George Horwitz

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

IN THE MATTER OF GEORGE HOR1VITZ ET AL. DOING BUSINESS AS NORTH BERGEN QUILTING CO~1P ANY CONSENT ORDER, ETC., IN REGARD TO THE ALLEGED VIOLATION OF THE FEDERAL TRADE COl\Il\IJSSION ACT Docket C-214. Complaint, Sept. 10, 1962-Decision, Sept. 10 1962 Consent order requiring manufacturers of sleeping bags and cot pads in North Bergen, N.J., to cease confusing purchasers as to the finished size of their products by listing the "cut size" in their circulars and other advertising and promotional material and on attached tags or labels, when the actual size was smaller than the cut size.

COJIPLAIKT Pursuant to the provisions of the Federa.l Trade Commission Act and by virtue of the authority vested in it by said Act, the Federal Trade Commission, having reason to believe that George :Horwitz and lHilton Horwitz: individually and as copartners doing business as North Bergen Quilting Company, hereinafter referred to as respondents, have violated the provisions of said Act, and it appearing to the Conllllission that a proceeding by it in respect thereof would be in the public interest, hereby issues its complaint, stating its charges in that respect as follows:

PARAGRAPH 1. Respondents George Horwitz and ~1ilton Horwitz are individuals and copartners doing business as North Bergen Q,uilting Company, with their office and principal place of business located at 6035 I-Iudson Boulevard, North Bergen, N. PAR. 2. Respondents are no\Y, and for some time last past have been engaged in the m~mufacture, advertising, offering for sale, sale and distribution of sleeping bags and cot pads to retailers for resale to the public.

PAR. 3. In the course and conduct of their business, respondents now cause, and for some time last past have caused, their said products, when sold, to be shipped from their place of business in the State of New Jersey to retailers thereof located in various other States of the United States, and in the District of Columbia, and maintain, and at all times Inentionecl herein have maintained, a substantial course of trade in said products in commerce, as "commerce" is defined in the Federal Trade Commission Act.

PAR. 4. Respondents, for the purpose of inducing the purchase of their products, have engaged in the practice of listing in their circl1- Decision and Order 61 F.

lars, and other advertising and promotional material and by tags tickets or labelsattachec1 to said products listing the " cut size" thereof which is ahnost invariably larger than the actual size of the products in question. The term "eut size, when used in the manner as alleged above., is eonfusing and tends to indicate that such a description is the actual size of the finished products. In truth and in fact, this is almost never the case, as the actual size of the finished products is smaller than the sizes set out on the labels. Therefore the statements and representations set forth above were and are, false, lllisleadingand deceptive.

PAR. 5. By the aforesaid acts and practices respondents place in the hands of the uninformed or unscrupulous retailers llleans and instrulllentalities by and through 'which they may mislead the public as to the size of said products.

PAR. G. In the course and conduct of their business, and at all times lllentionec1 herein, respondents have been in substantial competition in commerce, with corporations, firms ald individuals in the sale of products of the same general kind and nature as that sold by respondents.

PAR. 7. The use by respondents of the aforesaid false, misleading and deceptive state.111ents, representations and practices has had and now has the. capacity and tendency to mislead members of the purchasing public into the erroneous and n1mistaken belief that said statelllents and representations were and are true and into the purchase of substantial quantities of respondents' products by reason of said erroneous and mistaken belief.

PAR. 8. The aforesaid acts and practices of respondents, as herein alleged, ,,-ere, and are, all to the prejudice and injury of the public and of respondents' competitors and constituted, anc1now constitute unfair methods of competition in COllll11erce and unfair and deceptive acts and practices in commerce, in violation of Section 5 ( a) (1) the Federal Trade Commission ...L\..ct.

DECISION AND ORDER The Commission having heretofore determined to issue its complaint charging the respondents named in the caption hereof with violation of the Federal Trade Commission Act, and the respondents having been served with notice of said determination and with a copy of the complaint the Commission intended to issue, together with a proposed form of order; and The respondents and counsel for the Conllnission having thereafter executed an agreement containing a consent order, an admission by NORTH BERGEN QUILTING CO. 449 447 Decision and Order respondents of all the jurisdictional facts set forth in the complaint to issue herein, 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 such complaint and waivers '~'1nd 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 agreement, makes the following jurisdictional findings, and enters the following order:

1. Hespondents George Horwitz and ~~Ii1ton Horwitz are individuals and copartners doing business as North Bergen Quilting Company, with their office and principal place of business located at 6035 Hudson Boulevard, North Bergen, N.

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 1 t is O1'de?'ed That respondents George Horwitz and ~~filton Horwitz, individually and as copartners doing business as North Bergen Quilting Company or under any other name or names, and respondents representatives, agents and employees, directly or through any corporate or other device, in connection with the offering for sale, sale and distribution, in commerce as "commerce" is defined in the Federal Trade Commission Act, of sleeping bags, cot pads or other similar merchandise, do forthwith cease and desist frolll: 1. Advertising, lab€ling, representing in circulars, catalogs or otherwise representing the "eut size" or dimensions of material used in their construction unless such representations are accompanied by c1escTiptions of the finished or actual size, with the latter description being given at least equal prominence; . l\1:isrepresenting the size of such product on labels or in any other manner;

3. Furnishing to others any means or instrumentality by or through which the public may be misled as to the finished or actual size of their finished products.

1 tis further ouZerecl That the respondents herein shall, within sixty (60) days airel' service upon them of this order, file with the Conll11ission a report in writing setting forth in detail the manner and form in ",which they hate complied ,with this order. 450 FEDERAL TRADE COl\IMISSION DECISIONS Complaint 61 F.