Stein'S Fur Shop, Inc.

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IN THE MATTER OF STEIN' S FUR SHOP, INC., ET AL.

CONSEKT ORDER, ETC. , IN REGARD TO THE ALLEGED VIOLATIOK OF THE FEDERAL TRADE COMMISSION AND THE FUR PRODUCTS LABELING ACTS Docket C-l061. Complaint, Ap1'l27 , 1.966' Decision, April 27, 1.966 Consent order requiring a Memphis, Tenn. , retail furrier to cease misrepre senting the savings available to purchasers of its fur products through such statements as " Save Up To 1/3 and More. STEIN S FUR SHOP, INC" ET AL. 637 636 Complaint COMPLAINT Pursuant to the provisions of the Federal Trade Commission Act and the Fur Products Labeling Act, and by virtue of the authority vested in it by said Acts, the Federal Trade Commission having reason to believe that Stein s Fur Shop, Inc" a corporation, and Barney Golding, individually and as an offcer of said corporation, hereinafter referred to as respondents, have violated the provisions of said Acts and the Rules and Regulations promulgated under the Fur Products Labeling 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: PARAGRAPH I. Respondent Stein s Fur Shop, Inc. , is a corporation organized, existing and doing business under and by virtue of the laws of the State of Tennessee, Respondent Barney Golding is an offcer of the corporate respondent and formulates, directs and controls the acts, practices and policies of the said corporate respondent including those hereinafter set forth. Respondents have their offce and principal place of business located at 96 South Main Street, in the city of Memphis, State of Tennessee.

PAR. 2. Subsequent to the effective date of the Fur Products Labeling Act on August 9, 1952, respondents have been and are now engaged in the introduction into commerce, and in the sale, advertising, and offering for sale in commerce, and in the transportation and distribution in commerce, of fur products; and have sold advertised, offered for sale, transported and distributed fur products which have been made in whole or in part of furs which have been shipped and received in commerce, as the terms "commerce fur" and "fur product" are defined in the Fur Products Labeling Act, PAR. 3. Certain of said fur products were falsely and deceptively advertised in violation of the Fur Products Labeling Act in that certain advertisements intended to aid, promote and assist directly or indirectly, in the sale and offering for sale of such fur products were not in accordance with the provisions of Section 5(a) of the said Act, Among and included in the aforesaid advertisements, but not limited thereto, were advertisements of respondents which appeared in issues of The Commercial Appeal, a newspaper published in the City of Memphis, State of Tennessee. Among such false and deceptive advertisements, but not limited Decision and Order 69 F. T. thereto, were advertisements containing representations through such statements as "Save Up To 1/3 and More" that prices of fur products were reduced in direct proportion to the percentages stated and that the amount of said reduction afforded savings to the purchasers of respondents' products when in fact such prices were not reduced in direct proportion to the percentages stated and the represented savings were not thereby afforded to the said purchasers, in violation of Section 5(a) (5) of the Fur Products Labeling Act.

PAR. 4. In advertising fur products for sale, as aforesaid, respondents made pricing claims and representations of the types covered by subsections (a), (b), (c) and (d) of Rule 44 of the Regulations under the Fur Products Labeling Act. Respondents in making such claims and representations failed to maintain full and adequate records disclosing the facts upon which such claims and representations were based, in violation of Rule 44(e) of said Rules and Regulations.

PAR. 5. The aforesaid acts and practices of respondents, as herein alleged, are in violation of the Fur Products Labeling Act and the Rules and Regulations promulgated thereunder and constitute unfair and deceptive acts and practices and unfair methods of competition in commerce under the Federal Trade Commission Act, DECISION AND ORDER The Federal Trade Commission having initiated an investigation of certain acts and practices of the respondents named in the caption hereof, and the respondents having been furnished thereafter with a copy of a draft of complaint which the Bureau of Textiles and Furs proposed to present to the Commission for its consideration and which, if issued by the Commission, would charge respondents with violation of the Federal Trade Commission Act and the Fur Products Labeling Act; and The respondents and counsel for the Commission having thereafter executed an agreement containing a consent order, an admission by the respondents of all the jurisdictional facts set forth in the aforesaid draft of complaint, a statement that the signing of said agreement is for settlement purposes only and does not constitute an admission by the respondents that the law has been violated as alleged in such complaint, and waivers and provisions as required by the Commission s rules; and The Commission, having reason to believe that the respondents have violated said Acts, and having determined that complaint STEIN S FUR SHOP, INC" ET AL. 639 636 Order should issue stating its charges in that respect, hereby issues its complaint, accepts said agreement, makes the following jurisdictional findings and enters the following order: I. Respondent Stein s Fur Shop, Inc., is a corporation organized, existing and doing business under and by virtue of the laws of the State of Tennessee, with its offce and principal place of business located at 96 South Main Street, in the city of Memphis State of Tennessee.

Respondent Barney Golding is an offcer of said corporation and his address;" 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 It is ordered That respondents Stein s Fur Shop, Inc., a corporation, and its offcers, and Barney Golding, individually and as an offcer of said corporation and respondents ' representatives, agcnts and employees, directly or through any corporate or other device, in connection with the introduction, into commerce or the sale, advertising or offering for sale in commerce, or the transportation or distribution in commerce, of any fur product; or in connection with the sale, advertising, offering for sale transportation or distribution, of any fur product which is made in whole or in part of fur which has been shipped and received in commerce, as the terms "commerce fur" and "fur product" are defined in the Fur Products Labeling Act, do forthwith cease and desist from:

A. Falsely or deceptively advertising fur products through the use of any advertisement, representation, public announcement or notice which is intended to aid, promote or assist, directly or indirectiy, in the sale, or offering for sale of any fur product, and which:

I. Misrepresents in any manner the savings available to purchasers of respondents' fur products. 2. Falsely or deceptively represents in any manner that prices of respondents' fur products are reduced. 3. Misrepresents directly or by implication through percentage savings claims that prices of fur products are reduced to afford purchasers of respondents' fur products the percentage of savings stated. B. Making claims and representations of the types covered Complaint 69 F. T.

by subsections (a), (b), (c) and (d) of Rule 44 of the Rules and Regulations promulgated under the Fur Products Labeling Act unless there are maintained by respondents full and adequate records disclosing the facts upon which such claims and representations are based.

It is further ordered That the respondents herein shah, 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.