Albert J. Maduri

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

In THE Matter oF ALBERT J. MADURI DOING BUSINESS AS CAM COMPANY, ETC.

CONSENT ORDER, ETC., IN REGARD TO THE ALLEGED VIOLATION OF THE FEDERAL TRADE COMMISSION ACT Docket C-828. Complaint, Apr. 5, 1968—Decision, Apr. 5, 1968 Consent order requiring a Verona, N.J., individual engaged in the sale of merchandise and catalogs, order blanks, and other supplies and equipment used in the operation of a mail order business, to cease making various misrepresentations concerning the size of his business, earnings, and profits to be made, opportunities, etc., as below indicated, to induce persons to enter into “distributorship” or “partnership arrangements with his companies. and to purchase his said products.

Complaint Pursuant to the 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 Albert J. Maduri,, an individual trading as Cam Company and Debb Company, hereinafter referred to as respondent, has violated the provisions of said Act, and it appearing to the Commission 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: Paracrapy 1, Respondent Albert J. Maduri is an individual trading and doing business as a sole proprietorship under the names of Cam Company and Debb Company, with his office and principal place: of business located at 436 Bloomfield Avenue, Verona, New Jersey. CAM CO., ETC. 1087 1086 Complaint Par. 2. Respondent is now, and for some time last past has been, engaged in the advertising, offering for sale, sale and distribution of merchandise and various kinds of catalogs, order blanks, and other supplies and equipment used in and necessary for the operation of a mail order merchandising business.

Par. 3. In the course and conduct of his business, respondent now causes and for some time last past has caused, said merchandise and said supplies and equipment, when sold, to be shipped from his place of business in the State of New Jersey to purchasers thereof located in various other States of the United States and maintains, and at all times mentiond herein has maintained, a substantial course of trade in said merchandise, supplies and equipment in commerce, as “commerce” is defined in the Federal Trade Commission Act. Par. 4. In the course and conduct of his business as aforesaid, and for the purpose of inducing persons to enter into “distributorship” or “partnership” arrangements with his aforesaid companies, and to purchase his merchandise, catalogs and supplies, respondent has made many representations respecting the kind and nature of his business or organization, the merchandise available for sale and the profits which may be earned in the conduct of a mail order business of the kind offered by the respondent. Said representations have been made by and through the use of various trade names, in advertisements in magazines of national circulation, and in circulars, form letters and other advertising material mailed and distributed in commerce by the respondent directly to proposed purchasers and from which orders for said merchandise and said supplies and equipment were and are ordered by such purchasers. Typical but not all inclusive of said statements or representations were the following: 1. How would you like to get into a Billion Dollar business. 2. * * * I am still the sole owner of a mail order business that employs as many as 21 men and women.

8. I have come up with a mail order plan that, I believe, can easily pay you up to $100 a week in your spare time.

4, All you have to do to make $5,000 a year and more is to distribute our catalogs.

5. There are an estimated 80,000,000 mail order customers in the U.S.A. 6. * * * We are sending this guarantee through the U.S. Mail. Using the mails to Defraud is a very serious crime. ; 7. The cost of a Distributorship is $10.00 a year. This small fee helps cover part of our clerical cost.

8. Customers of distributors may buy catalogs only from us. As an example, if one of your customers bought 1,000 catalogs from us, you, as distributors, would receive 20% commission on each and every order that your customer sent to us that he received from these 1,000 catalogs. 9. * * * We will pay you a lifetime commission * * *, TOES FEDERAL TRADE COMMISSION DECISIONS Complaint - 62 F.T.C, 10. Our best all time distributor is David K. Pope of Flint, Michigan. Mr. Pope received over $20,000 in commission checks from us over a three year period. His Christmas check alone for three straight Christmas seasons added to over $3,000 each check on a total of over $9,000 for just 3 Holiday seasons. 11. There is absolutely no reason why you, too, cannot receive $20,000 in commission checks from us during the next three years * * *, 12. We urge you to become a distributor immediately. We are limited as to how many distributors we can handle. Once we reach our quota we will not be able to mail you this offer again.

18. I am certain that you have never tried to make money with the best money making plan of all time. How can I be sure? Very simple. Everyone who has tried the best money making plan has made money. Some people, of course, have made more money than others but they all have made money. 14. There are over 5,000 men and women currently working full-time at this plan and they are making as much as $300 a week. 2,000 part-timers working this plan are making up to $100 a week. These figures prove that this plan is the most successful home operated plan of all time. 15. (This plan) it has more repeat business than any other plan. The other good point is that the plan works during both prosperous and depressed times. 16. This plan is so profitable that even an invalid or physically disabled person can operate this business by hiring a man or woman to work for him. The profits from the plan are so tremendous that there will still be a nice income for the disabled or invalid after paying his worker a full salary. 17. Now many of you may think there is a “catch” to this offer. You may think that it all is too good to be true. There is only one “catch” to our offer and we mention it before you join our factory buying service. We have our regular wholesale customers who buy from us at wholesale prices which are 20% to 40% above our factory prices. We have found that from January 1 to November 15, we can double our volume of business without paying our workers overtime. It is during this period of ten and a half months that we can use a certain amount of factory buying members who will help move our tremendous inventory and keep our many workers busy eight hours a day. The “catch” then is that factory buying members may buy as often and as much as they want but only from January 1 to November 15. All factory priced orders that we receive postmarked after November 15 will be returned unfilled. We, frankly, are entirely too busy with our regular wholesale business after November 15 right till Christmas. Because of this overtime factor, we would lose money on Each and Every factory priced order filled during this 45 day rush period.

18. Advertised in Life Magazine 19. Advertised in Look Magazine PAGODA PERFUME ;

. Pagoda perfume by Ravel. Nationally advertised in Harper’s Bazaar, Town & Country, Mademoiselle and Vogue.

20. Guaranteed by Good Housekeeping 21. Factory Price List No. 4 All prices with the exception of three items are FACTORY PRICES. Wholesale Price List No. 317-H 22. All our items are * * * fully guaranteed Par. 5. By and through the use of the aforementioned statements and representations, and others of similar import and meaning not ‘CAM CO., ETC. 1089 1086 Complaint specifically set out herein, respondent Tepresents directly or 5 1 2 1 1 10 1818 622 46 68 93.997047 by4 1 2 1 2 0 551 671 1055 51 -1 5 1 2 1 2 1 551 671 205 51 93.255615 implications 1 2 1 2 2 775 686 7 21 93.240822 :3 1 2 2 0 0 592 690 964 78 -1 4 1 2 2 1 0 592 690 964 78 -1 5 1 2 2 1 1 592 726 45 32 91.573944 A.5 1 2 2 1 2 661 728 28 30 87.366203 1,5 1 2 2 1 3 712 725 92 33 95.844154 That5 1 2 2 1 4 814 725 61 33 90.453690 he5 1 2 2 1 5 866 737 30 22 90.453690 is5 1 2 2 1 6 905 690 170 78 82.667709 engaged:5 1 2 2 1 7 1068 736 37 22 94.368713 in5 1 2 2 1 8 1116 737 20 21 94.368713 a5 1 2 2 1 9 1145 725 121 33 96.561127 billions 1 2 2 1 10 1276 725 111 33 96.621681 dollars 1 2 2 1 11 1396 725 160 33 96.832932 business.3 1 2 3 0 0 592 776 981 41 -1 4 1 2 3 1 0 592 776 981 41 -1 5 1 2 3 1 1 592 778 30 30 93.558624 2.5 1 2 3 1 2 645 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2 15 4 0 541 2180 634 52 -1 5 1 2 15 4 1 541 2190 80 42 96.584526 they5 1 2 15 4 2 633 2200 56 21 96.584526 ares 1 2 15 4 3 698 2187 141 43 96.716057 making5 1 2 15 4 4 848 2198 47 31 96.716057 up5 1 2 15 4 5 907 2191 35 28 96.603836 to5 1 2 15 4 6 953 2186 81 38 96.560524 $1005 1 2 15 4 7 1045 2196 20 22 90.946602 a5 1 2 15 4 8 1075 2180 100 38 94.691071 week.3 1 2 16 0 0 540 2232 1313 95 -1 4 1 2 16 1 0 583 2232 1270 47 -1 5 1 2 16 1 1 583 2243 47 29 96.152893 15.5 1 2 16 1 2 654 2239 92 33 96.416931 That5 1 2 16 1 3 757 2238 54 32 96.871788 his5 1 2 16 1 4 824 2238 83 41 96.459953 plans 1 2 16 1 5 919 2237 63 32 96.066994 has5 1 2 16 1 6 996 2247 94 21 96.323120 more5 1 2 16 1 7 1104 2238 116 39 96.323120 repeats 1 2 16 1 8 1232 2234 152 32 96.722061 business5 1 2 16 1 9 1397 2234 84 32 96.631157 than5 1 2 16 1 10 1496 2244 66 31 96.982956 any5 1 2 16 1 11 1578 2233 96 33 96.406204 others 1 2 16 1 12 1687 2233 84 42 96.739914 plans 1 2 16 1 13 1785 2232 68 33 96.363243 anda 1 2 16 2 0 540 2280 1103 47 -1 5 1 2 16 2 1 540 2291 77 32 96.614204 that5 1 2 16 2 2 631 2290 29 32 96.614204 it5 1 2 16 2 3 675 2289 111 32 96.365417 works5 1 2 16 2 4 800 2287 77 33 96.994545 wells 1 2 16 2 5 893 2286 36 32 96.492477 in5 1 2 16 2 6 944 2286 81 32 96.492477 both5 1 2 16 2 7 1041 2295 203 32 96.634987 prosperous5 1 2 16 2 8 1259 2284 67 33 95.368904 ands 1 2 16 2 9 1342 2280 178 45 95.368904 depressed5 1 2 16 2 10 1536 2283 107 32 96.851601 times.3 1 2 17 0 0 583 2333 1267 48 -1 4 1 2 17 1 0 583 2333 1267 48 -1 5 1 2 17 1 1 583 2343 47 30 94.411774 16.5 1 2 17 1 2 653 2340 92 32 94.411774 That5 1 2 17 1 3 762 2338 121 43 96.860733 profits5 1 2 17 1 4 900 2349 57 20 96.900047 ares 1 2 17 1 5 975 2348 34 21 96.830170 so5 1 2 17 1 6 1027 2336 216 33 94.531464 tremendous5 1 2 17 1 7 1258 2336 78 32 96.869347 that5 1 2 17 1 8 1353 2334 148 33 96.574188 invalids5 1 2 17 1 9 1519 2345 37 21 96.574188 or5 1 2 17 1 10 1573 2334 192 41 93.277229 physically5 1 2 17 1 11 1783 2333 67 33 92.616943 dis-3 1 2 18 0 0 540 2385 1237 47 -1 4 1 2 18 1 0 540 2385 1237 47 -1 5 1 2 18 1 1 540 2391 104 33 54.225998 abled:5 1 2 18 1 2 650 2400 140 32 54.225998 persons5 1 2 18 1 3 802 2400 74 22 95.333481 cans 1 2 18 1 4 877 2388 111 33 95.333481 affords 1 2 18 1 5 999 2392 36 28 96.978951 to5 1 2 18 1 6 1047 2387 75 32 96.446869 hires 1 2 18 1 7 1133 2397 139 31 96.446869 persons5 1 2 18 1 8 1284 2391 35 27 96.840813 to5 1 2 18 1 9 1333 2386 94 32 96.852486 works 1 2 18 1 10 1439 2386 58 31 96.824570 thes 1 2 18 1 11 1510 2385 84 42 96.977982 plans 1 2 18 1 12 1606 2385 57 31 97.004608 for5 1 2 18 1 13 1675 2385 102 34 96.514488 them.3 1 2 19 0 0 538 2430 1317 103 -1 4 1 2 19 1 0 581 2430 1274 70 -1 5 1 2 19 1 1 581 2441 48 32 94.958870 17.5 1 2 19 1 2 652 2441 92 32 96.636650 That5 1 2 19 1 3 778 2439 135 41 96.234955 factory5 1 2 19 1 4 946 2437 132 42 96.805054 buying5 1 2 19 1 5 1110 2436 164 32 96.459755 members5 1 2 19 1 6 1308 2446 62 21 96.448013 cans 1 2 19 1 7 1405 2436 79 40 96.448013 only5 1 2 19 1 8 1518 2435 68 41 96.330261 buys 1 2 19 1 9 1620 2430 235 70 26.616722 respondent's4 1 2 19 2 0 538 2486 766 47 -1 5 1 2 19 2 1 538 2491 161 42 96.649078 products5 1 2 19 2 2 710 2490 91 33 95.751282 from5 1 2 19 2 3 812 2490 156 40 95.751282 January5 1 2 19 2 4 981 2491 15 29 95.543602 15 1 2 19 2 5 1008 2492 36 28 95.543602 to5 1 2 19 2 6 1055 2486 190 33 96.752609 November5 1 2 19 2 7 1256 2488 48 30 95.602058 15.3 1 2 20 0 0 535 2536 1316 152 -1 4 1 2 20 1 0 580 2536 1271 45 -1 5 1 2 20 1 1 580 2547 48 30 95.372757 18.5 1 2 20 1 2 650 2545 91 31 96.126007 That5 1 2 20 1 3 763 2543 46 32 96.756721 all5 1 2 20 1 4 830 2543 58 32 96.203949 thes 1 2 20 1 5 909 2542 98 32 96.631821 items5 1 2 20 1 6 1028 2540 37 32 96.574211 in5 1 2 20 1 7 1086 2541 59 31 96.574211 thes 1 2 20 1 8 1165 2540 135 41 96.606438 catalogs 1 2 20 1 9 1319 2538 215 42 96.279770 represented5 1 2 20 1 10 1558 2548 36 21 96.442337 as5 1 2 20 1 11 1616 2536 129 42 96.442337 having5 1 2 20 1 12 1767 2536 84 33 96.688065 been4 1 2 20 2 0 539 2587 1311 48 -1 5 1 2 20 2 1 539 2596 191 32 95.903687 advertised5 1 2 20 2 2 759 2594 36 32 95.903687 in5 1 2 20 2 3 821 2593 81 33 94.966995 Life5 1 2 20 2 4 930 2591 181 44 96.862450 Magazines 1 2 20 2 5 1140 2602 86 21 96.693146 were5 1 2 20 2 6 1255 2590 36 32 96.919067 in5 1 2 20 2 7 1320 2589 74 32 95.456039 facts 1 2 20 2 8 1423 2599 34 21 96.782021 so5 1 2 20 2 9 1488 2587 191 33 96.532265 advertised5 1 2 20 2 10 1709 2587 35 32 95.923286 in5 1 2 20 2 11 1773 2587 77 32 95.923286 that4 1 2 20 3 0 535 2646 185 42 -1 5 1 2 20 3 1 535 2646 185 42 77.596619 magazine.3 1 2 21 0 0 537 2691 1310 100 -1 4 1 2 21 1 0 580 2691 1267 48 -1 5 1 2 21 1 1 580 2701 48 30 90.085777 19.5 1 2 21 1 2 652 2699 91 32 96.800613 That5 1 2 21 1 3 763 2698 142 41 96.514709 Pagoda5 1 2 21 1 4 925 2696 158 42 96.724113 perfumes 1 2 21 1 5 1105 2695 28 32 96.531250 is5 1 2 21 1 6 1156 2694 101 42 96.349991 beings 1 2 21 1 7 1279 2692 190 34 88.950203 advertised5 1 2 21 1 8 1495 2692 35 32 96.495483 in5 1 2 21 1 9 1552 2692 106 40 92.340202 Look,5 1 2 21 1 10 1681 2691 166 42 91.911514 Harper’s4 1 2 21 2 0 537 2745 953 46 -1 5 1 2 21 2 1 537 2751 143 40 96.226196 Bazaar,5 1 2 21 2 2 691 2750 106 31 93.274895 Towns 1 2 21 2 3 808 2750 27 31 93.274895 &5 1 2 21 2 4 846 2748 164 41 96.435547 Country,5 1 2 21 2 5 1021 2745 253 34 95.212013 Mademoiselle5 1 2 21 2 6 1285 2745 67 32 94.924255 ands 1 2 21 2 7 1362 2745 128 41 96.573563 Vogue. Complaint 62 FTC.

20. That all items that are represented as having the Good Housekeeping Seal are in fact guaranteed by Good Housekeeping. 21. That persons purchasing products from Factory Price List No. 317-H are paying factory or wholesale prices. 22. That all merchandise is unconditionally guaranteed. Par. 6. In truth and in fact:

1. Respondent is not engaged in or conducting a billion dollar business.

2. Respondent at no time employs as many as 21 men and women. 3. “Distributors” of respondent’s products cannot reasonably expect to make up to $100 a week in their spare time. 4, “Distributors” of respondent’s catalogs cannot reasonably expect to make $5,000 a year.

5. There are not 80,000,000 mail-order customers in the U.S.A. 6. Persons interested in respondent’s plan are not in all instances protected from misrepresentations by respondent under the postal laws.

7. The $10 “distributorship” fee is not for the purpose of defraying part of respondent’s clerical cost but is, in fact, a source of profit to respondent.

8. “Distributors” receive commissions only on merchandise purchased by their customers. Ifa customer later becomes a “distributor” and in turn sells merchandise to other customers, the original “distributor” receives no commission on such sales. 9. “Distributors”, in order to continue receiving their commissions, must pay an additional $10 “distributorship” fee each year. 10. Respondent’s best all time “distributor” never had a net profit of $20,000 in any 8-year period.

11. No one can reasonably expect to earn $20,000 over a period of 3 years by becoming a “distributor”.

12. Respondent is in no way limited as to how many “distributors” he can handle and has never ceased to advertise for “distributors” for his plan. .

13. Not every one has made money at respondent’s plan. In fact, very few of respondent’s “distributors” or “partners” have ever made money.

14. There are not now and never have been 5,000 men and women working full-time at respondent’s plan nor have those who have worked full-time made up to $300 a week. Similarly, there are not now and never have been 2,000 men and women working part-time at respondent’s plan nor have those who have worked part-time made up. to $100 a week.

15. Respondent’s plan does not have more repeat business than CAM CO., ETC. 1091 -1086 Complaint any other plan. Furthermore, the plan is no better or safer than any other business during depressed times.

16. Invalids and physically disabled persons cannot reasonably expect to hire persons to work the plan for them, pay a full salary to such persons, and still have a nice income from the remaining profits. 1%. Factory buying members who purchase from the factory price list are not limited to buying from January 1 to November 15, but may, in fact, buy at any time during the year. 18. Not all items represented as having been advertised in Life Magazine were in fact advertised in that magazine. 19. Pagoda perfume has not been advertised in Look Magazine since 1956, nor in Town & Country since 1945, and was never advertised in Harper’s Bazaar, Vogue or Mademoiselle. 20. Many of the items so advertised are not guaranteed by Good Housekeeping.

21. Persons purchasing from Factory Price List No. 4 or Wholesale Price List 317~H are not purchasing at factory or wholesale prices but at prices in excess of factory and wholesale prices. 22. Respondent’s guarantee is not unconditional. The advertised guarantee fails to set forth the nature, conditions, and extent of the guarantee, the manner in which the guarantor will perform and the identity of the guarantor.

Therefore, the statements and representations referred to in Paragraphs 4 and 5 were and are false, misleading and deceptive. Par. 7. Respondent, for the purpose of inducing the purchase of his merchandise, has engaged in the practice of using fictitious prices by indicating certain prices for each item listed in his catalog which are greatly in excess of the prices listed for such items in his “factory” and “wholesale” price lists and thereby representing directly or by implication that the catalog prices are the prices at which the said merchandise is usually and customarily sold at retail in the trade areas where the representation is made; and that the difference between respondent’s “factory” and “wholesale” prices and his catalog prices represents savings from the usual and customary retail prices of the merchandise offered for sale.

In truth and in fact, said prices, as set forth in respondent’s catalong, are not the usual and regular retail prices of such items, and the difference between respondent’s said “factory” and “wholesale” prices and his catalog prices does not represent savings from the usual and customary retail prices in the trade area where the representation is made.

Par. 8. In the conduct of his business, at all times mentioned herein, respondent has been in substantial competition in commerce, with corporations, firms and individuals, in the sale of said merchandise Decision and Order 62 F.T.C.

and said supplies and equipment used in and necessary for the operation of a mail order merchandising business. Par. 9. The use by respondent of the aforesaid false, misleading and deceptive statements, representations and practices has had, and now has, the capacity and tendency to mislead members of the purchasing public into the erroneous and mistaken belief that said state- ‘ments and representations were and are true and into the purchase of substantial quantities of respondent’s said articles of merchandise and said catalogs, order blanks and other supplies and equipment by reason of said erroneous and mistaken belief.

Par. 10. The aforesaid acts and practices of respondent as herein alleged, were and are all to the prejudice and injury of the public and of respondent’s competitors and constituted, and now constitute, unfair methods of competition in commerce, and unfair and deceptive acts in commerce, in violation of Section 5 of the Federal 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 said determination and with a 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 respondent 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 respondent that the law has been violated as set forth in. such complaint, and waivers and provisions as required by the Commission’s rules; and The Commisison, 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. Respondent Albert J. Maduri is an individual trading and doing business as a sole proprietorship under the names of Cam Company and Debb Company, with his office and principal place of business. located at 436 Bloomfield Avenue, in the city of Verona, State of New Jersey.

2. The Federal Trade Commission has jurisdiction of the subject CAM CO., ETC. 1093 1086 Decision and. Order matter of this proceeding and of the respondent, and the proceeding is in the public interest.

ORDER It is ordered, That respondent Albert J. Maduri trading as Cam Company and Debb Company, or under any other name, or names, and respondent’s representatives, agents and employees, directly or through any corporate or other device, in connection with the offering for sale, sale or distribution of merchandise and various kinds of catalogs, order blanks, and other supplies and equipment used in and necessary for the operation of a mail order merchandising business, in commerce, as “commerce” is defined in the Federal Trade Commission Act, do forthwith cease and desist from representing directly or by implication :

1. That respondent’s said “distributors” have net earnings of up to $300 a week or any other amount in excess of the net earnings usually and customarily received by respondent’s said “distributors”; or that prospective “distributors” will realize net earnings in excess of amounts usually and customarily earned by respondent’s said “distributors”; or misrepresenting in any other manner the net. earnings of respondent’s “distributors” or the potential net earnings of prospective “distributors”.

2, That any specified prices for said merchandise are available during a specified period of time, or any other limited period of time, when such restrictions on times of purchase at such prices are not imposed by respondent.

3. That respondent is conducting a billion dollar business, or employing as many as 21 men and women, or misrepresenting in any manner or by any means the size of respondent’s business or the number of people in his employ. , 4, That there are an estimated 80,000,000 mail-order customers in the U.S.A. or misrepresenting in any manner or by any means the number of mail-order customers in the U.S.A.: 5. That the existence of postal laws insures the accuracy or truthfulness of respondent’s statements respecting his merchandising program or plan.

6. That the “distributorship” fee is for the purpose of defraying part of respondent’s clerical cost or in any manner or by any means misrepresentating the prospective “distributors” the conditions, terms or fees applicable to respondent’s plan. 7. That respondent is limited as to the number of “distributors” he can handle or that his offer for prospective “distributors” is for a limited duration.

749-587—67——10 Decision and Order 62 F.T.C.

8. That respondent’s plan has more repeat business than any other plan or that the plan is profitable in both prosperous and ‘depressed times.

' 9, That physically disabled persons who become “distributors” can afford to hire persons to work the plan for them. 10. That respondent has 5,000 persons working full-time or 2,000 persons working part-time at his plan, or misrepresenting in any other manner the number of persons working full-time or part-time at his plan.

11. That everyone who has tried respondent’s plan has made money.

12. That any article of merchandise is being or has recently been advertised in any magazine or through any other medium unless such article is being or has recently been so advertised. 13. That any article of merchandise has been guaranteed or approved by any organization or company unless such article is, in fact, guaranteed or approved by said organization or company. 14. That any amounts in excess of actual bona fide factory prices for the said articles of merchandise are the “factory” prices. 15. That any amounts in excess of prices generally paid by dealers in the trade areas in which the representations are made are the “wholesale” prices.

16. That any of respondent’s products are guaranteed unless the nature, conditions and extent of the guarantee, the identity of the guarantor, and the manner in which the guarantor will perform thereunder are clearly and conspicuously disclosed. 17. That by purchasing any of respondent’s articles of merchandise, customers are afforded savings amounting to the difference between respondent’s stated “factory” or “wholesale” selling prices and the catalog prices used for comparison with the said “factory” or “wholesale” selling prices, unless the comparative prices used represent the prices at which the merchandise is usually and customarily sold at retail in the trade area involved, or are the prices at which such merchandise has been usually and regularly sold by respondent at retail in the recent, regular course of his business; or misrepresenting in any manner the amount of savings available to purchasers of respondent’s merchandise.

It is further ordered, 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. SEAL PLAC, INC., ET AL. 1095 1095. Complaint