Bond Stores, Incorporated

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In THE Marrer OF BOND STORES, INCORPORATED CONSENT ORDER, ETO., IN REGARD TO THE ALLEGED VIOLATION OF THE FEDERAL TRADE COMMISSION AND THE FLAMMABLE FABRICS ACTS Docket C-2014. Complaint, Aug. 17, 1971—Decision, Aug. 17, 1971 Consent order requiring a New York City seller and distributor of ladies’, men’s and children’s wearing apparel and accessories, including women’s fake fur coats, to cease violating the Flammable Fabrics Act by importing and selling any fabric which fails to conform to the standards of said Act. CompLaAINT 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 Bond Stores, Incorporated, a corporation hereinafter referred to as the respondent, has violated the provisions of said Acts, and the rules and regulations promulgated under the ¥lammable 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:

244 Decision and Order Paracrapy 1. Respondent Bond Stores, Incorporated, is a corporation organized, existing and doing business under and by virtue of the laws of the State of Maryland.

The proposed respondent is engaged in the business of the sale and distribution of products, namely ladies’, men’s and children’s wearing apparel and accessories, including but not limited to women’s fake fur coats. Its principal and executive offices are located at Fifth Avenue at 85th Street, New York, New York.

Par. 2. The respondent is now and for some time last past has been engaged in the sale and offering for sale, in commerce and the importation into the United States and has sold or delivered after sale or shipment in commerce, and has introduced, delivered for introduction, transported and caused to be transported in commerce, products, as the terms “commerce” and “product” are defined in the Flammable Fabrics Act, as amended, which products fail 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 women’s fake fur coats.

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 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.

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 Division of Textiles and Furs, Bureau of Consumer Protection proposed to present to the Commission for its consideration and which, if issued by the Commission, would charge the respondent with violation of the Federa] 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, Decision and Order 79 F.T.C.

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 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 (80) days, now in further conformity with the procedure prescribed in Section 2.34(b) of its rules, the Commission hereby issues its complaint, makes the following jurisdictional findings, and enters the following order:

1. Respondent Bond Stores, Incorporated, is a corporation organized, existing and doing business under and by virtue of the laws of the State of Maryland.

Respondent is engaged in the business of the sale and distribution of products, namely ladies’, men’s and children’s wearing apparel and accessories, including but not limited to women’s fake fur coats. Its principal and executive offices are located at Fifth Avenue at 35th Street, New York, New York.

2. The Federal Trade Commission has jurisdiction of the subject matter of the proceeding and of the respondents, and the proceeding is in the public interest.

ORDER It ts ordered, That the respondent Bond Stores, Incorporated, a corporation, and its officers and respondents’ representatives, agents and employees, directly or through any corporate or other device, do forthwith cease and desist from 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” or “related material” are defined in the Flammable Fabrics Act, as amended, which product, fabric or related material fails to conform to any applicable standard or regulations continued in effect, issued or amended under the provisions of the aforesaid Act. It is further ordered, That the respondent notify all of its stores to whom have been delivered the products which gave rise to the complaint, of the flammable nature of said products, and effect recall of. said products from such stores and, if identified, their customers. 244 Decision and Order It is further ordered, That the respondent herein either process the products which gave rise to the complaint so as to bring them into conformance with the applicable standard of flammability under the Flammable Fabrics Act, as amended, or destroy said products. It is further ordered, That the respondent herein shall, within ten (10) days after service upon it of this order, file with the Commission a special report in writing setting forth the respondent’s intentions as to compliance with this order. This special report shall also advise the Commission fully and specifically concerning (1) the identity of the products which gave rise to the complaint, (2) the number of said products in inventory, (8) any action taken and any further actions proposed to be taken to notify customers of the flammability of said products and effect the recall of said products and of results thereof, (4) any disposition of said products since January 19, 1971, and (5) any action taken or proposed to be taken to bring said products into conformance with the applicable standard of flammability under the Flammable Fabrics Act, as amended, or destroy said products, and the results of such action. Such report shall further inform the Commission as to whether or not respondents have in inventory any product, fabric, or related material having a plain surface and made of paper, silk, rayon and acetate, nylon and acetate, rayon, cotton or any other material or combinations thereof in a weight of two ounces or less per square yard, or any product, fabric or related material having a raised fiber surface. Upon request of the Commission the respondent shall submit samples of not less than one square yard in size of any such product, fabric, or related material with this report.

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 corporation, the creation. or dissolution of subsidiaries or any other change in the corporation which may affect compliance obligations arising out of the order.

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 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.

470-883—T3—--17 Complaint 79 FEC.