Clairol Incorporated

Text (OCR of the scan at left; may contain errors)

IN THE MATTER OF CLAlROL INCORPORATED MODIFIED ORDER, ETC. , IN REGARD TO THE ALLEGED VIOLATION OF SEC. 2(d) OF THE CLAYTON ACT Docket /1(;47. CnmJ!laint, Sept. 9rft-Decision, Aug. 1969 The COllrt of Appeals, Kinth Circuit, in an opinion dated April 2 , 1 DB!), 410 2d 1';47 , modifier! the cease and desist order dated June 24 , lD6(j, 6V C. 1(11)\ , which prohibited a manufacturer of beauty prqJarations from paying rliscl'jminatory pl'omotiollal allowances; the Commi:-sion, in accordance with the court' s opinion, modified the order by deleting the two subparagmphs pertaining to wholesalers, and adding to each of the two remaining provisions pertaining- to retail stores and beauty salons a lJhrase tn include retailer customers who do not purchase directly from respondent.

Modified Order to Cease and Desist 76 F, MODIFIED ORDER TO CEASE AND DESIST Respondent having filed in the United States Court of Appeals for the Ninth Circuit a petition to review and set aside the order to cease and desist issued on June 24, 1966 (69 F. C, 1009); and the court on April 27, 1969, having entered judgment modifying said order to cease and desist and affrming and enforcing said order as so modified; and the time allowed for filing a petition for certiorari having expired and no such petition having been filed: Now, the?'efor' , it ilj hereby ordel'ed That the aforesaid order to cease and desist be, and it hereby is, modified in accordance with the said judgment of the court of appeals to read as follows: It ,is ordered That respondent, Clairol Incorporated, its officers, agents, representatives and employees, directly or indirectly, through any corporate or other device, in or in connection with the offering for sale, sale or distribution of its products, in commerce, as "commerce " is defined in the Clayton Act, as amended, do forthwith:

1. Cease and desist from paying or contracting to pay anything of value to or for the benefit of any retailer customer engaged in the resale of respondent' s hair care products to home use consumers, as compensation or consideration for any services or faciliies furnished by or through such customer in connection with the processing, handling, sale or offering for sale of such products, unless such payment or consideration is available on proportionally equal terms to all other retailer customers of respondent, including retailer customers who do not purchase directly from respondent, who compete with the favored retailer customer in the distribution of such products to Consu111ers for home use. 2, Cease and desist from paying or contracting to pay anything of value to 01' for the benefit of any customer engaged in rendering hail' care services. in i:he course of which such customer uses respondent' s hair care products, for advertising services furnished by or through sucb customer in the promotion of such products, unless such payment or consideration is available on proportionally equal terms to al1 other beauty salon customers of respondent, including beauty salon customers who do not purchase directly from respondent, who compete ..

CLAIWL INC. 207 205 Modiftr'o 1:hder to Cease and Desist with tee favored beauty salon customer in the rendering of he,;r c re services and the use of respondent's hair care products.