Baby Products, Incorporated

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

In THE Marrsr OF BABY PRODUCTS, IN CORPORATED, ET AL.

CONSENT onpEn, ETC., IN REGARD. TO THE ALLEGED: VIOLATION OF THE - : ‘FEDERAL ‘TRADE COMMISSION ACT. :

Docket 0-2248. Complaint, July 11, 1972—Deeision, July 11, 1972. - Consent order requiring an Arlington, Virginia, firm engaged in the sale, service, ’ and repair.of baby furniture to:cease,:-among other things, failing.to notify ' prospective customers, on the initial’ contact, that the purpose of the contact BABY. PRODUCTS; INCORPORATED, -ET ALi. 15 \. ae ‘Complaint - is-to,sell. merchandise or. services; misrepresenting. that, respondents repre- ; sent or: -perform services for any.. commercial firm if said. representation is untrue; Tepresen z gi rts as being given ‘free by the manufacturer; zepre- ; senting { that any contract, purchase agreement or ‘order’ is cancellable or that . “purchase price will be refunded without disclosing the exact terins' and: con- ‘ditions. forthe cancellation beforehand’; representing merchandiseas:guar- . ,anteed.unless'full disclosure as to guarantor, nature.and extent of guarantée . is made; representing any, article of merchandise as. free, when, in fact,: the prices 1 2 8 2 2 794 948 32 35 96.909737 of5 1 2 8 2 3 835 952 67 32 96.972809 said5 1 2 8 2 4 910 950 106 34 96.645691 articles 1 2 8 2 5 1024 948 28 36 96.645691 is5 1 2 8 2 6 1060 949 156 36 96.414299 included5 1 2 8 2 7 1207 966 32 18 96.971977 in5 1 2 8 2 8 1249 957 51 28 96.991783 thes 1 2 8 2 9 1309 946 80 67 87.968307 sales5 1 2 8 2 10 1393 953 109 60 47.205929 price,5 1 2 8 2 11 1680 980 8 4 0.000000 .5 1 2 8 2 12 1873 980 4 2 39.195824 .2 1 3 0 0 0 985 705 45 24 -1 3 1 3 1 0 0 985 705 45 24 -1 4 1 3 1 1 0 985 705 45 24 -1 5 1 3 1 1 1 985 705 45 24 95.000000 2 1 4 0 0 0 1778 949 75 42 -1 3 1 4 1 0 0 1778 949 75 42 -1 4 1 4 1 1 0 1778 949 75 42 -1 5 1 4 1 1 1 1778 949 75 42 95.000000 2 1 5 0 0 0 1054 1012 371 93 -1 3 1 5 1 0 0 1009 1012 416 93 -1 4 1 5 1 1 0 1054 1012 371 93 -1 5 1 5 1 1 1 1009 1051 68 18 37.240906 at5 1 5 1 1 2 1154 1057 5 17 0.000000 »5 1 5 1 1 3 1200 1012 203 93 0.000000 Conmnaner5 1 5 1 1 4 1419 1058 6 43 36.579407 |2 1 6 0 0 0 630 1094 1331 1676 -1 3 1 6 1 0 0 632 1094 1329 470 -1 4 1 6 1 1 0 664 1094 1296 73 -1 5 1 6 1 1 1 664 1124 193 32 79.218857 -Pursuant:5 1 6 1 1 2 867 1124 114 33 4.955971 tothe5 1 6 1 1 3 996 1102 206 65 90.791092 provisions.5 1 6 1 1 4 1208 1101 50 57 79.602585 of.5 1 6 1 1 5 1266 1106 66 53 96.819885 thes 1 6 1 1 6 1341 1098 152 61 95.300873 Federal5 1 6 1 1 7 1505 1099 117 60 93.965034 Trades 1 6 1 1 8 1638 1097 233 64 92.881805 Commissions 1 6 1 1 9 1880 1094 80 73 90.732048 Act,4 1 6 1 2 0 634 1141 1326 93 -1 5 1 6 1 2 1 634 1141 70 66 92.783394 ands 1 6 1 2 2 720 1173 48 43 96.877533 by5 1 6 1 2 3 785 1173 115 36 96.294411 virtues 1 6 1 2 4 916 1174 42 33 96.294411 of5 1 6 1 2 5 974 1174 60 33 96.930008 thes 1 6 1 2 6 1048 1171 183 63 96.715248 authority5 1 6 1 2 7 1247 1176 144 34 91.778038 vested5 1 6 1 2 8 1381 1177 85 32 15.346756 init5 1 6 1 2 9 1481 1177 48 46 96.450424 by5 1 6 1 2 10 1545 1177 82 34 96.870514 said5 1 6 1 2 11 1638 1178 82 42 96.512039 Act,5 1 6 1 2 12 1730 1178 78 33 96.665695 thes 1 6 1 2 13 1813 1178 147 34 96.744263 Federal4 1 6 1 3 0 632 1203 1329 79 -1 5 1 6 1 3 1 632 1224 119 34 96.102852 Trades 1 6 1 3 2 756 1220 240 47 96.102852 Commission,5 1 6 1 3 3 998 1221 146 61 40.045738 having:5 1 6 1 3 4 1141 1227 123 46 91.625839 reasons 1 6 1 3 5 1271 1228 41 32 96.662567 to5 1 6 1 3 6 1317 1221 130 47 84.465714 believes 1 6 1 3 7 1455 1227 79 42 96.570091 that5 1 6 1 3 8 1532 1225 113 50 96.972336 Baby5 1 6 1 3 9 1652 1203 181 73 77.823547 Products,5 1 6 1 3 10 1843 1226 118 53 60.449661 Incor-4 1 6 1 4 0 630 1265 1331 68 -1 5 1 6 1 4 1 629 1268 167 52 93.008293 porated,5 1 6 1 4 2 802 1286 31 25 90.382401 .a5 1 6 1 4 3 856 1265 220 67 90.069633 corporation,5 1 6 1 4 4 1097 1271 11 57 28.609497 .5 1 6 1 4 5 1108 1270 87 50 78.908539 ands 1 6 1 4 6 1201 1269 141 53 56.633560 Robert:5 1 6 1 4 7 1348 1266 135 67 94.256668 Amey,5 1 6 1 4 8 1498 1266 259 64 69.319199 individually,5 1 6 1 4 9 1764 1275 137 48 79.754929 and.as5 1 6 1 4 10 1915 1277 46 47 94.929001 an4 1 6 1 5 0 632 1316 1329 69 -1 5 1 6 1 5 1 632 1324 112 36 75.592384 officers 1 6 1 5 2 755 1327 40 40 96.971771 of5 1 6 1 5 3 805 1326 79 44 96.506035 said5 1 6 1 5 4 894 1317 239 68 91.165337 corporation,5 1 6 1 5 5 1135 1316 222 55 87.162460 hereinafter.5 1 6 1 5 6 1360 1324 164 50 82.243011 referred5 1 6 1 5 7 1527 1333 89 35 70.854111 to,as5 1 6 1 5 8 1625 1320 237 53 96.521240 respondents,5 1 6 1 5 9 1864 1319 97 56 91.566574 have4 1 6 1 6 0 634 1377 1326 47 -1 5 1 6 1 6 1 634 1378 151 33 96.433632 violated5 1 6 1 6 2 796 1377 61 33 96.433632 thes 1 6 1 6 3 867 1378 179 42 96.380867 provisions 1 6 1 6 4 1057 1380 41 33 96.526978 of5 1 6 1 6 5 1108 1379 76 34 96.330124 said5 1 6 1 6 6 1195 1380 80 43 96.330124 Act,5 1 6 1 6 7 1286 1381 71 33 96.760864 ands 1 6 1 6 8 1367 1380 30 33 96.817627 it5 1 6 1 6 9 1409 1381 200 43 81.617783 appearing5 1 6 1 6 10 1611 1386 41 29 36.489716 to5 1 6 1 6 11 1658 1382 66 32 87.941757 thes 1 6 1 6 12 1728 1382 232 34 94.486641 Commission4 1 6 1 7 0 631 1426 1327 66 -1 5 1 6 1 7 1 631 1431 81 31 96.055038 that5 1 6 1 7 2 730 1433 28 28 64.740608 a.5 1 6 1 7 3 767 1426 207 66 96.792450 proceedings 1 6 1 7 4 989 1431 56 51 89.850197 by5 1 6 1 7 5 1052 1430 90 33 33.730965 itin5 1 6 1 7 6 1147 1432 139 41 91.577888 respects 1 6 1 7 7 1301 1431 138 34 96.441322 thereof5 1 6 1 7 8 1455 1432 125 33 73.239304 would5 1 6 1 7 9 1586 1433 68 32 73.239304 be5 1 6 1 7 10 1645 1444 37 20 96.976448 in5 1 6 1 7 11 1699 1433 58 33 93.241577 thes 1 6 1 7 12 1769 1434 147 49 87.936661 piiblic5 1 6 1 7 13 1906 1444 52 22 92.335167 in-4 1 6 1 8 0 634 1476 1326 86 -1 5 1 6 1 8 1 634 1478 115 44 93.288155 terest,5 1 6 1 8 2 761 1476 160 52 69.950035 heteby5 1 6 1 8 3 900 1472 25 60 95.120247 i5 1 6 1 8 4 910 1479 112 53 94.391273 issues5 1 6 1 8 5 1035 1478 61 46 53.085083 its’5 1 6 1 8 6 1094 1481 195 59 92.109863 ‘complaints 1 6 1 8 7 1305 1477 142 66 85.220764 stating5 1 6 1 8 8 1454 1476 52 63 89.734558 its5 1 6 1 8 9 1507 1476 144 60 78.459793 ‘charges5 1 6 1 8 10 1672 1483 16 6 71.089813 i5 1 6 1 8 11 1674 1481 43 54 96.317818 in5 1 6 1 8 12 1732 1484 86 52 71.700760 that’5 1 6 1 8 13 1816 1480 144 82 0.000000 ‘Pesbect4 1 6 1 9 0 634 1526 452 39 -1 5 1 6 1 9 1 634 1536 37 45 90.401505 as5 1 6 1 9 2 677 1522 163 45 33.362610 follows:5 1 6 1 9 3 1084 1526 2 2 0.000000 .3 1 6 2 0 0 633 1554 1327 276 -1 4 1 6 2 1 0 658 1554 1301 76 -1 5 1 6 2 1 1 658 1562 235 66 0.000000 -ParaGrare.5 1 6 2 1 2 902 1583 37 39 34.982613 L.,5 1 6 2 1 3 936 1554 241 76 48.717709 ‘Respondent.5 1 6 2 1 4 1183 1564 110 62 74.704132 Baby.5 1 6 2 1 5 1291 1560 189 66 79.257523 Products,5 1 6 2 1 6 1489 1560 260 67 85.893562 Incorporated,5 1 6 2 1 7 1753 1576 79 47 77.309830 isa.5 1 6 2 1 8 1813 1565 3 2 50.033627 15 1 6 2 1 9 1845 1565 114 63 88.806763 corpo-4 1 6 2 2 0 631 1606 1329 77 -1 5 1 6 2 2 1 631 1606 118 59 94.316322 rations 1 6 2 2 2 765 1617 195 66 96.229294 organized,5 1 6 2 2 3 976 1632 151 45 96.616531 existing5 1 6 2 2 4 1143 1634 70 33 96.456894 ands 1 6 2 2 5 1228 1634 108 44 96.456894 doing5 1 6 2 2 6 1349 1635 154 33 96.716202 business5 1 6 2 2 7 1518 1635 110 33 96.376823 under5 1 6 2 2 8 1645 1636 68 32 96.959335 ands 1 6 2 2 9 1728 1637 47 42 96.953636 by5 1 6 2 2 10 1789 1637 115 32 96.865532 virtues 1 6 2 2 11 1919 1638 41 31 96.890190 of4 1 6 2 3 0 633 1683 1327 60 -1 5 1 6 2 3 1 633 1683 59 32 96.637970 thes 1 6 2 3 2 704 1683 89 33 96.827713 laws5 1 6 2 3 3 801 1683 39 33 95.798203 of5 1 6 2 3 4 851 1683 60 33 96.991135 thes 1 6 2 3 5 923 1683 148 33 96.506676 Districts 1 6 2 3 6 1082 1684 40 33 96.610626 of5 1 6 2 3 7 1135 1684 191 44 96.163765 Columbia,5 1 6 2 3 8 1337 1686 87 33 96.951324 with5 1 6 2 3 9 1435 1686 46 33 96.296066 its5 1 6 2 3 10 1492 1686 174 57 96.850281 principals 1 6 2 3 11 1678 1687 91 33 96.455017 offices 1 6 2 3 12 1780 1688 70 32 96.566574 ands 1 6 2 3 13 1862 1689 98 41 96.566574 place4 1 6 2 4 0 633 1734 1326 59 -1 5 1 6 2 4 1 633 1735 40 32 96.932083 of5 1 6 2 4 2 683 1734 154 33 96.430107 business5 1 6 2 4 3 848 1735 134 32 96.362366 located5 1 6 2 4 4 993 1739 38 29 95.805305 at5 1 6 2 4 5 1041 1736 83 33 90.767288 27315 1 6 2 4 6 1136 1736 136 34 96.578865 Wilson5 1 6 2 4 7 1284 1736 229 52 96.542213 Boulevard,5 1 6 2 4 8 1505 1749 36 21 96.879456 in5 1 6 2 4 9 1553 1738 60 55 97.016823 thes 1 6 2 4 10 1624 1741 127 39 96.505951 county5 1 6 2 4 11 1765 1738 39 36 93.277306 of5 1 6 2 4 12 1817 1737 142 43 92.897064 Arling-4 1 6 2 5 0 633 1780 615 69 -1 5 1 6 2 5 1 633 1779 77 47 96.818336 ton,5 1 6 2 5 2 720 1777 293 51 95.994743 Commonwealth5 1 6 2 5 3 1023 1786 41 33 96.937721 of5 1 6 2 5 4 1072 1780 176 69 95.942116 Virginia.3 1 6 3 0 0 632 1815 1328 267 -1 4 1 6 3 1 0 676 1815 1283 73 -1 5 1 6 3 1 1 676 1831 233 47 69.952789 Respondents 1 6 3 1 2 917 1826 132 51 71.700233 Roberts 1 6 3 1 3 1068 1838 113 43 96.420975 Amey5 1 6 3 1 4 1200 1839 32 32 96.172951 is5 1 6 3 1 5 1248 1849 49 22 96.172951 an5 1 6 3 1 6 1315 1817 207 70 96.986504 individual,5 1 6 3 1 7 1542 1841 70 31 96.441994 ands 1 6 3 1 8 1631 1834 45 38 96.693199 an5 1 6 3 1 9 1696 1815 118 73 87.475067 officer.5 1 6 3 1 10 1824 1827 40 46 96.963585 of5 1 6 3 1 11 1883 1840 76 33 95.770065 said4 1 6 3 2 0 632 1861 1328 75 -1 5 1 6 3 2 1 632 1890 180 39 96.390450 corporate5 1 6 3 2 2 836 1887 216 42 96.307549 respondent.5 1 6 3 2 3 1077 1889 57 32 96.982857 He5 1 6 3 2 4 1157 1890 214 41 96.479424 formulates,5 1 6 3 2 5 1395 1861 127 75 95.374420 directs5 1 6 3 2 6 1544 1891 69 32 94.158287 ands 1 6 3 2 7 1636 1891 159 33 54.629654 controls5 1 6 3 2 8 1807 1892 60 32 54.629654 thes 1 6 3 2 9 1889 1895 71 28 96.748306 acts4 1 6 3 3 0 634 1938 1324 46 -1 5 1 6 3 3 1 634 1938 70 32 96.267296 ands 1 6 3 3 2 716 1938 167 41 96.891418 practices5 1 6 3 3 3 895 1938 39 33 96.961967 of5 1 6 3 3 4 945 1939 60 33 96.983727 thes 1 6 3 3 5 1017 1943 179 46 96.706680 corporate5 1 6 3 3 6 1208 1941 217 42 96.524689 respondent,5 1 6 3 3 7 1437 1941 180 43 96.662766 including5 1 6 3 3 8 1627 1942 60 32 96.957512 thes 1 6 3 3 9 1698 1946 70 29 96.957695 acts5 1 6 3 3 10 1780 1943 70 32 93.289680 ands 1 6 3 3 11 1862 1941 96 43 93.187866 prac-4 1 6 3 4 0 632 1964 1327 77 -1 5 1 6 3 4 1 632 1989 83 33 96.961876 tices5 1 6 3 4 2 730 1984 212 38 96.933334 hereinafter5 1 6 3 4 3 955 1992 52 31 96.639412 sets 1 6 3 4 4 1021 1986 108 37 96.850151 forth.5 1 6 3 4 5 1144 1986 69 53 96.894638 His5 1 6 3 4 6 1228 1992 166 33 95.494247 address5 1 6 3 4 7 1384 2002 30 23 96.791138 is5 1 6 3 4 8 1423 1992 88 50 93.456993 39055 1 6 3 4 9 1528 1964 176 77 94.775040 Westgate5 1 6 3 4 10 1720 1985 119 54 96.960350 Drive,5 1 6 3 4 11 1855 1994 104 43 92.874168 Alex-4 1 6 3 5 0 635 2038 371 44 -1 5 1 6 3 5 1 635 2040 133 40 92.836288 andria,5 1 6 3 5 2 783 2032 173 50 89.113586 Virginia,5 1 6 3 5 3 1004 2038 2 2 30.963753 —3 1 6 4 0 0 633 2065 1327 273 -1 4 1 6 4 1 0 676 2065 1282 87 -1 5 1 6 4 1 1 676 2091 85 33 93.278069 Par.5 1 6 4 1 2 775 2093 31 30 95.407143 2.5 1 6 4 1 3 811 2087 249 65 93.888756 Respondents5 1 6 4 1 4 1073 2103 59 22 95.806778 ares 1 6 4 1 5 1144 2069 89 71 96.966064 now,5 1 6 4 1 6 1246 2094 70 33 97.000290 ands 1 6 4 1 7 1330 2094 58 33 96.937447 for5 1 6 4 1 8 1401 2089 92 39 96.693161 some5 1 6 4 1 9 1495 2076 100 51 96.693161 times 1 6 4 1 10 1602 2065 76 77 92.783524 lasts 1 6 4 1 11 1684 2085 79 52 93.315887 past5 1 6 4 1 12 1774 2074 89 63 96.673950 have5 1 6 4 1 13 1875 2079 83 49 96.302902 been4 1 6 4 2 0 633 2135 1326 68 -1 5 1 6 4 2 1 633 2142 155 55 96.260361 engaged5 1 6 4 2 2 808 2141 38 33 95.746727 in5 1 6 4 2 3 865 2142 59 48 96.656311 thes 1 6 4 2 4 944 2138 225 65 96.877792 advertising,5 1 6 4 2 5 1189 2144 149 43 96.846878 offerings 1 6 4 2 6 1358 2145 58 33 96.671570 for5 1 6 4 2 7 1436 2146 79 43 96.499451 sale,5 1 6 4 2 8 1536 2146 80 42 96.910950 sale,5 1 6 4 2 9 1636 2135 251 54 73.712936 distribution,5 1 6 4 2 10 1890 2147 69 32 96.477470 anda 1 6 4 3 0 635 2172 1325 69 -1 5 1 6 4 3 1 635 2192 128 33 96.870010 services 1 6 4 3 2 778 2187 70 39 96.753998 ands 1 6 4 3 3 864 2187 115 54 96.648010 repairs 1 6 4 3 4 993 2193 40 47 96.920448 of5 1 6 4 3 5 1047 2194 91 43 96.434120 baby5 1 6 4 3 6 1153 2195 177 45 96.654152 furniture5 1 6 4 3 7 1344 2199 38 30 96.927078 to5 1 6 4 3 8 1396 2196 60 33 96.974579 thes 1 6 4 3 9 1469 2197 126 44 96.510910 public.5 1 6 4 3 10 1609 2172 102 69 95.613235 Sales5 1 6 4 3 11 1726 2199 58 31 96.729050 ares 1 6 4 3 12 1795 2193 103 52 96.973656 made5 1 6 4 3 13 1913 2198 47 42 96.661240 by4 1 6 4 4 0 635 2234 1323 63 -1 5 1 6 4 4 1 635 2238 232 46 96.274925 respondents’5 1 6 4 4 2 889 2246 129 41 96.127678 agents,5 1 6 4 4 3 1038 2234 297 63 96.889267 representatives,5 1 6 4 4 4 1355 2258 41 25 96.749588 or5 1 6 4 4 5 1416 2248 191 44 95.719322 employees5 1 6 4 4 6 1626 2238 80 53 96.979637 who5 1 6 4 4 7 1725 2238 135 50 73.821487 contacts 1 6 4 4 8 1880 2259 78 32 87.451614 pro-4 1 6 4 5 0 633 2294 646 44 -1 5 1 6 4 5 1 633 2294 150 49 96.359169 spective5 1 6 4 5 2 793 2295 221 47 96.812119 purchasers5 1 6 4 5 3 1005 2307 38 22 96.772224 in5 1 6 4 5 4 1051 2297 93 32 96.837090 theirs 1 6 4 5 5 1152 2296 127 35 96.979301 homes.3 1 6 5 0 0 633 2336 1327 404 -1 4 1 6 5 1 0 673 2336 1283 63 -1 5 1 6 5 1 1 673 2346 83 33 87.721680 Par.5 1 6 5 1 2 772 2341 30 38 92.360970 3.5 1 6 5 1 3 814 2343 47 37 92.360970 In5 1 6 5 1 4 875 2346 58 34 96.365692 thes 1 6 5 1 5 948 2358 118 22 96.854706 courses 1 6 5 1 6 1080 2340 70 41 96.935814 ands 1 6 5 1 7 1159 2342 151 52 88.751785 conduct,5 1 6 5 1 8 1324 2349 40 37 96.755058 of5 1 6 5 1 9 1378 2350 97 44 93.025352 their,5 1 6 5 1 10 1483 2336 153 63 96.062378 business5 1 6 5 1 11 1651 2361 38 22 95.721710 as5 1 6 5 1 12 1705 2351 184 42 93.283272 aforesaid,5 1 6 5 1 13 1904 2362 52 22 93.259583 re-4 1 6 5 2 0 633 2392 1327 58 -1 5 1 6 5 2 1 633 2397 187 48 91.560936 spondents5 1 6 5 2 2 839 2408 78 26 96.964874 now5 1 6 5 2 3 935 2408 109 38 96.528107 cause,5 1 6 5 2 4 1063 2399 71 38 96.302261 ands 1 6 5 2 5 1153 2399 58 33 96.302261 for5 1 6 5 2 6 1229 2410 93 23 96.086304 some5 1 6 5 2 7 1339 2392 85 42 96.652954 times 1 6 5 2 8 1442 2401 78 33 70.984940 lasts 1 6 5 2 9 1527 2392 80 58 95.654900 past5 1 6 5 2 10 1620 2392 94 47 96.399361 have5 1 6 5 2 11 1732 2396 133 49 96.879433 caused,5 1 6 5 2 12 1883 2394 77 47 97.015060 said4 1 6 5 3 0 634 2423 1325 83 -1 5 1 6 5 3 1 634 2442 247 49 96.706711 merchandise,5 1 6 5 3 2 886 2442 108 49 96.840523 when5 1 6 5 3 3 1004 2443 94 51 95.991066 sold,5 1 6 5 3 4 1109 2454 37 28 95.991066 to5 1 6 5 3 5 1159 2451 42 32 96.919983 be5 1 6 5 3 6 1205 2441 159 65 96.482422 shipped5 1 6 5 3 7 1378 2452 94 43 96.224716 from5 1 6 5 3 8 1485 2453 93 32 96.350983 theirs 1 6 5 3 9 1579 2453 109 45 96.730125 places 1 6 5 3 10 1699 2453 42 32 96.814674 of5 1 6 5 3 11 1754 2423 145 81 84.817291 business5 1 6 5 3 12 1924 2454 7 5 84.250809 i5 1 6 5 3 13 1916 2464 43 32 95.432755 in4 1 6 5 4 0 634 2472 1324 88 -1 5 1 6 5 4 1 634 2499 58 45 96.489944 thes 1 6 5 4 2 709 2475 298 69 82.110390 Commonwealth5 1 6 5 4 3 1016 2501 40 32 96.853905 of5 1 6 5 4 4 1071 2472 163 80 95.193489 Virginia5 1 6 5 4 5 1249 2497 37 37 97.020340 to5 1 6 5 4 6 1300 2494 211 66 94.138702 purchasers5 1 6 5 4 7 1516 2494 138 54 95.412369 thereof5 1 6 5 4 8 1668 2504 158 43 96.610352 located5 1 6 5 4 9 1816 2516 42 29 86.031601 in,5 1 6 5 4 10 1869 2503 89 34 93.096832 vari-4 1 6 5 5 0 634 2544 1325 55 -1 5 1 6 5 5 1 634 2545 61 36 96.264748 ous5 1 6 5 5 2 700 2545 128 38 96.478966 States5 1 6 5 5 3 845 2551 39 32 96.478966 of5 1 6 5 5 4 901 2543 65 41 96.966469 thes 1 6 5 5 5 976 2545 133 40 96.592850 United5 1 6 5 5 6 1126 2548 116 38 96.598770 States5 1 6 5 5 7 1257 2554 95 33 95.788101 ands 1 6 5 5 8 1333 2539 20 59 94.701233 i5 1 6 5 5 9 1342 2565 40 37 96.522011 in5 1 6 5 5 10 1396 2554 60 36 96.442795 thes 1 6 5 5 11 1472 2554 147 42 87.604950 Districts 1 6 5 5 12 1634 2555 42 41 87.604950 of5 1 6 5 5 13 1692 2544 179 55 96.809235 Columbia5 1 6 5 5 14 1889 2556 70 42 92.536766 anda 1 6 5 6 0 634 2592 1324 66 -1 5 1 6 5 6 1 634 2600 192 41 96.399620 maintain,5 1 6 5 6 2 831 2602 69 32 96.913635 ands 1 6 5 6 3 918 2605 37 29 96.888466 at5 1 6 5 6 4 971 2602 48 33 96.314430 all5 1 6 5 6 5 1036 2602 101 42 96.636902 times5 1 6 5 6 6 1153 2597 206 41 60.472633 mentioned5 1 6 5 6 7 1359 2596 125 42 60.472633 ‘herein5 1 6 5 6 8 1495 2598 94 40 96.781555 have5 1 6 5 6 9 1605 2592 224 66 95.624931 maintained,5 1 6 5 6 10 1835 2611 32 33 73.286064 ‘a,5 1 6 5 6 11 1882 2596 76 43 89.199203 sub-4 1 6 5 7 0 633 2651 1326 65 -1 5 1 6 5 7 1 633 2651 143 32 96.892838 stantial5 1 6 5 7 2 796 2654 118 31 96.651329 courses 1 6 5 7 3 934 2653 40 43 96.994110 of5 1 6 5 7 4 992 2645 130 41 96.419479 trades 1 6 5 7 5 1112 2665 38 21 96.465836 in5 1 6 5 7 6 1169 2654 77 33 96.704681 said5 1 6 5 7 7 1266 2647 264 45 96.695564 merchandise5 1 6 5 7 8 1521 2657 38 32 96.926414 in5 1 6 5 7 9 1577 2659 200 45 95.669960 commerce,5 1 6 5 7 10 1777 2659 58 47 94.629417 as5 1 6 5 7 11 1851 2658 108 58 89.378632 “com-4 1 6 5 8 0 633 2697 1053 73 -1 5 1 6 5 8 1 633 2701 123 54 92.054260 merce”5 1 6 5 8 2 770 2697 12 22 77.725159 i5 1 6 5 8 3 772 2698 31 44 96.939766 is5 1 6 5 8 4 813 2703 127 63 86.057449 defined5 1 6 5 8 5 951 2704 14 47 86.057449 i5 1 6 5 8 6 957 2713 41 33 55.225887 in5 1 6 5 8 7 996 2698 67 72 96.904778 thes 1 6 5 8 8 1073 2705 147 62 96.194939 Federal5 1 6 5 8 9 1231 2706 115 61 96.768776 Trades 1 6 5 8 10 1354 2698 237 54 61.261173 Commission’5 1 6 5 8 11 1592 2705 94 60 64.122223 Act.2 1 7 0 0 0 1087 1274 1 11 -1 3 1 7 1 0 0 1087 1274 1 11 -1 4 1 7 1 1 0 1087 1274 1 11 -1 5 1 7 1 1 1 1087 1274 1 11 95.000000 Complaint 81 F.TC.

~ Pax.4. In the course and conduct oftheéir aforesaid business and for the purpose of inducing the ‘purchase of their merchandise, ‘the re- ‘spondents have made, and are now making, numerous statements and representations in materials disseminated through the mails, by telephone solicitation, and by other means in commerce, as “commerce” is defined in the Federal Trade Commission’ Act, and by door-to-door solicitation. Typical and ‘illustrative of the’ foregoing, but not all inclusive thereof, are the following:

Every week, throughout the United: States, thousands of couples expecting their first baby are presented with FREE STORK-PAKS. ‘Hello, ‘Mrs. z this is Stork-Pak. International calling. Have you received our Stork-Pak postal card through the mail? Fe _As you probably know from the postcard, the Stork-Pak is a gift that is given to couples expecting. ‘their. first baby only and it ‘contains. some of America’s firiest baby’ products’ such ‘as a gift from Beechnut; Chux Disposable Diapers, Diaper® Nite Baby Powder,-Curity: Notéing Bottles, a ett ‘from Kleenex, Ivory Soap,’ Waterproof Baby Pants. * * *:

. Now. we, have one more company with a peculiar, ptoblem. ‘They would like to advertise their. products, but they are too large to put a sample in the Stork-Pak. Nevertheless, they want you to become acquainted with the virtues of their products and the only way they could do this is by bringing you the film, and they hope that: you: will ‘keep them ‘in mind after the baby’ is born too: Okay? We would like to show you a film on baby safety and baby care. Fully cancellable with full refund and order cancéliation in the event of miscarriage or stillbirth is company policy. Your STROLL-O-CHAIR is guaranteed against structural defects due ta the fault or act of the manufacturer for a period of one (1) year from the date of delivery provided that such defect is not the result of abuse, accident, neglect or rust due to exposure to the elements. Any such defective part of the STROLL-O-CHAIR will be repaired or replaced at no cost to the purchaser, except that the transportation charges are to be paid by the customer. Our company is prepared to give you at no additional cost, your choice of any one of these lovely Bassett cribs.

Par. 5, By and through the use of the above-quoted statements and representations, and others.of similar import and meaning not expressly set out herein, respondents have represented, and are now representing, directly and by implication, that: 1. Respondents are contacting couples expecting their first baby solely to present them with free gifts.

2. Respondents are representing or are performing services for bona fide commercial organizations, such as “Stork-Pak International.” 3. Free gifts are being given from the manufacturers of said gifts to couples expecting their first baby.

4, Respondents, doing business as “Stork-Pak International, ” act as the agents of a number of companies that manufacture and sell baby products, in order to acquaint couples expecting their first baby with BABY: PRODUCTS, INCORPORATED, ET AL. 77 74. te Complaint:

the:-products ‘of thogé companies; and that. a filmstrip, showing the product of one of those companies, is presented merely to acquaint said couples with'this: product; -and, therefore, represent that respondents are not. engaged in selling products or Andueing the purchase of said products. 3 1 2 2 0 0 627 867 1328 162 -1 4 1 2 2 1 0 671 867 1284 74 -1 5 1 2 2 1 1 671 896 29 31 95.276276 5.5 1 2 2 1 2 715 894 250 43 93.771774 Respondents’5 1 2 2 1 3 979 895 88 32 96.791046 sales5 1 2 2 1 4 1081 895 318 48 96.084389 representatives,5 1 2 2 1 5 1389 907 38 21 89.437561 in5 1 2 2 1 6 1440 905 106 32 96.644218 many5 1 2 2 1 7 1559 867 179 74 96.899063 instances,5 1 2 2 1 8 1751 893 113 43 93.292259 orally5 1 2 2 1 9 1878 904 77 32 91.310013 rep-4 1 2 2 2 0 627 942 1328 82 -1 5 1 2 2 2 1 627 947 113 30 95.445465 resents 1 2 2 2 2 759 944 75 34 96.439888 thes 1 2 2 2 3 840 945 176 37 95.356087 aforesaid5 1 2 2 2 4 1030 942 167 82 84.998734 filmstrip5 1 2 2 2 5 1217 942 21 82 89.999847 t5 1 2 2 2 6 1219 950 39 28 95.634460 to5 1 2 2 2 7 1276 946 43 33 95.634460 be5 1 2 2 2 8 1332 942 114 70 96.854477 solely5 1 2 2 2 9 1465 956 45 22 96.495880 on5 1 2 2 2 10 1530 946 91 58 96.939789 baby5 1 2 2 2 11 1640 944 114 43 94.884537 safety5 1 2 2 2 12 1770 944 76 33 96.321159 ands 1 2 2 2 13 1864 944 91 43 96.531204 baby4 1 2 2 3 0 627 1006 86 23 -1 5 1 2 2 3 1 627 1001 86 28 96.562592 care.3 1 2 3 0 0 625 1018 1332 265 -1 4 1 2 3 1 0 670 1018 1287 78 -1 5 1 2 3 1 1 670 1049 29 31 96.725868 6.5 1 2 3 1 2 712 1046 250 43 95.547859 Respondents’5 1 2 3 1 3 970 1018 92 72 96.637398 baby5 1 2 3 1 4 1068 1026 170 70 91.293488 carriages5 1 2 3 1 5 1258 1030 2 2 48.132915 |5 1 2 3 1 6 1258 1044 57 52 96.165627 ares 1 2 3 1 7 1323 1018 228 78 82.815292 guaranteed.5 1 2 3 1 8 1550 1058 39 22 96.727287 or5 1 2 3 1 9 1601 1046 196 36 96.684631 warranted5 1 2 3 1 10 1804 1028 153 52 95.143532 without4 1 2 3 2 0 628 1096 1325 44 -1 5 1 2 3 2 1 628 1097 175 37 26.387497 conditions 1 2 3 2 2 820 1108 40 22 93.275406 or5 1 2 3 2 3 875 1097 303 43 58.641285 limitation;.ands 1 2 3 2 4 1183 1097 104 35 73.362801 ‘that5 1 2 3 2 5 1278 1109 38 22 96.632767 in5 1 2 3 2 6 1330 1098 60 35 96.981544 thes 1 2 3 2 7 1404 1101 103 30 96.620033 events 1 2 3 2 8 1520 1098 42 33 96.904175 of5 1 2 3 2 9 1574 1097 223 42 96.277367 miscarriage5 1 2 3 2 10 1809 1107 42 26 93.275978 or5 1 2 3 2 11 1866 1096 87 33 88.959091 still-4 1 2 3 3 0 628 1147 1327 44 -1 5 1 2 3 3 1 628 1148 105 42 96.772491 birth,5 1 2 3 3 2 746 1148 245 34 96.621437 cancellations5 1 2 3 3 3 1005 1149 41 33 96.177322 of5 1 2 3 3 4 1054 1149 126 35 96.396843 orders5 1 2 3 3 5 1193 1149 70 33 96.833931 ands 1 2 3 3 6 1278 1149 145 33 96.966072 refunds5 1 2 3 3 7 1435 1149 43 33 93.280182 of5 1 2 3 3 8 1492 1148 292 43 64.893967 purchase.prices5 1 2 3 3 9 1798 1148 60 32 96.895317 for5 1 2 3 3 10 1870 1147 85 33 96.615074 such4 1 2 3 4 0 625 1195 1331 83 -1 5 1 2 3 4 1 625 1199 93 42 92.863098 baby.5 1 2 3 4 2 741 1198 183 43 91.898460 carriages5 1 2 3 4 3 939 1211 74 21 45.177940 are:5 1 2 3 4 4 1010 1196 236 82 56.869026 ‘guaranteed5 1 2 3 4 5 1256 1211 55 22 88.646828 or.5 1 2 3 4 6 1321 1195 186 69 90.117905 warranted5 1 2 3 4 7 1530 1221 4 9 84.005554 .5 1 2 3 4 8 1539 1199 168 61 59.888416 without5 1 2 3 4 9 1708 1197 183 34 70.917656 conditions 1 2 3 4 10 1915 1208 41 22 96.531258 or4 1 2 3 5 0 625 1245 1329 51 -1 5 1 2 3 5 1 625 1245 199 51 94.538628 limitation.3 1 2 4 0 0 626 1267 1328 129 -1 4 1 2 4 1 0 668 1267 1286 81 -1 5 1 2 4 1 1 668 1300 30 38 68.605103 7.5 1 2 4 1 2 717 1301 106 41 95.549591 Upon5 1 2 4 1 3 839 1300 199 34 96.218323 immediate5 1 2 4 1 4 1054 1267 169 81 96.043900 purchases 1 2 4 1 5 1238 1302 42 32 96.766159 of5 1 2 4 1 6 1295 1301 242 43 73.282761 respondents’.5 1 2 4 1 7 1546 1270 246 72 95.463966 merchandise,5 1 2 4 1 8 1809 1303 145 32 91.722229 custom-4 1 2 4 2 0 626 1351 1055 45 -1 5 1 2 4 2 1 626 1362 54 27 96.771233 ers5 1 2 4 2 2 691 1351 73 36 96.687080 will5 1 2 4 2 3 773 1351 129 33 92.953102 receives 1 2 4 2 4 912 1352 250 34 89.937576 an.additional5 1 2 4 2 5 1171 1352 84 36 96.950790 items 1 2 4 2 6 1264 1353 39 32 96.865280 of5 1 2 4 2 7 1312 1352 90 44 96.865280 baby5 1 2 4 2 8 1413 1351 176 35 96.398941 furniture5 1 2 4 2 9 1597 1352 84 32 93.912994 free.3 1 2 5 0 0 669 1402 516 35 -1 4 1 2 5 1 0 669 1402 516 35 -1 5 1 2 5 1 1 669 1402 83 34 88.213547 Par.5 1 2 5 1 2 763 1404 29 32 84.311188 6.5 1 2 5 1 3 807 1403 32 31 84.311188 In5 1 2 5 1 4 856 1404 101 33 95.844658 truth5 1 2 5 1 5 964 1402 73 34 95.844658 ands 1 2 5 1 6 1045 1402 40 33 96.342079 in5 1 2 5 1 7 1093 1403 92 34 90.486481 fact:3 1 2 6 0 0 625 1452 1330 195 -1 4 1 2 6 1 0 670 1452 1284 44 -1 5 1 2 6 1 1 670 1455 28 30 95.860352 1.5 1 2 6 1 2 716 1452 243 43 96.175583 Respondents5 1 2 6 1 3 970 1453 46 32 96.175583 do5 1 2 6 1 4 1031 1457 63 28 96.449944 not5 1 2 6 1 5 1108 1457 139 29 96.325157 contacts 1 2 6 1 6 1263 1454 137 42 96.355202 couples5 1 2 6 1 7 1416 1452 182 43 96.355202 expecting5 1 2 6 1 8 1612 1452 92 33 97.009613 theirs 1 2 6 1 9 1718 1452 78 33 96.350098 firsts 1 2 6 1 10 1810 1452 91 42 96.888214 baby5 1 2 6 1 11 1915 1455 39 29 96.566284 to4 1 2 6 2 0 628 1502 1326 45 -1 5 1 2 6 2 1 628 1503 106 44 96.502426 solely5 1 2 6 2 2 749 1507 140 38 96.447052 presents 1 2 6 2 3 898 1503 101 33 96.639282 them5 1 2 6 2 4 1008 1504 88 36 96.689400 with5 1 2 6 2 5 1109 1505 74 32 96.689400 free5 1 2 6 2 6 1195 1505 100 41 96.743660 gifts,5 1 2 6 2 7 1306 1505 64 32 96.743660 but5 1 2 6 2 8 1382 1507 40 29 96.766220 to5 1 2 6 2 9 1433 1504 62 34 96.766220 sells 1 2 6 2 10 1508 1504 96 32 93.290100 them5 1 2 6 2 11 1616 1502 338 42 88.310532 “Stroll-O-Chair,”4 1 2 6 3 0 626 1553 1329 71 -1 5 1 2 6 3 1 626 1561 45 26 93.648544 an5 1 2 6 3 2 690 1554 82 32 94.908302 items 1 2 6 3 3 790 1554 42 32 96.525902 of5 1 2 6 3 4 844 1554 95 43 96.684578 baby5 1 2 6 3 5 953 1554 183 33 69.772415 furniture5 1 2 6 3 6 1152 1555 272 33 73.514534 manufactured.5 1 2 6 3 7 1435 1555 47 69 96.981720 by5 1 2 6 3 8 1498 1555 61 59 96.723885 thes 1 2 6 3 9 1576 1555 74 32 96.684998 Rex5 1 2 6 3 10 1669 1554 100 42 96.709045 Baby5 1 2 6 3 11 1787 1553 168 43 96.353783 Carriage4 1 2 6 4 0 625 1605 459 42 -1 5 1 2 6 4 1 625 1605 289 42 92.463623 Manufacturing5 1 2 6 4 2 925 1605 73 42 91.886284 Co.,5 1 2 6 4 3 1011 1606 73 32 96.439606 Inc.3 1 2 7 0 0 626 1631 1329 117 -1 4 1 2 7 1 0 669 1631 1286 67 -1 5 1 2 7 1 1 669 1658 28 29 96.538811 2.5 1 2 7 1 2 718 1656 239 42 96.733704 Respondents5 1 2 7 1 3 976 1631 46 58 96.629021 do5 1 2 7 1 4 1039 1660 62 28 96.625389 not5 1 2 7 1 5 1119 1660 175 38 96.802284 represents 1 2 7 1 6 1311 1668 41 21 96.471954 or5 1 2 7 1 7 1367 1656 158 42 96.512375 performs 1 2 7 1 8 1543 1655 144 34 96.487679 services5 1 2 7 1 9 1702 1656 60 32 96.827568 for5 1 2 7 1 10 1778 1655 89 32 96.240433 bona5 1 2 7 1 11 1885 1655 70 31 96.205902 fide4 1 2 7 2 0 626 1706 1222 42 -1 5 1 2 7 2 1 626 1706 213 32 96.536140 commercials 1 2 7 2 2 862 1707 268 41 96.282883 organizations,5 1 2 7 2 3 1152 1708 83 32 96.803368 such5 1 2 7 2 4 1260 1718 36 23 92.270302 as5 1 2 7 2 5 1318 1707 223 33 92.270302 “Stork-Pak5 1 2 7 2 6 1563 1706 285 32 96.529655 International.”3 1 2 8 0 0 626 1756 1328 95 -1 4 1 2 8 1 0 668 1756 1286 44 -1 5 1 2 8 1 1 668 1759 29 30 93.774788 3.5 1 2 8 1 2 719 1758 87 31 95.835640 Free5 1 2 8 1 3 827 1757 89 42 96.706268 gifts5 1 2 8 1 4 937 1757 114 33 96.764633 which5 1 2 8 1 5 1069 1768 61 24 96.829720 ares 1 2 8 1 6 1150 1759 180 41 96.306351 presented5 1 2 8 1 7 1350 1761 37 29 96.930954 to5 1 2 8 1 8 1408 1758 137 42 96.315788 couples5 1 2 8 1 9 1565 1757 181 42 96.818665 expecting5 1 2 8 1 10 1765 1756 93 32 96.229355 theirs 1 2 8 1 11 1877 1756 77 32 96.667923 first4 1 2 8 2 0 626 1808 975 43 -1 5 1 2 8 2 1 626 1808 90 43 96.326065 baby5 1 2 8 2 2 726 1819 57 21 96.221626 ares 1 2 8 2 3 793 1812 61 28 95.081291 not5 1 2 8 2 4 863 1808 105 42 93.587860 given5 1 2 8 2 5 975 1809 47 42 93.587860 by5 1 2 8 2 6 1031 1809 60 32 96.178322 thes 1 2 8 2 7 1100 1809 277 35 96.228607 manufacturers5 1 2 8 2 8 1387 1809 40 32 96.524971 of5 1 2 8 2 9 1433 1809 60 32 96.524971 thes 1 2 8 2 10 1502 1808 99 42 96.575211 gifts.3 1 2 9 0 0 624 1857 1330 504 -1 4 1 2 9 1 0 665 1857 1289 43 -1 5 1 2 9 1 1 665 1860 30 30 86.420364 4,5 1 2 9 1 2 723 1858 239 41 95.836273 Respondents5 1 2 9 1 3 988 1859 70 31 96.266922 ands 1 2 9 1 4 1084 1859 92 32 96.845711 theirs 1 2 9 1 5 1203 1858 284 42 96.158859 representatives5 1 2 9 1 6 1513 1869 58 22 96.521301 ares 1 2 9 1 7 1595 1863 62 27 95.871384 not5 1 2 9 1 8 1683 1857 161 42 94.977409 affiliated5 1 2 9 1 9 1868 1857 86 32 96.717819 with4 1 2 9 2 0 627 1908 1325 44 -1 5 1 2 9 2 1 627 1909 219 34 92.523491 “Stork-Pak5 1 2 9 2 2 864 1909 275 33 95.835724 International”5 1 2 9 2 3 1154 1911 72 31 95.670128 ands 1 2 9 2 4 1242 1911 47 31 95.670128 do5 1 2 9 2 5 1303 1914 61 28 96.876686 not5 1 2 9 2 6 1381 1914 55 28 96.460381 acts 1 2 9 2 7 1452 1920 38 22 96.801941 as5 1 2 9 2 8 1505 1911 61 32 96.247192 thes 1 2 9 2 9 1582 1912 120 40 96.361725 agents5 1 2 9 2 10 1717 1909 40 32 96.882225 of5 1 2 9 2 11 1773 1921 21 21 95.427238 a5 1 2 9 2 12 1809 1908 143 33 96.750694 number4 1 2 9 3 0 625 1959 1328 45 -1 5 1 2 9 3 1 625 1960 40 33 96.646309 of5 1 2 9 3 2 685 1960 193 42 96.464005 companies5 1 2 9 3 3 895 1960 37 33 96.479233 in5 1 2 9 3 4 952 1961 102 32 97.005478 orders 1 2 9 3 5 1070 1964 39 29 95.704697 to5 1 2 9 3 6 1126 1961 162 43 95.704697 acquaint5 1 2 9 3 7 1304 1962 138 41 96.481598 couples5 1 2 9 3 8 1459 1960 182 42 96.690002 expecting5 1 2 9 3 9 1657 1959 91 34 96.596054 theirs 1 2 9 3 10 1764 1959 79 34 90.513908 firsts 1 2 9 3 11 1858 1959 95 34 96.724182 child4 1 2 9 4 0 627 2010 1325 44 -1 5 1 2 9 4 1 627 2011 85 33 96.792915 with5 1 2 9 4 2 729 2011 58 33 96.280365 thes 1 2 9 4 3 803 2011 167 42 96.387344 products5 1 2 9 4 4 987 2012 40 32 96.115845 of5 1 2 9 4 5 1043 2012 99 34 96.180450 those5 1 2 9 4 6 1159 2011 209 43 96.030884 companies;5 1 2 9 4 7 1387 2011 59 33 93.288155 thes 1 2 9 4 8 1463 2011 175 42 91.603043 filmstrip,5 1 2 9 4 9 1655 2010 114 34 96.198883 which5 1 2 9 4 10 1785 2010 32 33 96.705727 is5 1 2 9 4 11 1832 2021 44 22 93.280533 an5 1 2 9 4 12 1893 2010 59 33 92.474716 ad-4 1 2 9 5 0 624 2061 1329 43 -1 5 1 2 9 5 1 624 2061 217 34 90.679848 vertisements 1 2 9 5 2 868 2062 58 33 96.402252 for5 1 2 9 5 3 950 2062 60 35 96.152443 thes 1 2 9 5 4 1035 2062 317 33 93.297142 above-mentioned5 1 2 9 5 5 1377 2061 336 42 92.495911 “Stroll-O-Chair,”5 1 2 9 5 6 1737 2061 32 34 96.890244 is5 1 2 9 5 7 1791 2064 63 31 93.099991 not5 1 2 9 5 8 1876 2072 77 32 92.589500 pre-4 1 2 9 6 0 625 2112 1329 44 -1 5 1 2 9 6 1 625 2113 117 33 96.365799 sented5 1 2 9 6 2 763 2113 128 42 96.206879 merely5 1 2 9 6 3 910 2116 38 30 95.903656 to5 1 2 9 6 4 970 2112 162 44 95.903656 acquaint5 1 2 9 6 5 1150 2114 77 32 96.893028 said5 1 2 9 6 6 1248 2114 137 41 95.938675 couples5 1 2 9 6 7 1405 2113 85 33 95.956993 with5 1 2 9 6 8 1509 2112 72 34 96.411995 this5 1 2 9 6 9 1599 2112 158 43 96.464928 product,5 1 2 9 6 10 1774 2112 67 34 96.820190 but5 1 2 9 6 11 1858 2112 29 33 96.549637 is5 1 2 9 6 12 1907 2123 47 21 96.969612 an4 1 2 9 7 0 626 2163 1328 44 -1 5 1 2 9 7 1 626 2163 58 44 96.118538 aids 1 2 9 7 2 702 2163 83 33 96.097054 used5 1 2 9 7 3 802 2164 47 42 96.977066 by5 1 2 9 7 4 868 2164 234 43 95.882706 respondents’5 1 2 9 7 5 1121 2165 87 33 96.397247 sales5 1 2 9 7 6 1226 2163 285 44 96.542107 representatives5 1 2 9 7 7 1527 2167 37 29 96.706680 to5 1 2 9 7 8 1582 2163 122 34 95.974617 induces 1 2 9 7 9 1721 2163 78 33 96.102776 said5 1 2 9 7 10 1816 2163 138 43 96.374878 couples4 1 2 9 8 0 625 2214 1329 43 -1 5 1 2 9 8 1 625 2218 37 29 96.779816 to5 1 2 9 8 2 681 2215 167 42 96.058670 purchases 1 2 9 8 3 867 2215 59 33 93.288513 thes 1 2 9 8 4 945 2215 326 35 90.122757 “Stroll-O-Chair”5 1 2 9 8 5 1291 2219 37 29 96.917419 at5 1 2 9 8 6 1346 2216 60 32 96.917419 thes 1 2 9 8 7 1423 2214 85 34 95.983879 times 1 2 9 8 8 1526 2215 40 33 95.983879 of5 1 2 9 8 9 1583 2215 60 33 96.745132 thes 1 2 9 8 10 1661 2214 158 43 96.355827 showings 1 2 9 8 11 1836 2214 39 32 96.721649 of5 1 2 9 8 12 1893 2214 61 32 96.721649 thea 1 2 9 9 0 626 2265 1328 43 -1 5 1 2 9 9 1 626 2265 172 43 91.329559 filmstrip,5 1 2 9 9 2 811 2267 69 32 96.851479 ands 1 2 9 9 3 890 2266 186 42 96.308296 therefore,5 1 2 9 9 4 1087 2267 223 41 95.861237 respondents5 1 2 9 9 5 1319 2277 60 22 96.413673 ares 1 2 9 9 6 1390 2266 155 42 96.134552 engaged5 1 2 9 9 7 1556 2265 37 33 96.766281 in5 1 2 9 9 8 1603 2265 124 43 96.342133 selling5 1 2 9 9 9 1737 2265 166 43 96.342133 products5 1 2 9 9 10 1913 2275 41 23 96.861809 or4 1 2 9 10 0 625 2316 729 45 -1 5 1 2 9 10 1 625 2316 165 43 96.738510 inducing5 1 2 9 10 2 799 2317 60 33 96.629990 thes 1 2 9 10 3 868 2318 167 41 96.429802 purchases 1 2 9 10 4 1044 2318 42 32 96.895416 of5 1 2 9 10 5 1094 2318 77 32 96.714088 said5 1 2 9 10 6 1180 2318 174 43 83.070366 products.3 1 2 10 0 0 623 2366 1331 138 -1 4 1 2 10 1 0 664 2366 1290 45 -1 5 1 2 10 1 1 664 2370 31 31 95.312531 5.5 1 2 10 1 2 715 2367 74 34 93.294586 Thes 1 2 10 1 3 805 2367 166 43 90.995178 filmstrip5 1 2 10 1 4 988 2368 119 33 96.469215 shown5 1 2 10 1 5 1123 2368 46 43 96.933472 by5 1 2 10 1 6 1189 2368 233 42 95.968910 respondents’5 1 2 10 1 7 1439 2369 88 32 96.650276 sales5 1 2 10 1 8 1543 2366 285 44 96.650276 representatives5 1 2 10 1 9 1845 2367 30 34 95.973930 is5 1 2 10 1 10 1890 2370 64 29 96.953270 nota 1 2 10 2 0 624 2418 1329 44 -1 5 1 2 10 2 1 624 2419 106 42 96.811760 solely5 1 2 10 2 2 749 2430 44 21 96.170403 on5 1 2 10 2 3 810 2418 92 43 95.833130 baby5 1 2 10 2 4 919 2419 116 43 96.445129 safety5 1 2 10 2 5 1054 2420 70 32 96.861412 ands 1 2 10 2 6 1142 2420 90 42 96.250397 baby5 1 2 10 2 7 1251 2430 77 22 96.687897 cares 1 2 10 2 8 1344 2420 63 32 96.413223 but5 1 2 10 2 9 1425 2419 29 33 96.539825 is5 1 2 10 2 10 1473 2430 44 22 96.734253 an5 1 2 10 2 11 1535 2418 265 34 96.330215 advertisements 1 2 10 2 12 1818 2418 58 34 96.506706 for5 1 2 10 2 13 1892 2418 61 33 96.506706 thea 1 2 10 3 0 623 2469 336 35 -1 5 1 2 10 3 1 623 2469 336 35 90.497849 “Stroll-O-Chair.”3 1 2 11 0 0 624 2515 1329 202 -1 4 1 2 11 1 0 666 2515 1287 49 -1 5 1 2 11 1 1 666 2523 28 31 96.665466 6.5 1 2 11 1 2 716 2521 248 42 96.578934 Respondents’5 1 2 11 1 3 985 2526 205 38 96.565887 guarantees5 1 2 11 1 4 1210 2533 39 21 96.704224 or5 1 2 11 1 5 1269 2521 200 33 96.348244 warranties5 1 2 11 1 6 1489 2522 41 32 96.785545 of5 1 2 11 1 7 1549 2521 91 33 96.604095 theirs 1 2 11 1 8 1659 2521 91 42 97.013504 baby5 1 2 11 1 9 1769 2515 184 48 96.586380 carriages,4 1 2 11 2 0 625 2572 1326 42 -1 5 1 2 11 2 1 625 2572 69 33 95.646423 ands 1 2 11 2 2 712 2572 226 33 95.646423 cancellations 1 2 11 2 3 959 2573 39 32 96.885414 of5 1 2 11 2 4 1018 2572 120 36 96.542793 orders5 1 2 11 2 5 1157 2574 69 32 96.585983 ands 1 2 11 2 6 1245 2573 128 32 96.239342 refunds 1 2 11 2 7 1393 2573 39 32 96.747307 of5 1 2 11 2 8 1449 2572 170 42 94.143692 purchases 1 2 11 2 9 1636 2572 94 42 96.540512 prices 1 2 11 2 10 1749 2583 96 31 93.267105 upon5 1 2 11 2 11 1863 2572 88 32 87.300232 still-4 1 2 11 3 0 624 2621 1329 44 -1 5 1 2 11 3 1 624 2623 95 33 96.724907 birth5 1 2 11 3 2 736 2635 40 21 96.772919 or5 1 2 11 3 3 792 2623 232 42 96.665260 miscarriage,5 1 2 11 3 4 1042 2634 59 22 96.878906 ares 1 2 11 3 5 1117 2623 133 42 96.656364 subjects 1 2 11 3 6 1266 2626 35 30 96.609810 to5 1 2 11 3 7 1319 2623 194 33 96.522881 conditions5 1 2 11 3 8 1528 2623 71 33 96.900810 ands 1 2 11 3 9 1614 2622 209 36 96.363052 limitations5 1 2 11 3 10 1838 2621 115 35 96.903168 which4 1 2 11 4 0 625 2674 1184 43 -1 5 1 2 11 4 1 625 2685 58 23 96.672409 ares 1 2 11 4 2 697 2677 62 29 95.646393 not5 1 2 11 4 3 776 2674 156 33 96.271156 revealed5 1 2 11 4 4 949 2674 36 33 96.630730 in5 1 2 11 4 5 1002 2674 93 33 96.526344 theirs 1 2 11 4 6 1111 2674 195 33 96.437256 advertised5 1 2 11 4 7 1322 2677 206 40 96.544418 guarantees5 1 2 11 4 8 1543 2685 40 22 96.466499 or5 1 2 11 4 9 1599 2674 210 33 96.160973 warranties. 78 FEDERAL “PRADE COMMISSION “DECISIONS Complaint: 81 E.T.C at, Custotners ‘of the! respondents, upon immediately signing a sales sigrosment’ ‘for the purchase of the proposed: resporidents’: merchandise; do: not: reveive’ an’ additional: item ‘of merchandise ‘free.’ Instead, the cost of the so-called free additional merchandise is actually. included in the purchase price of the merchandise offered for sale: by the respondents. Rina yay Route ae : Therefore} the statments. and representation’ i as seat forth in Pata: graphs Four and Five hereof, were, and are, unfair, false, misleading and deceptive. ' Pan. 7. In‘the course'and conduct of their business, fespondents have failed: to ‘disclose certain material facts to’ purchasers, including, but not limited 'to; ‘the fact that’at respondents’ option, conditional sales contracts, promissory notes, or other instruments of indebtedness ‘executed by ‘such “purchasers in’ connection with their credit: ‘purchase agreements, may ‘be discounted; negotiated, or assigned to a finance’ company or other third party to whom ‘the purchaser is’ thereafter indebted and against’ whom defense may not be available: : “Therefore, respondents’ failure 'to disclose such material” facts, both orally and in‘ writing priorto the time of sale, was,. and is, unfair, false, misleading and deceptive and constituted, and now ‘constitutes, an urifair or deceptive act or practice.

Par. 8. In the further course and conduct of their business, réspondents and their salesmen or representatives, in a substantial number of instances, through the use of the false, misleading and deceptive statements, representations and practices set forth in Paragraphs Four and Five, above, have been able to induce customers into signing contracts upon initial contact without giving the customers sufficient time to carefully consider the purchase and consequences thereof. Therefore, the act and practice as set forth above was, and is, unfair and false, misleading and deceptive.

Par. 9. In the course and conduct of their aforesaid business and at all times mentioned herein, respondents have been, and now are, in substantial competition in commerce with corporations, firms and i individuals engaged in the same general kind and nature of business as that engaged in by the respondents.

Par. 10. By and through the use of the aforesaid statements, representations and practices, the respondents place in the hands of distributors, solicitors and others the means and instrumentalities by and through which they may mislead and deceive the public 1 in the manner and as to the things hereinbefore alleged. . : Pan. 11. The use by respondents of the aforesaid unfair, false, misleading and deceptive statements, representations, acts and practices, BABY PRODUCTS); INCORPORATED, 'ET“ALZ 79.

G48 Ee Decision and:Order :

and their failure to: disclose(inaterial. facts; as:aforesaid, as had, and: now has, the capacity and: tendency to mislead members of the purchasing. public into the erroneous and mistaken belief. that said’ statements and representations were, and are, true, and. into-the: purchase of :sub= stantial quantities of respondents’ merchandise by reason of said erroneous and mistaken belief.

Par. 12° The acts and practices ‘of the respondents: as seb forth above, were, and are, val ‘to ‘the prejudice a andi vay of the public. and. ‘of Daciton5 1 6 1 1 2 1250 1298 73 37 96.704994 ANDS 1 6 1 1 3 1334 1253 150 104 12.601074 ‘Omni2 1 7 0 0 0 588 1339 1334 1455 -1 3 1 7 1 0 0 594 1339 1328 332 -1 4 1 7 1 1 0 606 1339 1315 85 -1 5 1 7 1 1 1 606 1342 106 70 52.267185 Thes 1 7 1 1 2 733 1343 241 70 92.055870 Commission.5 1 7 1 1 3 980 1339 150 85 83.237976 having.5 1 7 1 1 4 1130 1353 205 65 79.279678 ‘heretofore5 1 7 1 1 5 1356 1350 218 66 87.271820 determined5 1 7 1 1 6 1585 1351 54 67 96.393036 to5 1 7 1 1 7 1651 1377 99 39 72.308212 issues 1 7 1 1 8 1761 1362 52 55 85.213425 its5 1 7 1 1 9 1832 1387 89 29 90.389908 com-4 1 7 1 2 0 595 1406 1327 71 -1 5 1 7 1 2 1 595 1406 113 63 92.522942 plaints 1 7 1 2 2 730 1425 176 47 74.170120 charging:5 1 7 1 2 3 916 1427 79 43 95.717216 the.5 1 7 1 2 4 994 1428 240 49 95.717216 respondents.5 1 7 1 2 5 1249 1428 126 36 48.675976 named5 1 7 1 2 6 1392 1428 43 33 48.675976 .in5 1 7 1 2 7 1448 1428 66 33 95.407150 thes 1 7 1 2 8 1535 1428 143 42 96.198067 captions 1 7 1 2 9 1692 1428 123 32 96.803947 hereto5 1 7 1 2 10 1837 1427 85 33 96.665398 with4 1 7 1 3 0 595 1463 1324 66 -1 5 1 7 1 3 1 595 1476 229 46 69.610680 violation,.of:5 1 7 1 3 2 832 1477 63 44 84.918602 the.5 1 7 1 3 3 899 1467 164 56 88.424065 Federal.5 1 7 1 3 4 1067 1463 122 64 88.761475 Trades 1 7 1 3 5 1199 1466 238 62 92.596535 Commission.5 1 7 1 3 6 1442 1472 79 48 95.178268 Act,5 1 7 1 3 7 1537 1479 70 45 95.178268 ands 1 7 1 3 8 1619 1479 72 39 96.245445 the.5 1 7 1 3 9 1695 1467 224 62 96.749504 respondents4 1 7 1 4 0 591 1511 1328 69 -1 5 1 7 1 4 1 591 1512 139 62 75.435562 having5 1 7 1 4 2 734 1511 89 63 91.214989 been5 1 7 1 4 3 833 1515 122 57 96.886917 served5 1 7 1 4 4 968 1519 87 50 96.040970 with5 1 7 1 4 5 1065 1520 121 53 96.379150 notice.5 1 7 1 4 6 1187 1519 51 43 96.370422 of5 1 7 1 4 7 1244 1529 81 37 96.819534 said5 1 7 1 4 8 1336 1512 265 68 96.990746 determinations 1 7 1 4 9 1613 1530 72 40 96.746460 ands 1 7 1 4 10 1699 1523 85 49 96.781044 with5 1 7 1 4 11 1797 1540 22 21 93.250305 a5 1 7 1 4 12 1828 1539 91 32 93.250305 copy4 1 7 1 5 0 595 1567 1326 86 -1 5 1 7 1 5 1 595 1578 118 45 90.160210 of.thes 1 7 1 5 2 732 1568 196 54 72.387894 complaint.5 1 7 1 5 3 938 1580 63 39 93.424385 thes 1 7 1 5 4 1012 1567 235 66 86.047295 Commission,5 1 7 1 5 5 1264 1571 173 51 69.283218 intended.5 1 7 1 5 6 1446 1567 38 60 96.942619 to5 1 7 1 5 7 1502 1576 99 77 95.478333 issue,5 1 7 1 5 8 1618 1570 168 80 93.273560 together5 1 7 1 5 9 1795 1573 84 54 96.769493 with5 1 7 1 5 10 1900 1590 21 21 96.937225 a4 1 7 1 6 0 594 1629 570 42 -1 5 1 7 1 6 1 594 1618 174 53 93.216385 proposed5 1 7 1 6 2 775 1629 94 33 93.216385 forms 1 7 1 6 3 879 1630 40 32 93.200645 of5 1 7 1 6 4 928 1620 236 51 83.437027 order;.and.5 1 7 1 6 5 1151 1614 17 63 0.000000 °3 1 7 2 0 0 591 1655 1328 415 -1 4 1 7 2 1 0 636 1655 1283 72 -1 5 1 7 2 1 1 636 1680 73 33 96.597427 Thes 1 7 2 1 2 724 1680 223 42 95.422516 respondents5 1 7 2 1 3 961 1682 69 31 96.090149 ands 1 7 2 1 4 1045 1658 137 69 96.860374 counsels 1 7 2 1 5 1197 1682 58 32 96.783051 for5 1 7 2 1 6 1268 1662 65 52 96.542336 thes 1 7 2 1 7 1343 1656 227 71 96.660278 Commissions 1 7 2 1 8 1583 1659 132 64 96.925255 having5 1 7 2 1 9 1729 1655 190 71 95.275963 thereafter4 1 7 2 2 0 595 1731 1324 43 -1 5 1 7 2 2 1 595 1731 160 38 96.587105 executed5 1 7 2 2 2 775 1743 45 20 96.456039 an5 1 7 2 2 3 838 1735 202 38 95.512764 agreement.5 1 7 2 2 4 1054 1725 202 49 96.574692 containing5 1 7 2 2 5 1275 1743 20 21 96.957985 a5 1 7 2 2 6 1315 1736 139 29 96.619446 consents 1 7 2 2 7 1473 1733 112 40 67.884605 order,5 1 7 2 2 8 1604 1743 44 21 96.937904 an5 1 7 2 2 9 1669 1731 186 33 96.552116 admissions 1 7 2 2 10 1873 1731 46 42 97.019669 by4 1 7 2 3 0 594 1782 1323 42 -1 5 1 7 2 3 1 594 1782 59 32 96.467155 thes 1 7 2 3 2 673 1782 223 42 96.347878 respondents5 1 7 2 3 3 917 1782 39 33 96.324974 of5 1 7 2 3 4 977 1782 47 33 96.500114 all5 1 7 2 3 5 1044 1783 59 32 96.500114 thes 1 7 2 3 6 1122 1782 255 42 96.487152 jurisdictional5 1 7 2 3 7 1398 1784 91 31 96.188248 facts5 1 7 2 3 8 1508 1787 51 28 96.636429 sets 1 7 2 3 9 1577 1783 99 32 96.484871 forth5 1 7 2 3 10 1695 1783 37 32 96.783966 in5 1 7 2 3 11 1751 1783 60 32 93.290192 thes 1 7 2 3 12 1830 1793 87 22 92.934509 com-4 1 7 2 4 0 594 1831 1324 45 -1 5 1 7 2 4 1 594 1831 112 43 92.641304 plaints 1 7 2 4 2 721 1835 37 29 96.679138 to5 1 7 2 4 3 774 1832 89 33 96.575256 issues 1 7 2 4 4 878 1833 128 41 96.606613 herein,5 1 7 2 4 5 1022 1844 21 22 96.563759 a5 1 7 2 4 6 1059 1836 182 30 96.563759 statements 1 7 2 4 7 1255 1834 79 32 96.881668 that5 1 7 2 4 8 1348 1835 59 31 96.298866 thes 1 7 2 4 9 1421 1833 141 43 95.984596 signing5 1 7 2 4 10 1577 1834 39 32 95.984596 of5 1 7 2 4 11 1631 1833 76 33 95.936264 said5 1 7 2 4 12 1723 1836 195 40 96.182152 agreement4 1 7 2 5 0 593 1882 1325 44 -1 5 1 7 2 5 1 593 1882 30 34 96.291496 is5 1 7 2 5 2 640 1882 58 34 96.754051 for5 1 7 2 5 3 715 1883 193 32 96.740379 settlements 1 7 2 5 4 925 1895 166 31 96.479050 purposes5 1 7 2 5 5 1108 1884 82 42 96.316963 only5 1 7 2 5 6 1208 1885 69 32 96.798447 ands 1 7 2 5 7 1295 1885 81 32 96.774986 does5 1 7 2 5 8 1391 1888 62 29 96.199242 not5 1 7 2 5 9 1468 1884 183 33 96.608009 constitutes 1 7 2 5 10 1669 1896 43 21 96.066315 an5 1 7 2 5 11 1730 1884 188 33 96.066315 admission4 1 7 2 6 0 592 1934 1324 44 -1 5 1 7 2 6 1 592 1934 46 42 96.717186 by5 1 7 2 6 2 653 1935 223 41 96.532661 respondents5 1 7 2 6 3 891 1935 77 32 96.745232 that5 1 7 2 6 4 982 1935 60 32 96.943474 thes 1 7 2 6 5 1055 1935 68 33 96.877693 laws 1 7 2 6 6 1138 1935 63 33 96.815338 has5 1 7 2 6 7 1214 1935 84 33 96.902260 been5 1 7 2 6 8 1313 1935 150 34 96.034042 violated5 1 7 2 6 9 1480 1947 37 22 96.034042 as5 1 7 2 6 10 1531 1936 135 42 96.138313 alleged5 1 7 2 6 11 1680 1935 37 33 96.051422 in5 1 7 2 6 12 1730 1935 84 33 93.285553 such5 1 7 2 6 13 1828 1946 88 22 93.127655 com-4 1 7 2 7 0 592 1980 1325 75 -1 5 1 7 2 7 1 592 1980 124 65 92.589386 plaint,5 1 7 2 7 2 739 1986 70 31 95.944221 ands 1 7 2 7 3 832 1985 145 34 95.944221 waivers5 1 7 2 7 4 1000 1986 69 33 95.776947 ands 1 7 2 7 5 1090 1986 100 33 96.795509 others 1 7 2 7 6 1213 1986 197 43 96.650749 provisions5 1 7 2 7 7 1430 1998 36 21 96.848259 as5 1 7 2 7 8 1489 1986 157 44 96.636238 required5 1 7 2 7 9 1670 1986 45 69 96.990433 by5 1 7 2 7 10 1737 1986 59 32 92.988380 thes 1 7 2 7 11 1819 1986 98 34 92.988380 Com-4 1 7 2 8 0 591 2037 369 41 -1 5 1 7 2 8 1 591 2034 167 35 92.440369 mission’s5 1 7 2 8 2 770 2037 107 41 96.512024 rules;5 1 7 2 8 3 892 2037 68 33 96.835457 and3 1 7 3 0 0 591 2058 1327 381 -1 4 1 7 3 1 0 633 2058 1282 76 -1 5 1 7 3 1 1 633 2087 74 32 96.791893 Thes 1 7 3 1 2 723 2058 240 76 93.344948 Commission,5 1 7 3 1 3 973 2088 133 43 96.349304 having5 1 7 3 1 4 1119 2088 198 33 96.091118 considered5 1 7 3 1 5 1330 2088 59 34 96.019882 thes 1 7 3 1 6 1403 2092 195 39 96.843391 agreements 1 7 3 1 7 1611 2089 69 32 96.038788 ands 1 7 3 1 8 1693 2088 133 43 93.268784 having5 1 7 3 1 9 1837 2099 78 31 92.057312 pro-4 1 7 3 2 0 592 2136 1325 47 -1 5 1 7 3 2 1 592 2136 183 43 92.667885 visionally5 1 7 3 2 2 791 2139 159 41 96.605591 accepted5 1 7 3 2 3 966 2149 101 31 96.567673 same,5 1 7 3 2 4 1084 2139 69 33 96.950912 ands 1 7 3 2 5 1165 2139 60 33 96.382156 thes 1 7 3 2 6 1239 2143 195 39 96.482903 agreements 1 7 3 2 7 1446 2139 203 44 96.706421 containing5 1 7 3 2 8 1662 2142 139 30 96.183258 consents 1 7 3 2 9 1816 2139 101 32 96.836945 order4 1 7 3 3 0 592 2188 1326 45 -1 5 1 7 3 3 1 592 2188 130 44 96.217278 having5 1 7 3 3 2 741 2189 190 43 96.504463 thereupon5 1 7 3 3 3 951 2189 83 33 96.854622 been5 1 7 3 3 4 1055 2190 122 42 95.795204 placed5 1 7 3 3 5 1198 2201 45 21 95.795204 on5 1 7 3 3 6 1262 2190 59 33 96.647514 thes 1 7 3 3 7 1342 2190 117 43 87.640312 public5 1 7 3 3 8 1478 2190 121 33 87.640312 records 1 7 3 3 9 1618 2190 59 33 96.883881 for5 1 7 3 3 10 1697 2201 20 21 96.294006 a5 1 7 3 3 11 1737 2190 121 43 96.266563 periods 1 7 3 3 12 1877 2189 41 33 96.890495 of4 1 7 3 4 0 592 2239 1323 45 -1 5 1 7 3 4 1 592 2239 111 43 96.340942 thirty5 1 7 3 4 2 724 2239 74 45 77.862114 (80)5 1 7 3 4 3 820 2240 95 42 96.799309 days,5 1 7 3 4 4 929 2250 78 22 96.799309 now5 1 7 3 4 5 1022 2240 38 32 96.949142 in5 1 7 3 4 6 1075 2241 139 33 92.810257 furthers 1 7 3 4 7 1228 2241 223 43 91.934662 comformity5 1 7 3 4 8 1465 2241 86 33 95.975082 with5 1 7 3 4 9 1565 2241 59 33 96.748543 thes 1 7 3 4 10 1638 2241 189 43 92.741264 procedures 1 7 3 4 11 1841 2252 74 31 92.141678 pre-4 1 7 3 5 0 591 2290 1325 44 -1 5 1 7 3 5 1 591 2290 131 42 96.711815 scribed5 1 7 3 5 2 740 2290 37 33 96.716637 in5 1 7 3 5 3 796 2290 138 34 93.289673 Sections 1 7 3 5 4 950 2291 135 43 89.165306 2.34(b)5 1 7 3 5 5 1109 2292 40 32 96.501335 of5 1 7 3 5 6 1165 2292 48 32 96.454514 its5 1 7 3 5 7 1228 2293 101 39 96.986137 rules,5 1 7 3 5 8 1345 2293 61 32 96.203125 thes 1 7 3 5 9 1424 2292 228 34 93.135597 Commissions 1 7 3 5 10 1667 2292 126 42 93.135597 hereby5 1 7 3 5 11 1812 2292 104 32 96.779076 issues4 1 7 3 6 0 592 2340 1323 46 -1 5 1 7 3 6 1 592 2340 45 34 96.884277 its5 1 7 3 6 2 653 2341 188 42 96.868019 complaints 1 7 3 6 3 856 2340 37 34 94.114952 in5 1 7 3 6 4 907 2342 60 33 94.114952 thes 1 7 3 6 5 982 2342 94 32 96.666412 forms 1 7 3 6 6 1091 2343 252 42 96.560081 contemplated5 1 7 3 6 7 1358 2344 46 42 96.878944 by5 1 7 3 6 8 1419 2343 76 34 96.441925 said5 1 7 3 6 9 1510 2346 202 40 96.254150 agreement,5 1 7 3 6 10 1726 2343 117 33 96.376259 makes5 1 7 3 6 11 1857 2343 58 32 96.460625 thea 1 7 3 7 0 592 2392 1260 47 -1 5 1 7 3 7 1 592 2392 181 44 96.292000 following5 1 7 3 7 2 790 2392 256 43 96.485428 jurisdictional5 1 7 3 7 3 1062 2394 163 45 96.950150 findings,5 1 7 3 7 4 1243 2395 69 32 96.562111 ands 1 7 3 7 5 1330 2397 113 31 96.703712 enters5 1 7 3 7 6 1459 2394 58 33 96.931984 thes 1 7 3 7 7 1535 2394 183 42 95.858162 following5 1 7 3 7 8 1734 2394 118 32 95.858162 order:3 1 7 4 0 0 588 2443 1328 249 -1 4 1 7 4 1 0 634 2443 1282 45 -1 5 1 7 4 1 1 634 2444 27 30 92.742508 1.5 1 7 4 1 2 684 2443 221 41 95.639091 Respondents 1 7 4 1 3 920 2443 101 43 96.252220 Baby5 1 7 4 1 4 1035 2445 181 41 96.738510 Products,5 1 7 4 1 5 1231 2445 259 42 96.526436 Incorporated,5 1 7 4 1 6 1504 2445 31 34 96.295601 is5 1 7 4 1 7 1549 2457 21 21 95.802765 a5 1 7 4 1 8 1584 2445 221 43 93.279663 corporations 1 7 4 1 9 1818 2457 98 31 91.545784 orga-4 1 7 4 2 0 591 2494 1325 45 -1 5 1 7 4 2 1 591 2494 109 41 96.405472 nized,5 1 7 4 2 2 716 2494 150 42 94.147934 existing5 1 7 4 2 3 881 2495 69 32 96.556343 ands 1 7 4 2 4 966 2495 107 43 96.572639 doing5 1 7 4 2 5 1085 2496 156 33 96.458542 business5 1 7 4 2 6 1254 2497 111 32 96.606880 under5 1 7 4 2 7 1379 2497 69 33 96.941330 ands 1 7 4 2 8 1462 2497 46 42 96.821548 by5 1 7 4 2 9 1522 2497 114 33 96.948860 virtues 1 7 4 2 10 1651 2497 39 33 96.709404 of5 1 7 4 2 11 1704 2497 59 33 96.889648 thes 1 7 4 2 12 1777 2497 85 33 96.431046 laws5 1 7 4 2 13 1876 2497 40 33 96.622978 of4 1 7 4 3 0 591 2545 1324 46 -1 5 1 7 4 3 1 591 2547 57 33 96.449913 thes 1 7 4 3 2 661 2545 145 34 96.590279 Districts 1 7 4 3 3 820 2547 39 31 96.152229 of5 1 7 4 3 4 872 2547 191 41 96.639824 Columbia,5 1 7 4 3 5 1076 2547 86 33 96.961670 with5 1 7 4 3 6 1173 2547 47 33 96.859230 its5 1 7 4 3 7 1231 2548 91 33 96.721230 offices 1 7 4 3 8 1335 2550 69 32 96.544334 ands 1 7 4 3 9 1417 2548 172 43 96.748917 principals 1 7 4 3 10 1602 2548 98 43 96.219795 places 1 7 4 3 11 1711 2548 39 32 96.753029 of5 1 7 4 3 12 1760 2548 155 33 96.669434 business4 1 7 4 4 0 589 2596 1325 45 -1 5 1 7 4 4 1 589 2596 133 34 96.576073 located5 1 7 4 4 2 740 2600 36 29 91.511566 at5 1 7 4 4 3 793 2596 81 34 92.370567 27315 1 7 4 4 4 891 2597 139 40 96.009399 Wilson5 1 7 4 4 5 1045 2598 208 42 96.731750 Boulevard,5 1 7 4 4 6 1268 2599 39 33 96.773582 in5 1 7 4 4 7 1322 2599 60 33 96.855408 thes 1 7 4 4 8 1398 2602 126 39 96.358894 county5 1 7 4 4 9 1541 2599 40 33 96.192719 of5 1 7 4 4 10 1596 2599 202 42 93.274826 Arlington,5 1 7 4 4 11 1815 2599 99 33 91.710709 Com-4 1 7 4 5 0 588 2649 442 43 -1 5 1 7 4 5 1 588 2649 208 32 92.168030 monwealth5 1 7 4 5 2 807 2649 40 32 96.529671 of5 1 7 4 5 3 859 2649 171 43 96.539764 Virginia.3 1 7 5 0 0 590 2698 1324 96 -1 4 1 7 5 1 0 619 2698 1295 47 -1 5 1 7 5 1 1 619 2698 235 42 70.510712 -Respondents 1 7 5 1 2 865 2699 130 38 96.995979 Roberts 1 7 5 1 3 1004 2699 133 45 96.731064 Amey5 1 7 5 1 4 1127 2710 30 23 88.752518 is5 1 7 5 1 5 1167 2690 46 42 88.752518 an5 1 7 5 1 6 1222 2700 109 34 96.559387 officers 1 7 5 1 7 1341 2701 41 42 96.570129 of5 1 7 5 1 8 1391 2701 76 33 96.899887 said5 1 7 5 1 9 1477 2701 229 44 96.563194 corporation.5 1 7 5 1 10 1717 2702 58 32 93.265541 He5 1 7 5 1 11 1784 2701 130 33 93.042778 formu-4 1 7 5 2 0 590 2750 1323 44 -1 5 1 7 5 2 1 590 2751 95 41 96.574684 lates,5 1 7 5 2 2 702 2750 125 33 96.574684 directs5 1 7 5 2 3 844 2745 69 39 97.011581 ands 1 7 5 2 4 929 2752 152 33 96.704811 controls5 1 7 5 2 5 1096 2752 60 32 96.261826 thes 1 7 5 2 6 1171 2751 150 43 96.861710 policies,5 1 7 5 2 7 1338 2756 73 29 96.861710 acts5 1 7 5 2 8 1426 2753 69 32 96.935577 ands 1 7 5 2 9 1511 2752 168 42 96.831642 practices5 1 7 5 2 10 1695 2752 39 33 96.928429 of5 1 7 5 2 11 1750 2752 76 33 93.198822 said5 1 7 5 2 12 1842 2763 71 22 92.513367 cor- 80 FEDERAL. TRADE COMMISSION: DECISIONS:

Decision and. Order 81 F.T.C, poration. His address is 3905 Westgate Drive, Alexandria, Virginia.. - 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 ordered, ‘That respondents Baby Products, ‘Incorporated, a corporation, its successors and assigns and its officers, and Robert Amey, individually and as an officer of said corporation, and respond. ents’ agents, representatives, and employees, directly or through, any. corporation, subsidiary,. division. or any other device, or through any, agent, employee, representative, licensee or franchisee, in connection. with the advertising, offering for sale, sale or distribution of baby furniture or other articles of. merchandise in commerce, by door-todoor, mail, or telephone solicitation, as “commerce” is defined in the Federal Trade Commission Act, do forthwith cease and desist from: 1. Failing to clearly and unqualifiedly reveal at the time of the initial contact seeking an appointment or commitment for a presentation in the home or‘such place other than respondents’ place of business, and prior to seeking any commitment from the prospective buyer therefor and in all subsequent solicitations for such presentation whether directly or indirectly or by telephone, written or printed communication, or person-to-person, that the purpose of the contact is to offer products and/or services for sale; the identity of the corporate respondent; and the kind of products and/or services offered for sale. 2. Failing to clearly and unqualifiedly reveal the identity of the corporate respondent in direct mail promotional solicitation to prospective customers for the purchase of products and/or services sold by respondents in the home or such place other than respondents’ place of business.

8. Misrepresenting, directly or indirectly, through oral or written statements, that respondents represent or perform services for any commercial organization or any individual or firm for whom they do not actually represent or perform services, or misrepresenting in any manner, the identity of the solicitors or of their firm and of the business it is engaged in. 4, Representing, directly or indirectly, through oral or written statements, that merchandise, purchased by the respondents and presented by them to prospective customers, are being presented free or as a gift from the manufacturers of said merchandise, Provided, however, That bona fide free gift or sample merchana ‘BABY PRODUCTS, “INCORPORATED; ET' AL. 81 “Decision atid’ Order 'dise, distitibuted by the manufactiirer and intended for free dis- “tribution to the consumer, may be so o represented to consumers s by “respondents. © Be Representing; directly or indirectly, through oral or written statements, that respondents are not engaged in selling products _ or inducing the purchase of said products; or, in any other manper,’ inisrepresenting the purpose’ of ‘the solicitation, activity, or business it is engaged in.

6. Representing, directly or indirectly, through oral or written statements, that the subject of a filmstrip which actually advertises respondents’ products, 1 is solely on baby safety and baby . care.

ae Representing, directly or indirectly, through oral or written - statements; that the contract, purchase agreement, or order is cancellable or that the purchase price will be refunded without dis- - closing’ in ‘said' contract, purchase agreement or order, prior to execution of said contract, all the requisite conditions which must be fulfilled before the respondents will so allow cancellation, and the exact terms and conditions of the cancellation. 8. Representing, directly or indirectly, through oral or written ' statements, that the respondents’ merchandise is guaranteed, unless the nature and extent of the guarantee and the identity of the guarantor, who will perform thereunder, are clearly and conspicuously set forth in immediate connection therewith. 9. Representing, directly or indirectly, through oral or written statements, that any article of merchandise is being given free, or as a gift, in connection with the purchase of other merchandise, unless the stated price of the merchandise required to be purchased in order to obtain said article is the same as, or less than, the customary and usual price at which such merchandise has been sold separately for a substantial period of time in the recent and regular course of respondents’ business. 10. Failing to disclose to purchasers prior to execution of any installment sales contract, promissory note, or other instrument involving credit indebtedness, with such conspicuousness and clarity as is likely to be read and understood by the purchaser: NOTICE The instrument of indebtedness involving this purchase may be purchased from the seller by a bank, finance company or any other third party. If this is the ease, your payments will be made to someone other than the seller. You should be aware that if this happens, under applicable laws you may have to pay the instrument of indebtedness in full to its new owner even if you have a claim against the seller.

82 _ FEDERAL ‘FRADE -COMMISSION: ; DECISIONS Decision -and :Order 81 EVE.

Lt.is further ordered,,That respondents and’ respondents’.:agents, representatives, , and.. employees, directly, or through: ak corporate, ,or representative, in connection. with the advertising, offering for sale, Sale or. distribution of baby furniture or other.articles of merchandise -in commerce, as “commerce” is defined in the Federal, Trade. Commis- _ sion Act, do forthwith cease and. desist from furnishing, or otherwise placing in the hands of others, the means or-instrumentalities which -have.the. capacity to mislead customers or prospective customers as .to any of the matters or things prohibited by this order. LItis. further ordered: ~ (a) That respondents herein deliver, by registered mail,o a COpy - of this order to each of their present and: future dealers or franchisees, licensees,. employees, salesmen; agents, solicitors, independent contractors, or. other representatives who sell, promote or distribute the products or services included.in this order;. provide each person ‘so engaged with a returnable form clearly stating his - intention to conform his business Practices to.the requirements of _ this order.

&. (b) That respondents: institute a program of continuing surveil- ° lance i in good faith designed to reveal whether the business operations of each of said persons so engaged conform to the requirements of this order; and (c) That respondents discontinue dealing with all said persons so engaged who on their own continue the deceptive acts or practices prohibited by this order.

It 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 respondents notify the Commission at least thirty (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. [tis further ordered, That the respondents herein shall within sixty (60) days after service upon them of this order file with the Commission a report, in writing, setting forth in detail the manner and form in which they have complied with this order. 1:,.RONZONE: MAGARONL. CO. ENC... . 83 +; (Complaint...

cee ‘THE: Marra OF