Rock River Woolen Mills

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manner and form in which they have complied with this order. 1:- THE MATTER OF ROCK RIVER WOOLEN :YIILLS ET AL.

CONSE:-T ORDER, ETC., IN REGARD TO THE ALLEGED VIOLATION OF THE FEDERAL TRADE CO),IMISSIO:- AND THE WOOL PRODUCTS LABELING ACTS Docket C-1238. Compll1int, June 30, H67-Decision, June 30, 1967 Consent order requiring a Brownwood, Texas, clothing manufacturer to cease misbranding and falsely invoicing its wool products. COMPLAINT Pursuant to the provisions of the Federal Trade Commission Act and of the Wool Products Labeling Act of 1939, and by virtue of the authority vested in it by said Acts, the Federal Trade Commission, having reason to believe that Rock River Woolen Mills, a corporation, and James B. Tait and Robert J. Tait, individually and as offcers of said corporation, hereinafter referred to as respondents, having violated the provisions of said Acts and the Rules and Hegulations promulgated under the Wool Products Labeling Act of 1939, 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 Rock River Woolen :.lins is a corporation organized, existing and doing business under and by virtue of the laws of the State of Texas. Individual respondents James B. Tait and Robert J. Tait are oflicers of said corporation. They formulate, direct and control the acts, practices and policies of the corporate respondent including the acts and practices hereinafter referred to. Respondents are manufacturers of wool products with their offce and principal place of business located at Camp Bowie Industrial Area, Brownwood, Texas.

PAR. 2. Respondents now, and for some time last past, have manufactured for introduction into commerce, introduced into Complaint 71 F.

commerce, sold, transported, distributed, delivered for shipment shipped, and offered for sale in commerce, as "commerce" is defined in said Wool Products Labeling Act of 1939, wool products as "wool product" is defined therein.

PAR. 3. Certain of said wool products were misbranded by respondents within the intent and meaning of Section 4 (a) (1) of the Wool Products Labeling Act of 1939 and the Rules and Regulations promulgated thereunder, in that they were falsely and deceptively stamped, tagged, labeled, or otherwise identified with respect to the character and amount of the constituent fibers contained therein.

Among such misbranded wool products, but not limited thereto were fabrics which were stamped, tagged, labeled, or otherwise identified by respondents as containing 70% Wool, 25% Nylon and 5% Fib' ene, whereas in truth and in fact said fab,'ics contained substantially different fibers and amounts of fibers than as represented.

Also among such misbranded wool products, but not limited thereto, were certain fabrics which were stamped, tagged labeled, or otherwise identified as 70%, Wool, 10% Dacron, 10% Orion and 10% Fibrene, whereas in truth and in fact said fabrics contained substantially different fibers and amounts of fibers than represented.

PAR. 4. Certain of said wool prod acts were further misbranded by respondents in that they were not stamped, tagged, labeled, or otherwise identified as l' equired under the provisions of Section 4 (a) (2) of the Wool Products Labeling Act of 1939 and in the manner and form as prescribed by the Rules and Regulations promulgated under said Act.

Among such misbranded wool products, but not limited thereto, were woolen fabrics with labels on or affxed thereto which failed to disclose the percentage of the total fiber weight of the said wool product, exclusive of ornamentation not exceeding five per centum of said total fiber weight of (I) wool fibers; (2) reprocessed wool; (3) reused wool; (4) each fiber other than wool when said percentage by weight of such fiber was five per centum or more; and (5) the aggregate of all other fibers. PAR. 5. Certain of said wool products were misbranded in violation of the Wool P,' oducts Labeling Act of 1939 , in that they were not labeled in accordance with the Rules and Regulations promulgated thereunder in that the respective common generic names of the fibers present in wool products were not used in ROCK RIVER WOOLEN MILLS ET AL. 1527 1522 Complaint naming such fibers in required information, in violation of Rule 8 (a) of the aforesaid Rules and Regulations. Among such misbranded wool products, but not limited thereto. were certain fabrics with labels on or affxed thereto which described a portion of the fiber content as "Dacron/' "Orlan " and "Fibrene " without using the common generic name of said fiber.

PAR. 6. The acts and practices of respondents as set forth above were, and are, in violation of the Wool Products Labeling Act of 1939 and the Rules and Regulations promulgated thereunder, and constituted, and now constitute, unfair methods of competition and unfair and deceptive acts and practices in commerce, within the intent and meaning of the Federal Trade Commission Act.

PAR. 7. Respondents are now, and for some time last past, have been engaged in the offering for sale, sale and distribution of certain products, namely fabrics. In the course and conduct of their business as aforesaid 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 Texas to purchasers located in various other States of the United States, and maintain, and at a1l other times mentioned herein have maintained, a substantial course of trade in said products in commerce, as "commerce is defined in the Federal Trade Commission Act.

PAR. 8. Respondents in the course and conduct of their business have made statements on invoices to their custoll1ers, misrepresenting the fiber content of certain of their wool products. Among such misrepresentations, but not limited thereto, were statements made on invoices representing the fiber content thereof as "80% Wool, 20% Nylon Fibrene decoration " whereas in truth and in fact, the products contained substantially different fibers and amounts of fibers than represented. PAR. 9. The acts and practices set out in Paragraph Eight have the tendency and capacity to mislead and deceive the purchasers of said products as to the true content thereof. PAR. 10. The aforesaid acts and practices of respondents, as herein alleged were, and are, all to the prejudice and injury of the public, and constituted, and now constitute, unfair and deceptive acts and practices in commerce, within the intent and meaning of the Federal Trade Commission Act. Decision and Order 71 F.

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 Texties 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 Wool Products Labeling Act of 1939; 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 settement purposes only and does not constitute an admission by the respondents that the Jaw 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 the said Acts, and having determined that complaint should issue stating its charges in that respect, hereby issues its complaint, accepts said agreements, makes the following jurisdictional findings, and enters the following order: I. Respondent Rock Rj' 2r Woolen Mils is a corporation organized, existing and doing ousiness under and by virtue of the Jaws of the State of Texas, with its offce and principal place of business located at Camp Bowie Industrial Area, Brownwood, Texas. Respondents James B. Tait and Robert J. Tait are offcers of said corporation and their 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 It is o?'dered That Rock River Woolen Mils, a corporation, and its offcers, and James B. Tait and Robert J. Tait, individually and as offcers of said corporation, and respondents' representa tives, agents and employees, directly or throui(h any corporate or other device, in connection with the introduction, or manufacture for introduction, into commerce, or the offering for sale, sale transportation, distribution, delivery for shipment or shipment in commerce, of wool products, as "commerce " and "wool prod- PARAMOUNT FIBRE CORP. , I , ET AL. 1529 1522 Syllabus uct" are defined in the Wool Products Labeling Act of 1939, do forthwith cease and desist from misbranding such products by: 1. Falsely or deceptively stamping, tagging, labeling, or otherwise identifying such products as to the character or amount of the constitutent fibers contained therein. 2. Failing to securely affx to, or place on, each such product a stamp, tag, label, or other means of identification showing in a clear and conspicuous manner each element of information required to be disclosed by Section 4 (a) (2) of the Wool Products Labeling Act of 1939.

3. Failing to set forth the common generic name of fibers in the required information on stamps, tags, labels, or other means of identification attached to wool products. It is further ordered That respondents Rock River Woolen :-dills, a corporation, and its offcers, and James B. Tait, and Robert J. Tait, individually and as offcers of said corporation and respondents' representatives, agents and employees, directly or through any corporate or other device, in connection with the offering for sale, sale or distribution of fabrics or other products in commerce, as "commerce" is defined in the Federal Trade Commission Act, do forthwith cease and desist from misrepresenting the character or amount of the constituent fibers contained in such products, on invoices or shipping- memoranda applicable thereto or in any other manner.

It is further ordej' That the respondents herein shall, 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.