Spencer Gifts, Inc

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In rue Marrer or SPENCER GIFTS, INC.

CONSENT ORDER, ELC., IN REGARD TO TTIE ALLEGED VIOLATION OF TIE FEDERAL TRADE COMMISSION ACT Docket C-1694. Complaint, Feb. 24, 1970—Decision, Feb. 24, 1970 Consent order. requiring an Atlantic City, N.J., mail-order merchandiser to cease advertising and offering for sale any non-prescription ready-made spectacles unless it discloses that such products are for limited use by persons who do not have astigmatism or some disease of the eye. ComriaAIntT Pursuant to the provisions of the Federal Trade Commission Act, and by virtue of the authority vested in it by said Act, the Federal 467-207T—73.

Complaint V7 ETC.

Trade Commission, having reason to believe that Spencer Gifts, Inc., hereinafter referred to as respondent, has violated the provisions of said 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: Paracrapy 1. Respondent Spencer Gifts, Inc., is a corporation duly organized, existing and doing business under and by virtue of the laws of the State of New Jersey, with its principal office and place of business located at 1601 Albany Avenue Boulevard, Atlantic City, New Jersey.

Par. 2. Respondent is now, and for some time last past has been, engaged in the advertising, offering for sale, sale and distribution of optical products which come within the definition of device, as the term “device” is defined in the Federal Trade Commission Act. Par. 8. In the course and conduct of its business as aforesaid, respondent has caused and does now cause said optical products when sold, to be shipped from its place of business in the State of New Jersey to purchasers thereof located in various other States of the United States, and in the District of Columbia, and maintains, and at all times mentioned herein has maintained, a substantial course of trade in said products in commerce as “commerce” is defined in the Federal Trade Commission Act.

Par. 4. In the course and conduct of its business as aforesaid, respondent has disseminated and caused the dissemination of certain advertisements concerning said optical products by the United States Mails and by various means in commerce, as “commerce” is defined in the Federal Trade Commission Act, including advertisements appearing in mail order catalogues. Said advertisements, which relate to non-prescription magnifying spectacles, fail to disclose that the correction of defects in vision by such products is limited to persons approximately 40 years of age and older who do not have astigmatism or diseases of the eye and who require only simple magnifying or reducing lenses. Therefore, said advertisements were and are misleading in material respects and constituted, and now constitute, “false advertisements” as that term is defined in the Federal Trade Commission Act. ;

_ Par. 5. The dissemination by the respondent of the false advertisements, as aforesaid, constituted, and now constitutes, unfair and deceptive acts and practices, in commerce, in violation of Sections 5 and 12 of the Federal Trade Commission Act. BYRINUGMAN UL AD, LNs avue 165 Order DECISION AND ORDER The Federal Trade Commission having initiated an investigation of certain acts and practices of the respondent named in the caption hereof, and the respondent having been furnished thereafter with a. copy of a draft of complaint which the Bureau of Deceptive Practices proposed to present to the Commission for its consideration: and which, if issued by the Commission, would charge respondent with violation of the Federal Trade Commission Act; and The respondent and counsed for the Commission having thereafter executed an agreement containing a consent order, an admission by the respondent 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 respondent that the law has been violated as alleged in: such complaint, and waivers 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 respondent has violated the said Act, and that complaint should issue stating its: charges in that respect, and has thereupon accepted the executed. consent agreement and placed such agreement on the public record for a period of thirty (80) days, now in further conformity with the procedure prescribed in §2.34(b) of its Rules, the Commission hereby issues its complaint, makes the following jurisdictional findings, and enters the following order:

1. Respondent, Spencer Gifts, Inc., is a corporation organized, existing and doing business under and by virtue of the Jaws of the: State of New Jersey, with its office and principal place of business located at 1601 Albany Avenue Boulevard, Atlantic City, New Jersey.

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 ordered, That respondent, Spencer Gifts, Inc., a corporation,. and its officers, and respondent’s representatives, agents and employees, directly or through any corporate or other device, in connection with the offering for sale or sale or distribution of nonprescription. LVO PHVEOKAL LOAUIG UUIMLIVMLISSLUIN DECLSLUUNS Order V7 FTC.

magnifying spectacles or any other optical products do forthwith cease and desist from, directly or indirectly : 1. Disseminating or causing the dissemination of any advertisement by means of the United States mails or by any means in commerce, as “commerce” is defined in the Federal Trade Commission Act, which (a) represents that any non-prescription’ magnifying spectacles or ready-made spectacles offered for sale will correct, or are capable of correcting, defects in vision of persons, unless it is clearly and conspicuously disclosed in immediate conjunction with such representation that the correction of defects in vision by such products is limited to persons approximately forty years of age and older who do not have astigmatism or diseases of the eye and who require only simple magnifying or reducing lenses; (b) misrepresents in any manner, the construction, design, type, quality, durability or efficacy of any optical products, or the extent of vision improvement that may be reasonably expected by the use of any optical products. 2. Disseminating or causing the dissemination of any advertisement by any means for the purpose of inducing, or which is likely to induce, directly or indirectly, the purchase of respondent’s optical products in commerce as “commerce” is defined in the Federal Trade Commission Act, which fails to contain the affirmative disclosures required, or which contains any of the misrepresentations prohibited, in Paragraph 1 hereof. It is further ordered, That the respondent shall forthwith distribute a copy of this order to each of its operating divisions. It is further ordered, That respondent shall notify the Commission at least 30 days prior to any proposed change in the corporate respondent such as dissolution, assignment or sale resulting in the emergence of a successor corporation, the creation or dissolution of subsidiaries or any other change in the corporation which may effect compliance obligations arising out of the order. It is further 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. LEVITT—PARRAS, INC., ET AL. 169 Complaint