S. Shamash & Sons, Inc., et al.

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IN THE fatter OF S. SHA:\IASH & SONS, IXC., ET AL.

CONSENT ORDER, ETC. , IN REGARD TO THE ALLEGED VlOLATlOX OF THE FEDERAL TRADE CO DnsslOx AND THE FL.Dnl\BLE rA13lUCS ACTS Docket C-685. Complai11t, Jan. 1961,-lJecision, Jan. , 1964 Consent order requiring New York City converters of imported fabrics, etc., to cease violating the Flammable Fabrics Act by importing and sellng in commerce fabrics so highly flammable as to be dangerous when worn. IPLAINT Pursuant to the provisions of the Federal Trade Commission Aet and the Flammable Fabries Act, and by virtue of the authority vested in it by said Acts, the Federal Trade Commission, h,wing reason to believe that S. Shamash & Sons, Inc., a corporation, and ack Shamash, individually and as an offcer of the said corporation hereinafter referred to as the respondents have violated the provisions of said Acts, and the Rules and R.egulations promulgated under the Flammable Fabrics Act and it appearing to the Commission that a proceeding by it in respect thereof would be in the public Deci."ion 64 . T. interest, hereby issues its complaint, stating its charges in tha.t respect as follows:

PARAGRAPH 1. Respondent S. Shamash & Sons., Inc., is a corporation organized, exist.ing and doing business under and by virtue of the laws of the State of New York. Respondent Jack Shamash is the president of S. Shamash & Sons., Inc., the corporate respondent. The individual respondent formulates, directs and controls the policies, acts a.nd practices of the said corporate respondent. The respondents have their offces and principal place of business located at 26 Broadway, New York, New York.

The respondents are engaged in the conversion and sale of imported fabrics.

PAR. 2. Subseql1nt to .July 1 19M the cllectin date of the Flammable Fabrics Act, respondents hayc sold and otIcl'ec1 for sale, in commerce; have imported into the United States; and have introduced, delivered for introduction, transported, and caused to be transported, in commerce; and have transported and en used to be transported for the purpose of sale or delivery after sale, in commerce; as "commerce: is defined in the FJnmmabJe .Fabrics Aet. fabric as that term is defined therein, which fabric "\\'HS, under Section 4 of the Flammable Fabrics Act, as amended, so highly flammable as to be dangerolls when word by illdiyidnnls. PAR. 3. The aforesaid acts aud practices of respondents were ,Ilrl are in violation of the Flnl1mable Fabrics Act and the Rules and Regulations promulgated thereunder, and as such constitute llllfajJ' methods of competition and unfair and deceptive acts and practice in commerce: within the intent and meaning of the Federal Trade Commission Act.

DECISIOX AND ORDER The Commission having heretofore determined to issue its com plaint charging the respondents named in the caption he,reof "\with violation of the Federal Trade Commission Act, anclthe Flammable Fabrics Act and the, respondents having been sE:ryecl with notice of said determination and with a copy of the complaint the Commi.ssion intended to issllc, together with a proposed :form of order; and The respondents and col1m el for the Commission having thereafter executed an agreement containing a consent order, an admission by respondents of a1J 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 1:1"Y has been yioIatecl as set for h in such complaint, and ,,-a.i,-ers and provisions as requlred by tlw Commission rules; and S. SHAMASH & SONS , INC., ET AL. 335 333 Order 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. Respondent S. Shamrtsh & Sons, Inc., is a. corporation organized, existing and doing business under and by virtue of the laws of the State of Kew York, with its offce and principal place of business located at 26 Broadway, New York, Kew York. Respondent Jack Shamash is au offcer of said corporation and his address is the same as that of said corporation. 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 I. It is ordered That respondent S. Shamash & Sons, Inc., a corporation, and its offcer and respondent, Jack Shamash, individually and as an offcer of said corporation, and respondents' representatives, agents and employees, directly or through any corporate or other device, do forthwith cease and desist from: (a) Importing into the United States; or (b) Selling, oiIering for sale, introducing, delivcring for introduction, transporting, or causing to bc transported, in C011merce, as "commerce" is defined in the Flammable Fabrics Act; (c) Transporting or causing to be transported, for the purpose of sale or deli very after sale in commerce any fabric which, under the provisions of Section 4 of the said Flammable Fabrics Act, as amended, is so highly flallable as to be dangerous when worn by individuals.

Provided, however That nothing contained herein shall affect any rights afforded to the respondents by Section 11 of the Flammable Fabrics Act.

II. It is further ordered That respondents hereinbefore named furnish to the Federal Trade Commission within 5 dRYs aiter service of this order a special report which:

(a) Contains a list of the names and addresses of a1l of the corporate respondents' customers to whom shipments were made since July 1 , 1963, of fabric Style AK 777, and/or Style AK 4100 and/or of any other fabric which under the provisions of Section 4 of the said Flammable Fabrics Act, as amended, is so highly flammable as to be dangerous when ,yorn by individuals. 336 FEDERAL TRADE CO:\:\ISSION DECISIONS Complaint 4 F.

(b) Shows that respondents have notified in writing the customers of the corporate respondent to whom any of the shipas to ments referred to in subparagraph (a) above were made, the questionable flammable nature of the fabrics contained in such shipments.

(c) Contains copies of the aforesaid notification to each of copies of the customers referred to in subparagraph (a) and any and all responses to the aforesaid notification. III. It is further oTCZe1'ed That respondents hereinbefore named shall forward to the Commission, within two (2) days after receipt thereof, copies of any and all responses to the notification required by Subparagraph (e) of Paragraph II above which are received by respondents after the due date of the aforesaid special report. IV. It is fw,thel' ordered That the respondents hereinbefore named shall, within five (5) days after service upon them of this order, file with the Commission a report in writing setting forth in detail the mfl.ner and form in which they have complied with