Christian Dior-New York Incorporated

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In THE Matrver oF CHRISTIAN DIOR-NEW YORK, INCORPORATED CONSENT ORDER, ETC., IN REGARD TO THE ALLEGED VIOLATIONS OF THE FEDERAL TRADE COMMISSION AND THE FLAMMABLE FABRICS ACTS Docket C-1841.- Complaint, Jan. 4, 1971—Deeision, Jan. 4, 1971 Consent order requiring a New York City manufacturer and seller of women’s and misses’ wearing apparel, including ladies’ dresses, to cease violating the Flammable Fabrics Act by selling, importing, or deliverying any fabric which fails to conform to the standards of said Act. CoMPLsINntT Pursuant to the provisions of the Federal Trade Commission Act and the Flammable Fabrics Act, as amended, and by virtue of the authority vested in it by said Acts, the Federal Trade Commission, having reason to believe that Christian Dior-New York, Incorporated, a corporation hereinafter referred to as respondent, has violated the provisions of the said Acts and the Rules and Regulations promulgated under the Flammable Fabrics Act, as amended, 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: Parscrarn 1. Respondent Christian Dior-New York, Incorporated, is a corporation organized, existing and doing business under and by virtue of the laws of the State of New York. Respondent is engaged in the manufacture and sale of women’s and misses’ wearing apparel including, but not limited to, ladies’ dresses. .

The office and principal place of business of the respondent is 498 Seventh Avenue, New York, New York.

Par. 2. Respondent is now and for some time last past has been engaged in the manufacturing for sale, sale and offering for sale, in UFLNAidLLiAIN VLILUNTINE W L UND, ALIN. Av 14 Decision and Order commerce, and in the importation into the United States, and has introduced, delivered for introduction, transported and caused to be transported in commerce, and has sold or delivered after sale or shipment in commerce, products; and has manufactured for sale, sold, and offered for sale products made of fabric or related material which has been shipped and received in commerce, as the terms “commerce,” “product,” “fabric” and “related material” are. defined in the Flammable Fabrics Act, as amended, which products and fabrics failed to conform to an applicable standard or regulation continued in effect issued or amended under the provisions of the Flammable Fabrics Act, as amended.

Among such products mentioned hereinabove were ladies’ dresses. Par. 3. The aforesaid acts and practices of respondent were and are in violation of the Flammable Fabrics Act, as amended, and the Rules and Regulations promulgated thereunder, and as such 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.

DeEcISION 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 Consumer Protection, Division of Textiles and Furs 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 Flammable Fabrics Act, as amended; and The respondent and counsel 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 hav-— ing determined that it had reason to believe that the respondent has 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 Decision and Order 78 F.T.C.

for a period of thirty (30) 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 Christian Dior-New York, Incorporated, is a corporation organized, existing and doing business under and by virtue of the laws of the State of New York.

Respondent is engaged in the manufacture and sale of women’s and misses’ wearing apparel, including, but not limited to, ladies’ dresses with its office and principal place of business located at 498 Seventh Avenue, New York, New York.

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 Christian Dior-New York, Incorporated, a corporation, and its officers, and respondent’s representatives, agents and employees, directly or through any corporate or other device, do forthwith cease and desist from manufacturing for sale, selling, offering for sale, in commerce, or importing into the United States, or introducing, delivering for introduction, transporting or causing to be transported in commerce, or selling or delivering after sale or shipment in commerce, any product, fabric, or related material; or manufacturing, for sale, selling, or offering for sale, any product made of fabric or related material which has been shipped or received in commerce, as “commerce,” “product,” “fabric” and “related material” are defined in the Flammable Fabrics Act, as amended, which product, fabric or related material fails to conform to an applicable standard or regulation continued in effect, issued or amended under the provisions of the aforesaid Act. It is further ordered, That respondent herein shall, within ten (10) days after service upon it of this order, file with the Commission an interim special report in writing setting forth the respondent’s intention as to compliance with this order. This interim special report shall also advise the Commission fully and specifically concerning the identity of the product which gave rise to the complaint, (1) the amount of such product in inventory, (2) any action taken to notify cutomers of the flammability of such product and the results thereof and (3) any disposition of such product since March 9, 1970. Such report shall further inform the Commission whether respondent has in inventory any other fabric, product or related material having a plain surface and made of silk, paper, rayon and ace- GOLDEN-VENET, INC., ET AL. 17 14 Complaint weight of two ounces or less per square yard or with a raised fiber surface and: made of cotton or rayon or combinations thereof. Re- Spondent will submit samples of any such fabric, product or related material with this report. Samples of the fabric, product or related material shall be not less than the square yard of material. It is further ordered, That the respondent herein either process the fabrics which gave rise to this complaint and any wearing apparel made from said fabrics'so as to bring them within the applicable flammability standards of the Flammable Fabrics Act, as amended, or destroy said fabrics or any wearing apparel made ther efrom.

It is further ordered, That respondent 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 corpor ation, the creation or dissolution of subsidiaries or any other change in the corporation which may affect compliance obligations arising out of the order.

[t ts further ordered, That the respondent corporation shall forthwith distribute a copy of this order to each of its operating divisions.

It is further ordered, That the respondent shall maintain full and adequate records concerning all products, fabrics or related materials subject to the Flammable Fabrics Act, as amended, which are sold or distributed by it.

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.