Mangel Stores Corporation

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IN THE MATTER OF MA:'GEL STORES CORPORATION TRADING AS MA:'GEL' ETC.

CONSENT ORDER, ETC. , IN REGARD TO THE ALLEGED VIOLATION OF THE FEDERAL TRADE COMMISSION AND THE TEXTILE FIBER PRODUCTS IDENTIFICATION ACTS Docket C-1055. Complaint, April 1rG6 Dedsion, April G , .166 Consent order requiring a New York City operator of a chain of retail stores engaged in selling a medium line of wearing apparel, to cease misbranding and falsely advertising its textile fiber products. COMPLAI:-T Pursuant to the provisions of the Federal Trade Commission Act and the Textile Fiber Products Identification Act, and by virtue of the authority vested in it by said Acts, the Federal Trade Commission, having reason to believe that Mangel Stores Corporation, a corporation, trading as Mangel's, Salle Ann and Shopper s Fair, hereinafter referred to as respondent, has violated the provisions of the said Acts and the Rules and Regulations promulgated under the Textile Fiber Products Identification Act, and it appearing to the Commission that a proceeding by it in respect Complaint 69 F.

hereby issues its com-thereof would be in the public interest, plaint, stating its charges in that respect as follows : PARAGRAPH 1. Respondent Mangel Stores Corporation, trading as Mangel' , Salle Ann and Shopper s Fair, is a corporation organized, existing, and doing business under and by virtue of the laws of the State of Delaware, with its offce and principal place of business located at 115 West 18th Street, New York, New York.

The respondent operates a large number of retail stores engaged in sellng a medium line of wearing apparel to the general public. Some of the stores, in addition to retailing wearing aptoys, photographicparel, also retail such items as hardware, equipment, sporting goods, costume jewelry and cosmetics. PAR. 2. Subsequent to the effective date of the Textile Fiber , 1960, respondent hasProducts Identification Act on March 3 been and is now engaged in the introduction, delivery for introduction, sale, advertising, and offering for sale, in commerce, and in the transportation or causing to be transported in commerce and the importation into the United States, of textile fiber products; and has sold, offered for sale, advertised, delivered, transported, and caused to be transported textile fiber products, which have been advertised or offered for sale in commerce; and has sold, offered for sale, advertised, delivered, transported, and caused to be transported, after shipment in commerce, textile fiber products, either in their original state or contained in other and "textile fiber textile fiber products; as the terms "commerce" product" are defined in the Textile Fiber Products Identification Act.

PAR. 3. Certain of said textie fiber products were misbranded by respondent within the intent and meaning of Section 4 (a) of the Textile Fiber Products Identification Act and the Rules and Regulations promulgated thereunder, in that they were falsely and deceptively stamped, tagged, labeled, invoiced, advertised, or otherwise identified as to the name or amount of constituent fibers contained therein.

Among such misbranded textile fiber products, but not limited thereto, were textile fiber products with labels which contained terms which represented either directly or by implication, certain fibers as present in the said product when such was not the case. Among such terms, but not limited thereto, was the term "linen used in such a phrase as "The luxury look of imported silk linen MANGEL , ETC. 519 517 Complaint describing products labeled as "80 % Dupioni silk, 20 % imported rayon.

PAR. 4. Certain or said textile fiber products were misbranded by respondent in that they were not stamped, tagged, labeled. or otherwise identified to show any of the information required under the provisions of Section 4 (b) of the Textile Fiber Products Identification Act, and the Rules and Regulations promulgated under said Act.

Among such misbranded textile fiber products, but not limited thereto, were textile fiber products to which no labels whatever were affxed, and textile fiber products with labels which failed to show in words and figures plainly legible: (1) The true generic names of the constituent fibers present in textile fiber products: and (2) The percentage of each of such fibers; and (3) The name, or other identification issued and registered by the Commission, of the manufacturer of the product, or one or more persons subject to Section 3 with respect to such product. PAR. 5. Certain of said textile fiber products were fur+hel"Ylisbranded in that the information required to be disclosed under the Textile Fiber Products Identification Act was abbreviated, in violation of Rule 5 of the Rules and Regulations promulgated under the Textie Fiber Products Identification Act. Among such textie fiber products, but not limited thereto, were those which had labels which described the fiber contents of said products as being " 65 DC. Poly, 35 CMB Cot " whereas the required information as to fiber contents should have been set out as 65 % Dacron Polyester, 35 % Combed Cotton. PAR. 6. Certain of said textie fiber products were 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 offering for sale of said products, failed to set forth the required information as to fiber content as specified by Section 4 (c) of the Textile Fiber Products Identification Act and in the manner and form prescribed by the Rules and Regulations promulgated under said Act. Among such textile fiber products, but not limited thereto, were textile fiber products falsely and deceptively advertised by means of advertisements inserted in The Saginaw :\ews, the Detroit News, the Columbus Dispatch and the Cleveland Press, published respectively in Saginaw, Michigan, Detroit, Michigan, Columbus Complaint 69 F.

Ohio, and Cleveland, Ohio, an newspapers of interstate circulation and other newspapers, likewise having interstate circulation, in that such advertisements contained representations and implications of fiber content by means of the use of such terms among others but not limited thereto, as "Lycra" and "Orion without the true generic names of the fibers contained in such textile fiber products being set forth.

Among such textile fiber products, but not limited thereto, were textile fiber products falsely and deceptively advertised by means of advertisements inserted in the Houston Chronicle, published in Houston, Texas, and other newspapers, in that such advertisements contained representations and implications that a textile fiber product was composed entirely of Lycra Spandex when such textile fiber product was not in fact whony composed of such textile fiber, but only partly so composed. PAR. 7. Certain of said textile fiber products were falsely and deceptively advertised in violation of the Textile Fiber Products Identification Act in that they were not advertised in accordance with the Rules and Regulations promulgated thereunder. Among such textile fiber products but not limited thereto, were textie fiber products which were falsely and deceptively advertised by means of advertisements inserted in the Saginaw News the Detroit News, the Columbus Dispatch, the Cleveland Press and the Houston Chronicle, published, respectively, in Saginaw Michigan, Detroit, :\iichigan, Columbus, Ohio, Cleveland, Ohio and Houston, Texas, newspapers of interstate circulation, and other newspapers; likewise of interstate circulation, in the following respects:

A. A fiber trademark was used in advertising textile fiber products, without a full disclosure of the fiber content information required by the said Act and the Rules and Regulations thereunder in at least one instance in said advertisement, in violation of Rule 41 (a) of the aforesaid Rules and Regulations. B. A fiber trademark was used in advertising textile fiber products, containing more than one fiber and such fiber trademark did not appear in the required fiber content information in immediate proximity and conjunction with the generic name of the fiber in plainly legible type or lettering of equal size and conspicuousness in violation of Rule 41 (b) of the aforesaid Rules and Regulations. C. A fiber trademark was used in advertising textile fiber products, containing only one fiber and such fiber trademark did not appear, at least once in the said advertisement, in immediate MANGEL , ETC. 521 517 Order proximity and conjunction with the generic name of the fiber in plainly legible and conspicuous type, in violation of Rule 41 (c) of the aforesaid Rules and Regulations.

PAR. 8. The acts and practices of the respondent as set forth above were, and are, in violation of the Textile Fiber Products Identification Act and the Rules 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. 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 Textie Fiber Products Identification 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 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 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 Mangel Stores Corporation, is a corporation organized, existing and doing business under and by virtue of the laws of the State of Delaware, with its offce and principal place of business located at 115 West 18th Street, New York, New York.

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 It is ordend That respondent Mangel Stores Corporation, a corporation, trading as Mangel' , Salle Ann and Shopper s Fair Order 69 F. T.

or under any other name, and its offcers, and respondent's representatives, agents and employees, directly or through any corporate or other device, in connection with the introduction, delivery 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 any textile fiber product; or in connection with the sale, offering for sale, advertising, delivery, transportation, or causing to be transported of any textile fiber product, which has 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 any textile fiber product whether in its original state or contained in other textile fiber products, as the terms "commerce" and "textile fiber product" are defined in the Textie Fiber Products Identification Act, do forthwith cease and desist from:

A. Misbranding textile fiber products by: 1. Falsely or deceptively stamping, tagging, labeling, invoicing, advertising or otherwise identifying such products by representing, either directly or by implication, through the use of such terms as "Linen" or any other terms, that any fibers are present in a textie fiber product when such is not the case.

2. Failing to affx labels to such textile fiber products showing in a clear, legible and conspicuous manner each element of information required to be disclosed by Section 4 (b) of the Textile Fiber Products Identification Act. 3. Using abbreviations in setting forth the information required to be disclosed under the Textile Fiber Products Identification Act.

E. Falsely and deceptively advertising textile fiber products by:

1. Making any representations, directly or by implication as to 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 Section 4 (b) (1) and (2) of the Textile Fiber Products Identification Act is contained in the said advertisement, except that the percentages of the fibers present in the textile fiber product need not be stated. LIBBEY-OWENS-FORD GLASS CO. ET AL. 523 517 Modified Order 2. Using a fiber trademark in advertisements without a full disclosure of the required content information in at Jeast one instance in the said advertisement.

3. Using a fiber trademark in advertising textie fiber products containing more than one fiber without such fiber trademark appearing in the required fiber content information in immediate proximity and conjunction with the generic name of the fiber in plainly legible type or lettering of equal size and conspicuousness.

4. Using a fiber trademark in advertising textile fiber products containing only one fiber without such fiber trademark appearing at least once in the advertisement, in immediate proximity and conjunction with the generic name of the fiber in plainly legible and conspicuous type. It is fUTtheT ordered That the respondent herein, shall, 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 has complied with this order.