La Salle Quilting Company, Inc.

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IN THE MATTER OF LA SALLE QUILTING C0:IPANY, INC., ET AL CONSE:-T ORDER, ETC. , IN REGARD TO THE ALLEGED VIOLATION OF THE FEDERAL TRADE COMMISSION, THE WOOL PRODUCTS LABELING, AND THE TEXTILE FIBER PRODUCTS IDENTIFICATION ACTS Docket C-1262. Complaint, Oct. 10, 1967-Decision, Oct. 10, 1967 Consent order requiring a Chicago, m., manufacturer of bedding and quilted fabrics to cease misbranding its wool and textile fiber products and failing to maintain required records.

COMPLAINT Pursuant to the provisions of the Federal Trade Commission Act, the Wool Products Labeling Act of 1939 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 La Sane Quilting Company, Inc., a corporation, and Arthur D. Rifas, individuany 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 Wool Products Labeling Act of 1989 and the Textie Fiber Products Identification 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 1. Respondent La Sane Quiling Company, Inc., is a corporation organized, existing and doing business under and by virtue of the laws of the State of Ilinois. Respondent Arthur D. Rifas is an offcer of said corporate respondent. He controls the acts, practices and policies of said corporate respondent.

Respondents are engaged in the manufacture and sale of wool and textile fiber products, including quilted fabrics, with their offce and principal place of business located at 4017 South Wabash Avenue, Chicago, Ilinois.

PAR. 2. Respondents, now and for some time last past, have manufactured for introduction into commerce, introduced into commerce, sold, transported, distributed. delivered for shipment shipped, and offered for sale, in commerce, as "commerce" is defined in the Wool Products Labeling Act of 1939. wool products as "wool product" is defined therein.

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LA SALLE QUILTING COMPANY, IKC., ET AL. 787 786 Complaint PAR. 3. Certain of said wool products were misbranded the respondents within the intent and meaning of Section 4 (a) (1) of the Wool Products Labeling Act of 1939 and 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 quilted fabrics stamped, tagged, labeled, or otherwise identified by respondents as 90/r Acrylic, 10' Dnknown Fibers whereas in truth and in fact, said products contained woolen fibers as well as substantially different fibers and amount of fibers other than as represented.

PAR. 4. Certain of said wool products were further misbranded by respondents in that they were not stamped, labeled, tagged or otherwise identified as required under the provisions of Section 4 (a) (2) of the Wool Products Labeling Act of 1989 and in the manner and form as prescribed by the Rules and Regulations promulgated under said Aet.

Among such misbranded wool products, but not limited thereto was a wool product with a label on or affxed thereto which failed to disclose the percentage of the total fiber weight of the said thewool product,totalexclusivefiberofweight,ornamentationofnot (1)exceedingwool; (2) reprocessed wool:5 ( (3) reused wool; (4) each fiber other than wool, when said percentage by weight of such fiber was or more; and (5) the aggregate of all other fibers.

PAR. 5. The acts and practices of the 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 meaning- of the Federal Trade Commission Act.

PAR. 6. Respondents are now, and for some bme last past have been, engaged in the introduction, delivery for introduction, manufacture 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 L:united States, of textile fiber products: and have sold, offered for sale advertised, delivered, transported and caused 10 be transported textile fiber products, which had been advertised or offered for Complaint 72 F.

sale in commerce; and have 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 textile fiber products; as the terms "commerce" and "textile fiber product" are defined in the Textile Fiber Products Identification Act.

PAR. 7. Certain of said textile fiber products were misbranded by respondents 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 the constituent fibers contained therein.

Among such misbranded textile fiber products, but not limited thereto, were quilted fabrics that were labeled as 90;1, Acrylic, 10% Other Fibers, whereas, in truth and in fact, such products contained substantially different fibers and amounts of fibers other than as represented.

PAR. 8. Certain of the textile fiber products were misbranded by respondents in that they were not stamped, tagged, labeled, or otherwise identified to show each element of information required to be disclosed by Section 4 (b) 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 misbranded textile fiber products, but not limited thereto, were quiled fabrics with labels which failed; (1) To disclose the true percentage of the fibers present by weight; and (2) To disclose the true generic names of the fibers present. PAR. 9. Respondents have failed to maintain proper records showing the fiber content of the textile fiber products manufactured by them, in violation of Section 6 of the Textile Fiber Products Identification Act and Rule 39 of the Regulations promulgated thereunder.

PAR. 10. The acts and practices of respondents, as set forth in Paragraph Seven, Eight and i\ine above were, and are, in violation of the Textile Fiber Products Identification Act and the Rules and Regulations promulgated thereunder, and constituted and nov,' constitute, unfair methods of competition and unfair and deceptive acts and practices in commerce under the Federal Trade Commission Act.

LA SALLE QUILTING COMPANY, INC. , ET AL. 789 786 Decision and Order 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, the Wool Products Labeling Act of 1939 and the Textile Fiber Products Identification Act; and The respondents and counsel for the Commission ha ving there after 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 respondents that the law has been violated as alleged in such complaint, and \vaivers and other provisions as required by the Commission s Rules; and The Commission having thereafter considered the matter and having determined that it had reason to believe that the respondents have violated the said Acts, and that complaint should issue stating its charges in that respect, and having thereupon accepted the executed consent agreement and placed such agreement on the public record for a period of thirty (30) days, now in further conformity with tbe procedure prescribed in S 2, 34 (b) of its Rules, the Commission hereby issues its complaint, makes the following jurisdictional findings, and enters the following order: I, Respondent La Salle Quilting Company, Inc. , is a corporation organized, existing and doing business under and by virtue of the iaws of the State of Ilinois, with its offce and principal place of business located at 4017 South Wabash A venue, Chicago Ilinois.

Respondent Arthur D. Rifas is an offcer of said corporation and his address is the same as that of saki 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 olde1' That respondents La Salle ( uilting Company, Inc. a corporation, and its offcers, and Arthur D, Rifas, individually and as an offcer of said corporation, and respondents' representa- Decision and Order 72 F.

tives, agents and employees, directly or through 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 product" are defined in the Wool Products Labeling Act of 1939, do forthwith cease and desist from misbranding such products by: 1. Falsely and deceptively stamping, tagging, labeling, or otherwise identifying such products as to the character or amount of the constituent 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.

It is fw.the,. o,.dej' That respondents La Salle Quilting Company, Inc., a corporation, and its offcers, and Arthur D. Rifas individually and as an offcer of said corporation, and respondents representatives, agents and employees, directly or through any corporate or other device, in connection with the introduction delivery for introduction, manufacture 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 Dnited 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 Textile 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 otherwjse identifying such products as to the name or amount of constituent fibers contained therein, 2. Failing to affx a stamp, tag, label, or other means of identification to each such product showing in a clear legible and conspicuous manner each element of informa- DERBY OF SAN FRANCISCO 791 786 Complaint tion required to be disclosed by Section 4 (b) of the Textie Fiber Products Identification Act.

B. Failing to maintain and preserve proper records showing the fiber content of the textile fiber products manufactured by said respondents, as required by Section 6 of the Textile Fiber Products Identification Act and Rule 39 of the Regulations promulgated thereunder.

It is ftwthe1' ordered That the respondents herein shall, within sixty (60) days after service upon them of this order, file with thc Commission a report in writing setting forth in detail the manner and form in which they have complied with this order.