualifying federal-court complaint alleging an order violation; complaints, dismissal/appeal outcomes, and respondent-specific extensions are not fully tracked.

Cited by 2 later FTC decisions

Cites

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

Ix THE lIfA TI'ER IRVING LIPPE TRADING AS LARCH PREMIUM COMPANY CONSE ORDER, ETC. , IN ID:G.Um TO TI-IE ALL':EGED VIOLil.TIO OF THE FED- ER.U TIL DE C01.nnSSION ACT Docket 0-59. Complaint, Jan. 1962-Decision, Jan. , 1962 Consent order requiring a NFW York City distributor of a variety of merchandise including transistor radios, fountain pens, and dolls, who accepted orders at a Chicago post offce box, to cease supplying means of conducting games of chance by his practice of distributing to operators and members of the public push cards or punch boards along with instructions for their use in sellng the aforesaid merchandise.

COMPLAINT Pursuant to tho provisions of the Federal Trade Commission Act and by virtue of the authority vested in it by said Act, the Federal Trade Commission, having reason to believe that Irving Lippe, an individual, trading as larch Premium Company, hereinafter referred to as respondent, has violated the provisions or said Act, and it appearing to the Commission that a proceeding by it in respect thereor would be in the public interest, hereby issues its complaint stating its charges in that respect as follows:

-\RAGH./,.PH 1. Respondent Irving Lippe is an individual trading as 11arch Premium Company. Respondent has no office address but accepts orders for merchandise at Post Offce Box 8528, Chicago 80 Illinois. His home address is 124 ,Vest 93rd Street, New York, N. PAR. 2. Respondent is now, and ror several months Jast past has been, engaged in the sale and distribution, through others, of transistor radios, fountain pens, dolls, and other articles of merchandise. PAR. 3. In the course and conduct or his said business, respondent causes, and during the past several months has caused, his said products, when sold, to be shipped from New York, New York, or Chicago Illinois, to the purchasers thereor located in various other states of the United States, and maintains, and at al1 times mentioned herein has maintained, a substantial course of trade in said products in commerce, as commerce is defined in the Federal Trade Commission Act.

PAR. 4. In the course and conduct of his business, as described above, in soliciting the sale of and in selling and distributing his sa.id merchandise, the respondent furnishes various plans or merchandising which involve the operation of games of chance, gift cntcrprise or MARCH PREMnr.\I CO.

Complaint lottery schemes when said merchandise is sold and distributed to the purchasing and consuming public. Among the methods or sales phns adopted and used by respondent and which is typical of the practices engaged in by respondent is the following: Respondent distributes, and has distributed, to operators and to members of the public certain literature including, among other things, push cards or pundl boards with inst.ructions as to their use order blanks, circulars which feature depictions of the merchandise involved in the scheme and circulars explaining respondent's plan of selling nllcl distributing his merclwnc1isc and of allotting it as premiums or prizes to operators of sa.id push cards and also as prizes to members of the consuming public who purchase eha,needs or pushes on sa.id cards. Some of respondent' s sa,id cards beat a number of perforated discs with feminine llames printed thereon and a corre spollding number of ruled columns on the back of sa.id cards for writing in the names of the purchasers of the pushes or discs corresponding to the feminine names selected. Concealed within each disc is a number \which is disclosed only when the disc is sepa.rated from the card and opened. The push card also bears a large master seal within which is concealed ft name which appears on one of the discs. 1'118 person selecting the name corresponding to the one contained within t.he milstel' seal receives n prize such as it transistor radio or a doll, depicted on the push card. For example, one of said push cards beftl's the follo\Ting, among other things: Lucky able Vnder Large Seal Receives This TRANSISTOR Radio (Picture of Radio) X o. 1 Pays 1 c Xo. 4 Pays 4 c No. 12 Pays 12 c K os. 40, 50 Each No. 18 Pays 18 c Receive Ball Pen All others Fay Only 49 c N one Higher (Panel bearing seal and eliscs) Write Your Name on ReYcrse Side Opposite 1\ a1lC You Select. Sales of responclenfs merchandise by means of said push cards are made in accorda.nce with the above described legend or instructions a.nd said prizes or premiums are allotted t.o the customers or purchasers from said card in accorcbnce -with the above legend or instructions. Complaint 60 F.

Whether a purchaser receives an article of merchandise or nothing for the amount of money paid and the amount to be paid for the merchandise or the chance to receive said merchandise are thus c1etpnninec1 wholly by lot or chance. The articles of merchandise have a value substantially greater than the price paid for the chances or pushes. R.respondent furnisl18s and has furnished various other push cards accompanied by order blanks, instructions and other printed matter for use in the sale and distribution of his merchandise by means of games of chance, gift enter,rprises or lottery schemes. The sales pbns 01' methods involved in the sale of a1J of sa.icl merch::mclise by meallS of said other push cards is the same as that hereina-boye described varying only in detail as to the merchandise distributed and the prizes or chances and the number of chances on each carel. PAR. 5. The persons to whom respondent furnishes and has furnished said push cards use the same in selling and distributing respondent' s merchandise in accordance with the aforesaid sales plans. Respondent thus supplies to and places in the hands of others the means of conducting games of chanee gift enterprises or lottery schemes in the sale of his merchandise in accordance with the sales plan hereinabove set forth. The use by respondent of said sa.les plans or methods in the sale of his merchandise and the sale of said merchandise by and through the use thereof and by the aid of said sales phns or methods is fL practice which is contrary to an established public policy of the Goyernment of the United States. PAR. 6. The sale of merchandise to the purchasing public in the manner above alleged involves a gf1.me of chf1nce or the sale of a chance to procure onc of the s lid art-ides of mercl1fmdise at a price much less than the normal retail price thereof. l\fany persons ate attracted by said sales p1nns or methods used by respondent and the element of chance involved therein and thereby are induced to huy and sell respondent's merchandise.

The USB by respondent of a sales plan or method involving distribution of merchandise hy means of chance, lottery or gift enterprise is contrary to the public interest and conshtutes unfair acts and practices in commerce within the intent and meaning of the Federal Trade Commission Act.

PAR. 7. The a.foresaid acts and pract.ices of respondent, as herein alleged, were, and are, all to the prejudice and injury of the public and constituted, and now constitute unfair acts ftnd practices in commerce in violation of Section 5 (a) (1) of the Federal Trade Commission Act. MARCH PREMIUM11 CO.

Order DECISION AND ORDER The Commission having heretofore determined to issue. its complaint charging the respondent named in the caption hereof with viohttion of the Federal Trade Commission Act, and the respondent having been served with notice of said determination and with n. copy of the complaint the Commission intended to issue, together with a proposed form of order; and The respondent and counsel for the Commission having thereafter executed an agreement containing a consent order, an admission by the respondent of all the jurisdictional facts set forth in the complaint, a statement that the signing of said agreement is for settement purposes only and docs not constitute an admission by respondent that the law has been violated as set forth in the complaint, and waivers and provisions as required by the Commission s rules; and The Commission, having considered the agreement, he.reby accepts same, issues its complaint in the form contemplated by said agreement makes the following jurisdictional findings, and enters the following order:

1. Respondent, Irving Lippe, is an individual trading as March Premium Company. Respondent has no offce address but accepts orders for merchandise at Post Offce Box 8528, Chicago 80, Illinois. His home address is 124 IV est 93rd Street, Kew York, K. 2. The Federal Trade Commission has jurisdiction of the subject matter of this proceeding and of the respondent, and the proceeding is in the public interest.

ORDER I t is ordered That respondent, Irving Lippe, trading as larch Premium Company or under any other name or names, his representatives, agents and employees, directly or through any corporate or other device in connection with the offering for sale, sale and distribution of radios, dolls, pens or other articles of merchandise in commerce, as "commerce" is defined in the Federal Trade Commission Act, do forthwith cease and desist from:

1. Supplying to or placing in the hands of others push cards or any other lottery device or devices which are designed or intended to be used in selling or distributing said merchandise to the public by means of games of cha,nce, gift enterprises, or lottery schemes. 2. Shipping, mailng or transporting to agents or distributors, or to members of the purchasing pubhc, push cards or any other lottery device or devices which are designed or intended to be used in the , .

FEDERAL TRADE COML\1JSSIOK DECISIONS Complaint 60 F.

sale or dist.ribution of respondent' s merchandise to the public by means of games of chance, gift enterprises or lottery schemes. 3. Selling or otherwise disposing of any merchandise by means of or under a plan involving a gmne of chance, gift enterprise, or lottery schenH J t -is fluthe'i' onlered That the respondent herein shall, within sixty (60) days after service upon him of this order, file with the Commission a report in writing setting forth in detail the manner and form in ,which he has complied with this order. Ix '1.l1E j)IATTER OF JOSEPH.J. IUMlA DOING BFSIKESS AS UCiITED FORIYARDING SERVICE CONSENT ORDER. , ETC., IX lU um TO THE .\ALLEGED nOLATIOX OF THE FEUER\I, TIL\Dl: CO!'DIISSIO ACT Docket C-60. ComZJZaint, Jan. 5, 1968-Decision, Jan. , 1962 Consent order requiring an il1Uvidual hl Concord, Calif. , engag"ed in sellilJg a printed mailng form for use by collection agencies and merchants in tracing delinquent dcutors, to cease representing falsely, through use of his trade name, the statement ",Ve arc holding a package consigned to you " and the general format, that a package of ,value was being held for the aduressee and would he forwarded upon return of the filled-in form. COl\IPLAIXT Pursuant to the provisions of the Fcdcra.I Trade Commission Act and by virtue of the authority vested in it by said Act, the Federal Trade Commission, ha,Ying reason to believe that.J oseph .T. Hllnia "fn individual, trading and doing business as United Forwarding Service hereinafter,l' referred to as respondent, has violated the provisions of said Act, and it appearing to the Commission that it proceeding by it in respect the.reof ,yould be in the public interest, hereby issues its compla,int, stating its charges in that respect as follows: PARAGRAPH 1. Respondent r oscph .r. Ramia, is an individual trading and doing business under the na.me of United Forwarding Service wjih his offce and principal place of business located at 2175 Pacheco Street, Concord, Calif.

PAn. 2. Respondent is nm"\, and for some time last. past July been engaged in the business of selling a printed mailing form under his ITfldc name. Respondent enllses said printed lnaterial \\hen sold, to be , UNITED FORWARDING SERVICE Complaint transported from his place of business in the State of California to purchasers thereof at their respective points of 10eaJion in yarions other states of the United States. Respondent maintains, and at all times hereina.after nlentioned has maintained, ft. course of trade in said form in com11erce as "co11merce" is defined in the Federal Trade COl111nission Act.

PAn. 3. The said printed form sold by the respondent, as heretofore alleged, is designed and intended to be used, and has been used by collection agencies, merchants and others to whom it is sold for the purpose of obtaining information concerning alleged delinquent hereinattei.: setdebtors with the aid and assistance of respondent as forth.

The said printed material consists of a double post card perforated so as to permit the two parts to be easily separated. The detachable portion of the carel gives the address L'united Forvmrding Service 600-16th Street, Oakland, California, which was the former address of the respondent. The part of the clud retained by the addressee has affxed thereto a three-cent stamp and the portion to be detached and returned to the respondent bears a notice that the postage ,,,ill be , if an-paid by the addressee. Said form sets out questions which swered, will provide information which is considered to be of value in the coJJection of accounts owed or alleged to be owed by the addressee. The purchaser of respondent's printed material, above re ferred to, fins in the name and address of the alleged debtors and/or the name and address of a known relative or t11e debtor ancl sends the forms in bulk to respondent. Respondent then mails the form individually from his aforesaid place of business. If the. addressee completes the fOrID and returns it, an envelope containing a marble: "Thich rc-and a leaflet, or flyer, advertising a " personality course spondent does not ha vc to offer, is sent to the person filling in the form. Respondent then fonnlrcls the completed form to the purchase.r.

PAR. 4. The following is typical of the printed form sold by respondent and used in the aforesaid manner:

FEDERAL TRADE CO:vMISSIO:\ DECISIONS Complaint 60 F,l'.C, ITED FORWARDI SERVICE 600-16th Street Oakland, California Date Our Ref. K o. 000100 Article PACKAGE (Stamped) This Side of Card for Address 'Ve arc holding a package consigned to Express Chgs.

you. ,17e wil forward Add. Del. Chg. I JOH package only upon completion of attached form. :SS Servo Cbg. CITY, STATE Total to .

Reason Held DIPROPER IKFORMATION (Stamped) SEE OTHER SIDE ALL CHARGES PREPAID (Stamped in box) ITED FORWARDI G SIDRVICE BOO-16th Street Oakland, California ,Ve have shipment described on reverse side which is being held at address shown below and would appreciate it if you wil assist us in forwarding package to you.

In order to avoid crowded condition in our facilty and so that we wil not be obliged to assess storage charges wil you please arrange to have your package delivered to you by fillng in the attached form properly and completely. It is understood that the information on the business reply card can be used in any manner by "Cnited Forwarding Service. Such information is necessary to locate, expedite package delivery, to correct current improper information etc. Any information you may desire wil be gladly given if you wil communicate with our offce.

UNITED FORWARDING SERVICE Complaint Postage Postage Stamp Wil Be Paid ::necessary If Mailed In the Addressee United States BUSINESS REPLY :VIAlL First Class Permit o. 5111 Oakland, Calif. UNITED FOR,VARDING SERVICE 600-16th Street Oakland, California SEND NO MONEY-PACKAGE PREPAID Packag-e :Ko. 000100 'Ve are holding a package consigned to you; it is necessary for you to fill out the following information in order to assist us in forwarding this package to you. PLEASE PRINT-Information must be complete in order to properly receive package.

Name JOIIN DOE Address In the Event 'Ve Cannot Contact You- Employer Address Wife s Employer Address Bank Reference Branch UNITED FORWARDI1\ G SERVICE :FEDERAL 'TRADE COMMISSION DECISIONS Decisi on and Order GO F. PAR. 5. By the use of the name "L'nitecl Forwarding Service the printing on the cards of the words ",Ve are holding a package consigned to you " and by other words on said card and t.he general format thereof, respondent represents, directly or by implication, to those to whom the form is mailed that the respondent is in some capacity, connected ''with the movement and transportation of goods and their delivery to the proper consigne, and that a package of value is being helel which will be forwarded upon filling in said form. PAIL 6. The aforesaid and implications Iv-cre, and are, false, misleading and deceptive. In truth and in fact, responc1enes business has, so far as the recipients of said c.ards are concerned, nothing to do \With the movement or transportation of goods, or their delivery to the proper consignees. The persons from whom the said cards are intended to obtain information are not. consignees of packages sent by others and in the hrl1ds of respondent for delivery. The, packages to "which the cards refer are those made up by respondent containing the marble and the circular referred to in paragraph 3 hereof. The sale business of respondent, conducted as aforesaid, is to sell the printed form to others to be used by them for the purpose of obtaining information concp.rning alleged delinquent debtors by subterfuge. This practice constitutes a scheme to mislead and conceal the purpose for which the information is sought.

PAIL 7. The use, as hereinbefore set forth, of said form has hfLc1 and now has, the tendency and capacity to mislead and de.ceive persons to whom said form is sent into the erroneous and mistaken belief that the said representations and implications arc true. and induce the recipients thereof to supply information which they othenYlse would not have supplied.

PAR. 8. The aforesaid acts and pract.ices of respondent, as herein alleged, "\\"ere, and a.re, all to the prejudice and injury of the public and constituted, and now constitute, unfair and deceptive acts and practices, in commerce, in violation of Section 5 (a) (1) of t.he Feclel'.l Trade Commission Act.

DECISION AND ORDER The Commission having heretofore determined to issue its complaint charging the respondent named in the caption hereof with violation of the Federal Trade Commission Act, and the respondent having been served with notice of sa,id det.termination and with a copy of the 1.SITED FORWAHDING SERVICE Dccision and Order complaint the Commission intended to issue, together with a proposed form of order; and The respondent. and counsel for the Commission having thereafter executed an agreement containing a consent order, an admission by the respondent of all the jurisdictional facts set forth jn the complaint a statement that the signing of said agreement is for settlement purposes only and does not constitute an admission by respondent that the law has been violated as set forth in the complaint, and waivers and provisions as required by the Conunission s rules; and The Commission, having considered the agreement, hereby accepts same, issues its complaint in the form contemplated by said agreement makes the following jurisdictional findings, and enter.rs the following order:

1. Respondent, Joseph J. Hamia, is an individual, trading and doing business as united Forwarding Service, with his offce and principal place of business located at 2175 Pacheco Street, Concord, Calif. 2. The Federal Trade Commission has jurisdiction of the subject matter or this proceeding nnd of the responde-nt., and the procecchng is in the public interest.

ORDER It is ordered That the respondent, Joseph J. Hamia, an individual trading and doing business as United Forwarding Service, or trading and doing business under any other name or names, and respondent' representati \'es, agents and employees, directly or through any corporate or other device, in connection with the business or obta.ining information concerning delinquent debtors, or the offering for sale sale or distribution or forms, or other material, for use in obtaining information concerning delinquent debtors, or in the collection of, or attempting to collect, delinquent accounts in COll1l11erce, as "commeI'ce is defined in the Federal Trade Commission Act, do forthwith cease and desist from:

1. Using, or placing in the hands or others for use, any form, questionnaire or other material, printed or written, which does not clearly reveal that the purpose for ,which the information is requested is that of obta.ining information concerning delinquent debtors, or in the collection of, or a.Uempting to collect, delinquent accounts. 2. Representing, or pIncing in the hands or others, any means by which they may represent, directly or by implication, tha.t a pa.ckage or other thing or value, is bejng held for the persons from whom inrormation is sought, unless respondent then has in his possession such package, or other thing or value, intended for such person and then ..

FE-DERAL TRADE COMMISSIOK DECISIONS Complaint GO F.

only when the contents of the package, or other thing of value, is clearly and expressly disclosed and described. 3. Using the name LTnitecl Forwarding Service or any other name of similar import to designate, describe or refer to re.spondents business.

It is tw.the,. onlered That the respondent herein, Joseph J. Ramia a.n individual trading and doing business as United Forwarding Service, shah, within sixty (60) days after ervice upon him of this forthorder, fiJe with the Commission a report in writing setting detail the manner and form in which he has complied with the order to cease fmcl desist.

Ix Tire TIER OF roSEPH KUSIN ET AI.. TRADING AS DIXIE BEDDI G "" FURNITl:RE CO.

COXSE?\'T onder. ETC.: IN REGARD TO Tile ALLEGED VIOL. TION OF Tile FEDER.-\L TRADE COl\BITSSION AND THE TEXTfLE I"IDER PTIODVCTS IDEXTIFICATIO:N ACTS Docket C-61. Complaint, Jan. JD62-Dedsion, Jan. 5. 1.%. Cons.ent order requiring a )lonroe, La. , co-partnership to cease dolating the Textile Fiber Products Identification Act by labeling and advertising as 70% virgin vool and 30% nylon . floor covering-s which ('ontainell substantially less nylon than thus represented; failing to indicate on labels ami in advertising that the fiber content information did not apply to the exempted backings, filings, or paddings; using tile name of the fur-bearing animal nutria uecepU'Iely in advertising in that the products concerned clid not contain hair of the nutria; remo,ing the required labels or other identification from t.textile products prior La delivery to the consumer; and using fictitious prices preceded by the term "Orig. " in advertising carpeting. C01\IPLAIKT Pursuant to tho provisions of the Federal Trade Comll1ission Act and the Textile Fiber Products Identification Act, and by virtue of the authority vested in it hy said Acts, the Federal Trade Commission having reason to believe that Joseph l\:usin, Louis i. I(usin ancll\Irs. Irving Bloom, individually and as co-partners trading as Dixie Bedding & Furniture Co. , hereinafter referred to as respondents, ha.ve viohted the provisions of said Act.s and the R.ules and Heglllatiolls prolTlUIgated under the Textile Fiber Products Identification Act, and it appearing to the Commission that a proceeding by it in respect , DIXIE BEDDING & FURNITURE CO.

Complaint thereof would be in the public interest, hereby issues its complaint stat.ing its charges in that respect as follows: P ARAGRA.PH 1. Respondents Joseph 1Cusin, Louis )1. I usin and 1\lrs. Irving Bloom are individuals and co-partners trading as Dixie Bedding & Furniture Co. The partnership has its offce and principal place of business at 811 \Vashington Street. 'Ionroe, La. PAR. 2. Subsequent to the effective date of the Textile Fiber Prod. ucts Identification Act on 1\iarch 3 , 19GO, respondents have been and are now engaged in the introduction, delivery for introduction, sale advertising, and offering for sale, in commerce, and in the. t.rtlnsporta, tion or causing to be transported in commerce, and the import.ation into the United States, of textile fiber products; andlw VB solei, ot/ereel for sale, advertised, delivered, transported and caused to be transported, textile fiber products, which h lye been a,ch-ertisecl or offered for sale in COlnmeree; and lmve sold offered for sale, advertise. , clelivered, transported and caused to bo transported, after shipment in commerce, textile fiber products, whether,r in their original st,lte or contained in other textile fiber products; as tho terms " commerce and "textile fiber product" are defined in the Textile Fiber Products Identification Act.

PAH. 3. Cert.ain of said textile fiber products were misbranded by respondents within the intent and meaning of Section 4(a) of the Textile Fiber Products Identifieation Act and the Rules and Regulations promulgated thcreuncler1 in that they were falsely and deceptively stmnped, tagged, labeled, invoiced, advertised 01' otherwise identified as to the name Or a.mount of const.it.uent fibers contained therein.

Among such misbranded textile fiber products, but not linlited there- , were floor coverings \which were falsely and deecptively ilelvertisec1 in the )lon1'oe :Morning \Vorlel, a newspaper published in the city of ::1onroe, State of Louisiana, and having a ,vide circulation in saiel State and various other states of the Gnited States, in the follmying respects: 1. Certain of said floor coverings ,were advertised as containing 70% virgin ,yool and 30% nylon whereas in truth and in fact such floor coverings contained substantially less nylon than represent.ed. 2. R.respondents in disclosing the fiber' content infonnatioll fl.S to floor coverings conta,ining e empted backings fillings, or pt c1c1illgS failed to set. forth such fiber content- informt1tion in such n manner as to 1nc1icMe t.hat it. applied only to the face, pile, or ontcr surface 01 the floor con'rings and llot to the exempted backings, fillings or puddings.

Complaint GO F.

\R. 4. Certain of said textile fiber products ,ycre further misbranded by respondents in that there "as not on or aHixed to the saiel textile fiber products any stflmp, tag, label or other means of identification shmying the required information in violation of Section 4: (b) the Textile Fiber Products Identification Act. PAR. 3. Certain of said textile fiber products wero falsely and deceptively advertised in that respondent in making disclosures or implications as to the fiber content of such textile fiber products in "written advertisements used to aid, promote, and assist directly or indirectly in the sale or ot1ering for sale of said products, failed to set forth the required information as to fiber content as specified by Section .t (c) of the Textile Fiber Products Identification Act and in the manner and f0I'11 prescribed by the Rules and Regulations promuJgat.ed under said Act.

Among such textile fiber products, but not limited thereto, were floor coverings which were falsely and deceptively advertised in the :Monroe :Ylorning ,Vorld, I1newspl1per published in the city of Monroe Stflte of Louisiana, and having a wide circulation in said State and yarions other stl1tes of the United Stl1tes, in the following respects: (1) Certain of said floor coverings "'ere advertised as containing truth and in fact such 70% Virgin ,Yool ancl30% XyJon, 1vhe.areas in floor coverings contained substantially less nylon than represented. (2) Hespol1clents in disclosing the fiber content information as to floor cove.rings containing exempted backings, fillings or p tddings failed to set forth such fiber cont.ent infonnation in such a manner as to indicate that it related only to the fa, piJe or outer surface of such floor coverings and not to the exempted backings fillings or paddings.

PAR. G. Certain of said textile fiber products were falsely and deceptively fldvertised in that the name of a fut-bearing animal, munely nutria, was used in the advertisement of such products 'Then said products or parts thereof in connection 1,,ith ,,,which the name of the fur-bearing animal ,vas used, were not furs or fur products within the meaning of the Fur Products Labeling Act, and did not contain Section 4(g) of thethe ha.ir or fiber of the nutria in violation of Textile Fiber Products Identification Act Rnd Rule n of the Rules and Regulations promulgated thereunder.

\R. 7. In disclosing the required fiber content information in adve.rtising certain textile fiber products, namely floor coverings, COIltaining exempted backings, fillings, or paddings, respondents failed , pile, orto set forth that uch disclosure re.lted only to the fflce outer surface of the floor covering and not to be exempted backing, DIXIE BEDDIKG & FURXITURE CO.

Complaint filling, or padding in violation of Hule 11 of the Rules and Regulations promulgated under the Textile Fiber Products Identification Act.

PAR. 8. After shipment of textile fiber products in commerce and prior to the time such textile fiber products were sold and delivered to the ultimate consumer, respondents removed or caused or participated in the removal of the stamps, tags, labels, or other means of identification required by the Textile Fiber Products Identification Act to be affxed to such textile fiber products, in violation of Section 5(,,) of said Act and the Rules and Ilegulations promulgated thereunder.

PAR. 9. The acts and practices of respondents, as set forth above were, and are, in violation of the Textile Fiber Products Identification Act and the Ilules and Regulations promulgated thereunder and constituted, and now constitute unfair methods of competition and unfair and deceptive acts or practices, in commerce, under the Federal Trade Commission Act.

PAR. io. In the course ,md conduct of their business respondents have been and are engaged in disseminating and in causing to be disseminated in newspn,pers of interstate circulation, advertisements intended to induce sales of its mercl1andise. PAR. 11. Among and typical, but not all inclusive of the statements appearing in the advertisements described in paragraph 10 are the following:

Prices Slashed on Fine BROADLOO1\I CARPETIKG! \V 001 and nylon broadlooms. A blend of 70% virgin wool for stabilty of colors and 30% widths.nylon for added wear. Rose ()eige, martini and Roman beige in 12-foot For living area, bedroom, dining room. Orig. 9.93 sq. yd. Sq. Yd. $twist perfect quality 12' broadloom all wool ,Viltons, textured uncut twist, frieze, cut & uncut Wiltoll. Short rolls. Orig. 7.95 to lO.D5 sq. .yeI. Sq. Yd. $5.

100% wool Wilton Truly the luxurious carpet you have always wanted at a budget price: Rose beige, llutria, sandalwood. 12-foot width. Orig. to 14. sq. yd.

Sq. Yd. $G.

PAR, 12. Through the use of the amounts in connection with tlw, term "Orig." the respondents represented that said amounts were the prices at which the merchandise referred to was usual1Jy and customarily sold by respondents in the recent and regular course or business, and through the use of said amounts and the lesser amounts that the diflerences between said amounts represented a saving to the purchaser from the price at which said merchandise was usually 719-603-64- FEDERAL TRADE COMMISSION DECISIO)/S Decision and Order 60 F, and customarily sold by respondents in the recent and regular course of business.

PAn. 13. The aforesaid representations were false, misle-ading and deceptive.

In truth and in fact, the amounts set out in connection with the ternl "Orig." were in excess of the prices at which the art.icles of solel at retailmerchandise referred to ,were usually and customarily by respondents' in the recent and regular course of business and the difference between such amounts and the lesser amounts did not represent savings from the prices at which the merchandise had been usually and customarily sold by respondents in the reecnt and regular course of business.

PAR. 14. The acts and practices of the respondents set out in paragraphs 10 through 13, were, and are an to the prejudice and injury Lir )Llld cle-of the public and constituted, and now constitute., unf , within the intent tnd mean-eeptive ads a,nd practices in commerce ing of the Federa.l Trade Commission Act.

DECISlOX AXD ORDER The Commission having heretofore determined to issue its complaint charging the respondents named in the caption llcreof with violation of the Federal Trade Commission Act and the Textile Fiber Products Identification Act, and the respondents having been served ,with notice of said determination and with a copy of the complaint the Comlnission intended to issue, together with a proposed form of order; and The respondents and counsel for the Commission having thereafter executed an agreement containing t consent order, an admission by the respondents of a11 the jurisdictional facts set forth in the complaint, a statement that the signing of said agreement is for settlement purposes only and does not constitute an admission by respondents that the law has been violated as set forth in the complaint and waivers and provisions as required by the Commission s rules; and The Commission, having considered the agreement, hereby accepts same, issues its complaint in the form contemplated by said Rgreement, makes the following jurisdictional findings, and enters the following order:

1. R.respondents Joseph ICusln, Louis 1\1. E::usin and :Mrs. Irving Bloom are individuals and co-partners trading as Dixie Bedding &. Furniture Co. The co-partnership has its office a-nd principal place of business at 811 \Vashington Street, ;\10n1'oe, La. DIXIE BEDDThTG & FURNITURE CO.

Decision and Order 2. The Federal Trade Commission has jurisdiction of the subject matter of this proceeding and of the respondents, and the proceeding is in the public interest.

ORDER It is orde't'ed That respondents .Joseph ICusin, Louis );1. ICusinand Mrs. Irving Bloom, individually and as eo-partners trading a.s Dixie Bedding & Furniture Co., and respondents' representatives, agents and employees, directly or through any corporate or other device, in connection with the introduction, deliver:r for introduction, sale, advertising or offering for sale, in commerce, or the transportation or causing to be transported, in commerce, or the importation into the United States of textile fiber products; or in connection 'with the sale offering for sale, advertising, delivery, transportation, or causing to be transported, of textile fiber products which have been advertised or offered for sale in commerce; or in connection with the sale, offering for sale, advertising, delivery, transportation, or causing to be transported, after shipment in commerce, of tcxtile fiber products, vdlether in their original state or contained in other textile fiber products as the terms "commerce" and "textile fiber product" are defined in the Textile Fiber Products Identification Act, do forthwith cease and desist from:

A. :lIisbranding textile fiber products by falsely or deceptively stamping, tagging, labeling, invoicing, advertising or otherwise identifying such products:

1. As to the name or amount of constituent fibers cont Lined therein. 2. By failing to set forth that thc required disclosure as to the fiber content of floor coverings relates only to the face, pile, or outer surface of such products and not to eXelnptecl backing, filling, or padding when such is the case.

D. lisbranding textile fiber products by failing to affx labels to such textile fiber products showing each element of information required to be disclosed by Section 4 (b) of the Textile Fiber Products Identification Act.

C. Falsely and deceptively advertising textile fiber products by: 1. 1aking any representations by disclosure or by implication of the fiber contents of any textile fiber product in any written advertisement which is used to aid promote, or assist directly or indirectly in the sale or offering for sale of such textile fiber product unless the same information required to be shown on the stamp, tag, label or other means of identification under Sections 4(b) (1) and (2) of the Textile Fiber Products Identifieation c\.ct is cont.ained in the saiel advertisement, except that the percentages of the fibers present in the textile, fiber product need not be stated.

, FEDERAL TRADE com:'1!SSIOX DECISIONS Decision and Order Gd 2. Failing to set forth that the disclosure of the fiber content of iloor coverings relates only to the face, pile or outer surface and not to the exempted backing, filling or padding of such products where such is the case.

3. Using any names, words, depictions, descriptive matter or other symbols, which connote or signify a fur bearing animal, unless such products or parts thereof in connection with which the names, words depictions, descriptive matter or other symbols arc used, are furs or fur products within the meaning of the Fur Products Labeling Act provided, however, that where a textile fiber product contains the hair or fiber of a fur-bearing animal, the name of such animal, in conjlmction with the word "fiber hair, or "blend", may be used. D. Failing to set forth that the disclosure of the required fiber content information as to floor coverings containing exempted backings, fillings, or pad dings, relates only to the face, pile or outer surface of such textile fiber products and not to the exempted backings, fillings or paddings.

E. Removing, causing or participating in the removal or mutilation of any stamp, tag, label, or other identification required to be affxed to textile fiber products, after shipment of such textile fiber products in commerce and prior to the time such textile fiber products are sold and delivered to the ultimate consumer, except as permitted by the Textile Fiber Products Identification Act. It ,is furthe1' oTCleTed That respondents Joseph I\.usin, Louis )1. Kusin and :\1rs. Irving Bloom, individually and as copartners, trading as Dixie Bedding & Furniture Co., and respondents' representatives agents and employees, directly or through any corporate or other device, in connection with the advertising, offering for sale, sale or distribution of their floor coverings or other products bl commerce as "commerce" is defined in the Federal Trade Commission Act, do forthwith cease and desist from:

1. Hepresenting, directly or by implicat.ion, in any manner, that any amount is the usual and regular retail price of merchandise when such amount is in excess of the price at which respondents have usually and customarily sold such products in the recent regular course of business.

2. J\Iisrepresenting in any manner, the savings available to purchasers of respondents' products.

It is fwtller onlereel That the respondents herein 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 this order. THE RUBBER ANUFACTURERS ASS , IXC. , ET AL. Complaint

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