American Motors Corporation

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

229 Complaint

IN THE MATTER OF

AMERICAN MOTORS CORPORATION, ET AL.

CONSENT ORDER, ETC., IN REGARD TO ALLEGED VIOLATION OF SEC. 5 OF THE FEDERAL TRADE COMMISSION ACT

Docket C-3093. Complaint, July 6, 1982—Decision, July 6, 1982

This consent order requires a Southfield, Mich. motor vehicle manufacturer and its subsidiary to cease, among other things, failing to disclose that the Jeep CJs handle and maneuver differently from ordinary passenger cars under certain reasonably expected driving conditions; and that sharp turns or abrupt maneuvers on pavement may result in loss of control or an accident. The order requires the company to place a prescribed sticker on the windshield of all new Jeep CJs warning owners of the Jeep's handling and maneuvering limitations; provide all existing Jeep CJ owner's manuals with an informational supplement concerning on-pavement driving and update the owner's manual to include this supplemental information. The company is also required to provide its dealers with a point-of-sale display designed to call attention to the Supplement, and with a sufficient quantity of the Supplement to enable dealers to make it available to each person who requests it. The order further requires the company to send to current registered owners of Jeep CJs since 1972, the sticker and the Supplement, together with a letter advising the owner to affix the sticker to his/her Jeep.

Appearances

For the Commission: Barry E. Barnes, Rachel W. Sesser and Paula K. Stein.

For the respondents: John M. Sheridan and Kenneth I. Gluckman, in-house counsel, Southfield, Mich., Earl W. Kintner, Robert H. Neuman and Christopher Smith, Arent, Fox, Kintner, Plotkin & Kahn, Washington, D.C. and Robert N. Sayler and Robert M. Sussman, Covington & Burling, Washington, D.C.

COMPLAINT

The Federal Trade Commission, having reason to believe that American Motors Corporation and Jeep Corporation, corporations (hereinafter "respondents"), have violated Section 5 of the Federal Trade Commission Act, and that a proceeding in respect thereof would be in the public interest, hereby issues its complaint, stating its charges as follows: PARAGRAPH 1. Allegations in this complaint in the present tense include the past tense. For purposes of this complaint the following definitions shall apply:

Complaint 100 F.T.C.

(1) Jeep CJ(s) means CJ5, CJ6 or CJ7 model Jeep motor vehicles manufactured by Jeep Corporation. (2) Ordinary passenger car means a vehicle designed primarily for non-commercial on-pavement usage and excludes utility vehicles, vans, buses or trucks. (3) Advertisement means any written, verbal or audiovisual statement, illustration, depiction or presentation, which is designed to effect the sale or lease of any Jeep CJ, or to create interest in the purchasing or leasing of such vehicles whether such statement, illustration, depiction or representation appears in a brochure, newspaper, magazine, leaflet, circular, mailer, book insert, catalog, billboard, public transit card, point-of-sale or lease materials, film strip, video presentation, or in a radio or television broadcast or in any other media, regardless of whether such statement, illustration, depiction or presentation is characterized as promotional, educational or informative. PAR. 2. Respondent American Motors Corporation (hereinafter "AMC") is a Maryland corporation with its principal place of business at 27777 Franklin Road, Southfield, Michigan. Respondent Jeep Corporation (hereinafter "Jeep") is a Nevada corporation with its principal place of business at 27777 Franklin Road, Southfield, Michigan. AMC dominates and controls the acts and practices of its wholly owned subsidiary Jeep. PAR. 3. AMC's net sales for the fiscal year ending September 30, 1979 were in excess of $3.1 billion. Jeep CJ sales for the fiscal year ending September 30, 1979 were in excess of $485 million with advertising expenditures of approximately $5 million. PAR. 4. Respondents AMC and Jeep individually or collectively engage in the manufacture, advertising, sale, lease or distribution of Jeep CJs. AMC and Jeep cause Jeep CJs to be shipped interstate from various manufacturing locations. Therefore, respondents maintain a substantial course of business in or affecting commerce, as "commerce" is defined in the Federal Trade Commisson Act. PAR. 5. The Jeep CJ handles and maneuvers differently from an ordinary passenger car under certain reasonably expected driving conditions; sharp turns or abrupt maneuvers on-pavement may result in loss of control or an accident. PAR. 6. The facts alleged in Paragraph Five are material facts which if known would be considered in a consumer's purchase and use decision. Respondents' have failed to disclose these facts. Such

Complaint

failure constitutes a material omission of fact and is therefore a deceptive act or practice. PAR. 7. By and through the use of advertisements such as "Legendary" and "Luxury" (copies of which are attached hereto and identified as Exhibits 1 and 2 and incorporated by reference herein) and other advertisements not specifically set forth herein, respondents represent, directly of by implication, that the Jeep CJ may be driven on-pavement like an ordinary passenger car. PAR. 8. In light of the advertising representations referred to in Paragraph Seven, respondents' failure to disclose facts referred to in Paragraph Five renders the advertisements misleading and is therefore a deceptive act or practice. PAR. 9. Respondents' acts or practices as alleged above have the capacity and tendency to mislead members of the public. Such acts and practices may prevent consumers from making informed purchase and use decisions. Therefore, such acts or practices cause substantial economic injury to members of the public and deprive consumers of information necesary for proper use of the vehicle when driven on-pavement. PAR. 10. The aforesaid acts or practices of respondents are all to the prejudice and injury of the public and constitute deceptive acts or practices in or affecting commerce in violation of Section 5 of the Federal Trade Commission Act. These acts and practices, as herein alleged, are continuing and will continue in the absence of the relief requested.

Complaint 100 F.T.C.

COMPTON ADVERTISING, INC.

625 Madison Avenue, New York, N.Y. 10022 Telephone: PLaza 4-1100

CLIENT: JEEP CORPORATION PRODUCT: 1981 JEEP CJ TITLE: "LEGENDARY"

COMML. # AOJU 2973 TIMING: 30 SECONDS DATE: 9/22/80

1. (MUSIC UNDER) ANNCR: (VO) The legendary Jeep vehicles.

2. They've been transporting troops...

3. delivering mail...

4. weathering storms...

5. and winning races longer than a lot of vehicles have even existed.

6. Today's Jeep CJ is taking more kids to school...

7. more couples out on the town..."

8. and more families to paradise lost than ever.

9. And, getting more miles per gallon than any four-wheeler built in America.

10. 1981 Jeep CJ. The legend lives on.

11. From Jeep Corporation...

12. of American Motors.

(MUSIC OUT)

Complaint

COMPTON ADVERTISING, INC.

625 Madison Avenue, New York, N.Y. 10022 Telephone: PLaza 4-1100

CLIENT: JEEP CORPORATION PRODUCT: 1981 JEEP CJ TITLE: "LUXURY"

COMML. # AOJU 2983 TIMING: 30 SECONDS DATE: 9/22/80

1. (MUSIC UNDER) ANNCR:

(VO) The legendary Jeep CJ.

2. You always knew it could take you here in style.

3. But did you ever think it could take you here in style?

4. Or that it could give you the luxury and comfort of soft bucket seats,

5. room for 4,

6. air conditioning, stereo...

7. and did you know that Jeep CJ

8. has the highest gas mileage of any four-wheeler built in America?

9. 1981 Jeep CJ.

10. Now you know why the legend lives on.

11. From Jeep Corporation...

12. of American Motors.

(MUSIC OUT)

Decision and Order 100 F.T.C.

DECISION AND ORDER

The Federal Trade Commission having initiated an investigation of certain acts and practices of the respondents named in the caption hereof, and the respondents having been furnished thereafter with a copy of a draft of complaint which the New York Regional Office proposed to present to the Commission for its consideration and which, if issued by the Commission, would charge respondents with violation of the Federal Trade Commission Act; and

The respondents, their attorneys, and counsel for the Commission having thereafter executed an agreement containing a consent order, an admission by the respondents 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 respondents 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 respondents have violated the said Act, 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 sixty (60) days, now in further conformity with the procedure prescribed in Section 2.34 of its Rules, the Commission hereby issues its complaint, makes the following jurisdictional findings and enters the following order:

1. Respondent American Motors Corporation is a corporation organized, existing and doing business under and by virtue of the laws of the State of Maryland, with its office and principal place of business at 27777 Franklin Road, Southfield, Michigan.

Respondent Jeep Corporation is a corporation organized, existing and doing business under and by virtue of the laws of the State of Nevada with its office and principal place of business at 27777 Franklin Road, Southfield, Michigan.

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

This Order applies to respondents American Motors Corporation (hereinafter "AMC") and Jeep Corporation (hereinafter "Jeep"), their successors, assigns, officers, agents, representatives, and em-

229 Decision and Order

ployees, directly or through any corporation, subsidiary, division or other device, in connection with the offering for sale, sale, lease or distribution of Jeep CJ(s) in or affecting commerce as "commerce" is defined in the Federal Trade Commission Act, within the United States, including the Commonwealth of Puerto Rico and any territory or possession of the United States. Definitions: For purposes of this Order, the following definitions shall apply:

1. Jeep CJ(s) shall mean CJ-5, CJ-6, or CJ-7 model Jeep vehicles built since 1972, which are or were manufactured or distributed by AMC or Jeep, and vehicles of substantially equivalent design and performance. Substantially equivalent performance means a vehicle which is substantially similar with respect to its ability to make sudden sharp turns and abrupt maneuvers on-road. For purposes of this definition, other Jeep motor vehicles built from 1972 to 1982 are not of substantially equivalent design to Jeep CJs. 2. Dealer(s) shall mean all independent person(s), partnership(s) or corporation(s) which, pursuant to a dealer's sales and service agreement, receive on consignment or purchase new Jeep CJ(s) from AMC or Jeep for resale or lease to the public. The term dealer(s) shall also mean all person(s), partnership(s) or corporation(s) owned or operated by respondents which sell or lease new Jeep CJ(s) to the public.

I.

It is ordered, That respondents shall, within 120 days from the date of service of this Order, affix a sticker to each new Jeep CJ vehicle manufactured or distributed by AMC or Jeep. The sticker shall read as follows:

This multipurpose vehicle handles and maneuvers differently from an ordinary passenger car. As with other vehicles of this type, sudden sharp turns and abrupt maneuvers may result in loss of control. Read driving guidelines in Owner's Manual and Supplement.

WEAR SEATBELTS AT ALL TIMES

Respondents shall affix the sticker to the instrument panel or windshield frame of each new Jeep CJ in a prominent location. The sticker shall be printed in a typeface and color which are clear and conspicuous. Respondents shall advise their dealers in writing not to remove the sticker.

Decision and Order 100 F.T.C.

II.

It is further ordered, That respondents shall, within 120 days from the date of service of this Order, distribute an informational supplement to the Owner's Manual for new Jeep CJ(s) (hereinafter "Supplement") which is similar in scope and subject matter to the current pamphlet "Driving Your 4-Wheel Drive Vehicle" a copy of which is attached as Exhibit A. The supplement shall include the following statement in an on-pavement driving section:

Utility vehicles have higher ground clearance and narrower track to make them capable of performing in a wide variety of off-road applications. Specific design characteristics give them a higher center of gravity than ordinary cars. An advantage of the higher ground clearance is a better view of the road allowing you to anticipate problems. They are not designed for cornering at the same speeds as conventional 2WD vehicles any more than low-slung sports cars are designed to perform satisfactorily under off-road conditions. If at all possible, avoid sharp turning maneuvers. As with other vehicles of this type, failure to operate this vehicle correctly may result in loss of control or an accident.

The Supplement shall also include the following statement in the introduction:

As with other vehicles of this type, failure to operate this vehicle correctly may result in loss of control or an accident. Be sure to read on-pavement and off-road driving guidelines which follow.

The above-required language shall be printed in a typeface at least as large as that which is used in the main body of the Supplement. Nothing contrary, inconsistent or in mitigation of the above-required language shall be used in the Supplement.

III.

It is further ordered, That respondents shall, within 120 days from the date of service of this Order, revise the Owner's Manual for new Jeep CJs to include the information that is required by Part II of this Order. Headings, typeface, and other devices consistent with those used for warnings in the Owner's Manual shall be used to ensure clarity and prominence of the information required. Nothing contrary, inconsistent or in mitigation of the information required shall be used in the Owner's Manual.

IV.

It is further ordered, That any substantive modification of the information required by Part II or Part III of this Order may be

AMERICAN MOTORS CORP., ET AL. 237

229 Decision and Order

made only upon prior written approval of the Commission. A request for approval shall be in writing and shall be deemed granted if not disapproved within 60 days after receipt by the Commission.

V.

It is further ordered, That respondents shall, within 120 days after service of this Order, insert a copy of the Supplement and the Owner's Manual into the glove box of each new Jeep CJ prior to the distribution of the vehicle.

VI.

It is further ordered, That respondents shall provide to each dealer a reasonable number of free copies of the Supplement to enable dealers to make the Supplement available to each prospective Jeep CJ purchaser or lessee who requests it. Respondents shall also provide to each dealer one free point-of-sale display designed to call attention to the Supplement. Respondents shall advise their dealers in writing to (1) maintain such point-of-sale display in a prominent location in the dealer's showroom and (2) provide a copy of the Supplement to each person who requests it. Respondents shall implement the requirements of this Part within 120 days from date of service of this Order.

VII.

It is further ordered, That respondents shall, within 150 days after service of this Order, send by first-class mail to each identifiable current registered owner of Jeep CJ(s) from the 1972 model year to the effective date of this Order the following materials: (1) the sticker required by Part I; (2) the Supplement required by Part II; and (3) a letter advising the owner to affix the sticker to the Jeep CJ. Current registered owners shall be deemed identifiable if they can be traced using the same sources used to develop lists for recall notifications pursuant to the National Traffic and Motor Vehicle Safety Act of 1966.

VIII.

It is further ordered, That respondents distribute a copy of this Order to all present and future personnel who have supervisory responsibility with respect to the subject matter of this Order. Respondents shall secure from each such person a signed statement

Decision and Order 100 F.T.C.

acknowledging receipt of this Order. Respondents shall also distribute a copy of this Order to each dealer.

IX.

It is further ordered, That respondents shall maintain documents demonstrating compliance with this Order. Upon reasonable request, respondents shall make available to the Commission or its staff for inspection and copying documents which shall include, but not be limited to, the following:

A. The name and last known address of each owner who was sent the materials required by Part VII of this Order. B. The name and last known address of each owner whose materials were returned undelivered by the United States Postal Service.

C. Communications from dealers regarding the distribution of the Supplement which are received by the department responsible for such distribution.

X.

It is further ordered, That in the event that respondent AMC or Jeep merges with another corporation or transfers all or a substantial part of its business or assets to any other corporation, respondent AMC or Jeep shall require said successor or transferee to file promptly with the Commission a written agreement to be bound by the terms of this Order; provided, that if respondent AMC or Jeep wishes to present to the Commission any reasons why said Order should not apply in its present form to said successor or transferee, it shall submit to the Commission a written statement setting forth said reasons prior to the consummation of said succession or transfer.

XI.

It is further ordered, That respondents shall, within one hundred and eighty (180) and three hundred and sixty-five (365) days after the date of service of this Order, file with the Commission reports setting forth in detail the manner and form in which they have compiled with this Order.

AMERICAN MOTORS CORP., ET AL.

Decision and Order

Driving Your 4-Wheel-Drive Vehicle

And Getting Along With The Environment

Jeep Owner's Manual Supplement Small Sports Utility Edition (CJ-5, CJ-7 and Scrambler)

Important Guidelines Inside:

On-Pavement Driving Off-Road Driving

Decision and Order 100 F.T.C.

Contents

The world of 4-wheeling ................................2 Important differences between Jeep 4WD vehicles and 2-wheel-drive cars......................................3 Getting Along With the Environment ....................5 ON-PAVEMENT DRIVING GUIDELINES..................6-10 General.............................................10 Adverse weather......................................9 OFF-ROAD DRIVING GUIDELINES....................11-18 General.............................................13 Steep inclines and sidehills..........................14 Rock and sand......................................15-16 Mud and rain.........................................17 Snow.................................................18 4-Wheel-Drive Organizations..........................19 Special Off-Road Uses................................20 Tips On Saving Fuel...................................21 A Postscript to 4-Wheelers............................22

Welcome To The Exciting And Different World Of 4-Wheeling

Congratulations! You own a Jeep 4-wheel-drive vehicle, the most popular 4-wheeling name in America. The world of 4-wheeling is indeed exciting. You'll be able to enjoy an adventurous part of America, a part of your land few without a 4-wheel-drive vehicle will ever have the opportunity to see. Along with the fun and excitement of 4-wheeling comes responsibility. Your responsibility is two-fold: The first is to realize that your 4WD vehicle is different than 2-wheel drive vehicles, and must be driven differently than a car both on pavement and off road. The second responsibility is to recognize that, as the owner of a Jeep vehicle, you are obligated to respect the environment. Your actions will affect the future of public lands and their use by responsible 4-wheelers Have fun with your Jeep 4WD vehicle, but remember to live up to your responsibilities.

What Exactly is 4-Wheel Drive?

In 4WD mode, all four wheels can work to move the vehicle. Four wheels working are an advantage over two in many driving situations both on pavement and off road. The key component in the 4-wheel-drive system is the transfer case which supplies power to two separate drive shafts, to the front and rear axles.

Most Jeep CJ-5, CJ-7 and Scrambler vehicles are equipped with part-time or "on-demand" 4WD systems.* This "ondemand" system allows for a normal two-wheel-drive mode to highway use and a simple rigid driveline to the four wheels for off-road or other adverse driving situations. Your Owner's Manual has complete instructions on how to shift between 2WD and 4WD.

*Some CJ-5 and CJ-7 vehicles built between 1973 and 1979 were equipped with a full-time 4WD Quadra-Trac system. Consult your Owner's Manual for complete operating instructions.

229 Decision and Order

Important Differences Between Your Small Jeep 4WD Vehicle And Ordinary 2-Wheel- Drive Vehicles

Your Jeep vehicle is a descendant of the original tough quarter-ton military vehicle that served this country so well during World War II. The transition from that legendary military model to civilian versions of the reliable and rugged Jeep models helped start the recreational sport of off-roading. With the introduction of the Jeep CJ-5 in 1954, our CJ models were well on the way to becoming the first choice of more professional and amateur off-roaders than any other 4WD vehicle.

By design it can do things off the road that you would not dream of trying in your family car. Let's examine the main differences between it and most conventional cars.

Your Jeep Vehicle Is Higher, Shorter, Narrower.

Higher ground clearance allows your Jeep vehicle to go over rugged terrain without hanging up on rocks or logs. The higher ground clearance results in a higher center of gravity, which in turn creates handling characteristics different from those of a conventional passenger car.

A shorter wheelbase and short front and rear overhang along with the high ground clearance means that your vehicle can approach inclines and go over the crest of a hill without hanging up the vehicle or damaging its frame or chassis components. The shorter wheelbase also makes your vehicle more responsive to steering than vehicles with longer wheelbases.

Narrower body width and track allow your Jeep vehicle to go through tight spaces unpassable by conventional cars and most larger 4WD vehicles.

These differences, higher ground clearance, higher center of gravity, shorter wheel-base, and narrower body width and track, are all important features for off-road driving. However, they also mean that on-pavement driving, handling, and steering will be different from what drivers experience with a conventional 2-wheel-drive car.

On the following pages, we will discuss on-pavement driving techniques. Be aware that special tires, size and weight of cargo, or towing a trailer can alter the driving characteristics of your vehicle.

Special Tires. It is important that a 4WD vehicle be equipped with tires of the same size and type at each wheel. So if you use special off-road tires, or tires for mud or snow, mount them on all four wheels. Many serious off-roaders switch to special tires for off-roading. Wide-Tread and Radial-Ply tires must be installed as complete sets. Don't mix radial or wide-tread tires with conventional bias-ply tires or fiberglass-belted tires. This could result in serious steering difficulties. Be sure to check and maintain recommended tire pressure. Also, some combinations of replacement wheels and tires can increase tread measurement and change the steering and suspension characteristics of your Jeep vehicle. Use only wheels and tires of sizes recommended by Jeep Corporation.

Size and Weight of Cargo. The weight of passengers and cargo can change the center of gravity and the vehicle's handling characteristics. As a general rule, do not carry high or heavy cargo. Never exceed the load limits described in your Owner's Manual and be certain the cargo you do carry is properly placed in front of the rear axle. Too much weight or improperly placed weight over or behind the rear axle can cause serious steering problems, like those experienced in a ordinary car with an overloaded trunk.

Pulling a Trailer. Remember that everything you place in your trailer and vehicle adds to the gross vehicle weight rating (GVWR) of your Jeep vehicle. Do not exceed the gross vehicle weight rating for your Jeep vehicle. Pulling trailers heavier than Class I (2000 pounds, 900kg) Trailer Weight and a Tongue Limit of 200 pounds (90 kg) is not recommended for most small Jeep 4WD vehicles. Consult your Owner's Manual for specifics

Decision and Order 100 F.T.C.

Getting Along With The Environment

Before you get into the specific techniques of four-wheeling, please thoughtfully consider the "responsibility" we spoke of on page one. "...to recognize that as the owner of a Jeep vehicle you are obligated to respect the environment." We all have an important stake in protecting the environment because we want future generations of four-wheelers to also enjoy the fragile beauty of this land, unmarred and unblemished. The vast majority of off-road vehicle owners consistently demonstrate a deep and abiding respect for the environment. Join with the majority. Your positive action and good example are always needed to offset the irresponsible antics of a few thoughtless drivers. Consider the ability to explore an America you might never see in a 2WD vehicle as a privilege. You can pay for that privilege by always respecting the land and environment. If you keep the following guidelines in mind, you'll be doing your part in maintaining a healthy environment. • If you enjoy 4-wheeling for sport, be sportsman enough to do so only in areas designated for such use. Remember, you are the visitor and your "visit" should leave no scars on the land. • Drive on established trails only. There are many designated for 4-wheel-drive vehicles exclusively. • Don't litter and if you see your favorite area littered, clean it up. Set a good example for the next person. • Stay off land posted against such use. And observe the laws and regulations of every public authority. If you are unsure as to the status of a road or trail, consult your local Forest Ranger or the Bureau of Land Management office. • Leave the wildlife alone. Disturbing the balance of nature denies us all. • Keep your vehicle in good mechanical condition for safety's sake and to prevent excessive exhaust fumes. • Maintain a clean, safe camp. Be especially careful with fire. Do not leave campfires unattended and make sure they're drowned out before you break camp. • Don't take advantage of the land you're driving on. Avoid cutting switchbacks; avoid wet meadows; do not spin your wheels unnecessarily. Your wheel tracks could cause erosion or other damage. • Have respect for your fellow 4-wheelers. • When driving in areas that are exceptionally dry, avoid idling your vehicle or parking in a spot covered by dry grass or leaves. Vehicle exhaust systems give off a great deal of heat which can set fire to dry vegetation. • Join your local off-road vehicle club as a working member and help spread the word on the proper use of our outdoor resources.

On-Pavement Driving Guidelines

Because you will often use your Jeep vehicle on paved roads or highways, it is important that you know how to handle your vehicle in traffic properly and reasonably. The next pages in this brochure provide important guidelines to help you enjoy your Jeep vehicle during on-pavement uses while looking out for the safety of yourself, your passengers, other motorists, and pedestrians. Know Your Vehicle

Learn specifically how to drive your vehicle on pavement! Start slowly and practice in an area where you can become familiar with its unique characteristics. There may not be much body lean in some turns because the vehicle suspension is different from a car's suspension. This makes a big difference. Body lean is one of the things that make you aware that centrifugal force (see explanation of centrifugal force on facing page) is at work. A few practice sessions and you will realize there are things you can't expect your Jeep vehicle to do on pavement, just as there are things you wouldn't expect your family car to do off road. Driver And Passengers Should Be Secured At All Times By The Restraint System

Your Jeep vehicle is equipped with restraint systems. Use them at all times. National Safety Council statistics indicate clearly that restraint systems reduce injuries. This can be particularly true in an open-body vehicle.

Drive Slowly! Be Cautious! Be Alert!

We are all familiar with the term defensive driving. It simply means to be prepared. Learn to anticipate problems and to steer, brake or accelerate accordingly. Give yourself time to react to emergency situations. Observe the guideline of at least a car length of space between you and the vehicle ahead of you for every 10 miles per hour you are driving. When weather is bad, and at night, allow even more spaces so you'll be able to react smoothly, safely.

Decision and Order

Avoid Sharp Turning Maneuvers

Small utility vehicles have higher ground clearance and narrower track to make them capable of performing in a wide variety of off-road applications. Specific design characteristics give them a higher center of gravity than ordinary cars. They are not designed for cornering in the same fashion as conventional 2WD vehicles any more than low-slung sports cars are designed to perform satisfactorily under off-road conditions. An advantage of higher ground clearance is a better view of the road allowing you to anticipate problems. If at all possible, avoid sharp turning maneuvers.

Approach Curves Cautiously, Slowly

The proper speed at which to take a curve is determined in part by the centrifugal force that will be exerted on the vehicle. Because of your Jeep 4WD vehicle's higher center of gravity, the effects of centrifugal force are different from those experienced with a typical car. Therefore, you should always approach curves at normal driving speed. You should not attempt to go as fast through turns as you might in a lowslung sports car, or perhaps even your family car.

Slow Down In Crosswinds

Strong gusting winds hitting the side of any vehicle can affect stability. Driving slower under these conditions will minimize the effects and give you more control.

Proceed With Care On Roads With A Pronounced Slope To The Shoulder

All roads are designed with a "crown" or high center so water will drain off the surface. Occasionally you may find yourself on older, resurfaced, narrow, two-lane roads with a higher-than-normal crown. These roads can cause an exaggerated lean toward the shoulder in your vehicle. You can counteract the exaggerated lean by driving close to the crown, without crossing the highway divider. If the road is also winding with a lot of dips and rolls, you may have to drive more alertly and slowly.

Regularly Check And Maintain Your Vehicle Equipment

Keep your vehicle in top running order. Make frequent routine checks of the vehicle's steering system, power train, brakes, springs, shocks and above all, tires (both tread and air pressure).

Road Conditions And Surfaces Affect The Way You Drive

Your on-pavement driving will involve a variety of paved surfaces, each requiring somewhat different handling responses from the driver. There are super highways and country roads, city streets and sometimes-rough rural roads. Some surfaces are concrete, some are asphalt-layered, smooth or pebbled, and some are barely blacktopped. Weather conditions affect all these surfaces, calling for still more alertness and skill on the part of the driver. On the following pages we will discuss some of the techniques for driving on various paved surfaces and under different weather conditions.

7 8

Decision and Order 100 F.T.C.

On-Pavement Driving In Adverse Weather When the road surface becomes difficult to travel because of deteriorating weather conditions such as snow or heavy rains collecting on the roadway, you should shift into 4WD. Whenever the conditions call for slow speeds and high traction you will want to use the versatility of your "on-demand" 4WD system. You should continue to proceed slowly and cautiously. Be alert to the problems fellow drivers around you may be having that could create a hazardous situation for you. Snow In wet, light snow it is important to maintain traction by making slight or gradual changes of speed and by maintaining a light touch on the steering wheel. Avoid sudden maneuvers. If you should start to slide, stay off the accelerator and steer in the direction of the slide. Once the vehicle straightens out, lightly accelerate to get back on the line you were traveling. Drive slow and allow plenty of room to maneuver between yourself and the vehicle ahead. If you must brake, use a light, pumping action. Engine compression can help slow you down. It's also wise to use a lower gear under these conditions. In heavy snow, maintaining momentum is the key to safe going. Try to keep moving by using the lowest possible range in your transmission and a steady accelerator pedal. Special snow tires can help. Under special conditions chains on all four wheels can provide additional help. Never drive with chains on the front and not on the rear.

General Recommendations For Driving In Adverse Weather Safe driving with a 4WD Jeep vehicle requires the sensible application of long-established principles of safe driving: • Drive smoothly—no sudden, jerky movements • Stay alert—anticipate your next move • Do not overdrive road conditions or your abilities • Do not drive while under influence of alcohol or drugs In addition you should:

• Use 4WD when road surface requires slow speeds and high traction • Turn on your headlights • Use windshield wipers (rain or wet snow) • Check rearview mirrors frequently • Drive slowly • Allow extra following distance • Keep tires properly inflated and in good condition

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229 Decision and Order

Off-Road Driving Guidelines

Off-road operation is what your Jeep vehicle was designed to do. Under almost all conditions engage 4WD. But as you leave the pavement behind, you should be guided by the principle that although your 4WD vehicle might be able to go almost anywhere, there are places you shouldn't go. Use common sense and remember that driving situations and conditions change quickly out there, so be alert and be prepared. As a general rule you should go where others have gone before. There are plenty of 4WD trails or unimproved roads to take you to the great outdoors. In fact many of the surfaces you'll travel will be unpaved, with a sand or gravel base or a surface that rain has turned to muck. These surfaces call for different driving techniques from paved roads. Sand Sand or dirt roads that are dry and dusty are often characterized by "loose" or "soft" shoulders and curves, while the crown of the road may be rock hard. Ideally you should have all four wheels on the solid surface, so drive as high up on the crown as possible while staying on your side of the road. You may want to drive in third gear (or in second range if you have automatic transmission) and you should proceed slowly and cautiously, avoiding abrupt steering changes. Also, be alert for rutted or choppy road surface, especially the kind of surface that might cause your vehicle's wheels to leave the ground. As a general rule, on pavement or off, keep your vehicle in a situation where at least three wheels are on the surface at all times. Mud Driving in mud is similar to driving in snow. When a hard-packed dirt road is wet from rain there's a slick film of mud on the top that can cause loss of traction even in 4WD mode. Keep a very light foot on the accelerator and a fingertip touch on the steering wheel. Ride high up on the crown of the road and stay away from sudden maneuvers that could cause you to slide toward the shoulders where the mud may be several inches deep. If your vehicle begins to slide, take your foot off the accelerator and steer in the direction of the slide until control is regained. In hub-deep mud, as in heavy snow, the objective is to maintain your momentum. Use your lowest transmission gear or range and keep a steady foot on the accelerator pedal and a firm hand on the wheel to maintain your direction. Above all, don't stop. Drive at a steady speed even with the wheels spinning. Of course, mud or snow tires would give extra bite. Gravel Your vehicle will perform very well in 4WD mode on graded gravel surfaces. Maintain a moderate, steady speed and firm control of the steering wheel, avoiding sudden maneuvers that could cause the vehicle to slide. Stay on the crown of the road as much as possible, because gravel at the edge may be looser and the footing less stable. If your vehicle does start to slide, take your foot off the accelerator and steer in the direction of the slide until you regain control. Allow yourself enough distance to stop, using a combination of light brake tapping and engine compression. In loose gravel, as in deep snow or mud, you should maintain your momentum. Use your lowest transfer case mode and keep a steady foot on the accelerator, and a good grip on the wheel for directional stability. 11 12

Decision and Order 100 F.T.C.

General Recommendations For Off-Road Driving Before you head for the back country there are some general things you should do or check:

0 Remind yourself when to use 4WD mode 0 Use safety restraint system 0 Check fuel, oil and fluid levels 0 Cargo and gear fastened down 0 Travel in pairs 0 Let someone know your plans and schedule 0 Secure necessary permission to travel on public or private land 0 Stay on existing trails wherever possible 0 Respect the environment and leave it as you found it 0 Be alert and use common sense 0 Supplies check list:

• Warm (cold) weather gear • Rain gear • Blankets (sleeping bag) • Food and water • First aid kit • Walking shoes • Flashlight • Maps & charts of area • Tow strap or chain • Wheel blocks • Booster cables • Tire chains • Spare vehicle keys • Two way CB radio • Spare fan belt(s) • Spare tire (more than one for extended trips) • Fire extinguisher • Mechanic's tools • Hatchet (axe) • Utility knife • Ice scraper or brush • Portable air compressor • Electrical tape • Vehicle repair manual • Waterproof watches • Approved gas can • Syphon hose

Driving Off-Road On Steep Inclines And Sidehills

Before reviewing how to drive up steep hills and along sidehills, make note of an important point. If you don't make it to the top, or your vehicle is about to slide or roll sideways, stop, turn off the engine, put it into first gear, put on the parking brake and get out and walk down. An ounce of prevention is worth a pound of cure.

Steep Inclines When preparing to climb a steep incline, first try to find out what you're up against. What's on top? Walk the course to make sure you know. And if you don't think you can make it, don't try it! Also, it's always a good idea to make at least one exploratory run before the final attempt. This lets you feel out the surface and assess how much effort is going to be required to go over the top. (Low range and first or second gear.) When the tires begin to spin, apply a little extra gas and let them dig in slightly. Then you can clamp on the brakes and hang there in the dug-outs while you shift into reverse and drive back down. That's right - in reverse gear, clutch out and driving. Absolutely not in neutral and trying to let yourself down on the brakes. And to avoid sideroll remember never turn your vehicle sideways on a hill or steep incline.

On your attempt, give yourself a running start. Accelerate to the hill and then, just as you approach the top, ease off the gas. You do this for two reasons. First, it's never a good idea to crest a hill at full power. The second is that, very often, this lets your bouncing, scrambling vehicle settle down to grind out the over-the-hump traction that's needed. So, accelerate, scramble and then ease off! Getting down can be as tricky as going up. Maybe trickier. Keep the vehicle heading straight downhill, in gear (low range/first gear) and under control. If it begins to slide, as it will on a steep enough grade, touch the gas to regain steering control, then let off the gas. Don't touch the brakes. You can't steer a skidding wheel.

Touch the gas instead. It'll straighten you out. Locking the brakes can only get you into trouble.

Sidehills Traveling across the side of a hill is extremely hazardous. It should not be attempted. If it is absolutely necessary on a hill which is not very steep it should always be done with extreme caution. Whenever possible, avoid doing it! And too, when you're getting out of your vehicle on a sidehill, be sure to exit on the uphill side.

Surfaces on sidehills are deceptive. You may have been running along a ridge that seemed perfectly solid but once you got onto the sidehill it wanted to slip out from under you. The problem comes from the fact that when you're driving across a side slope the vehicle's weight is transferred to the lower side. Instead of having the weight distributed to four tires, it's transferred to two. This makes the vehicle want to slide down the hill sideways.

When it starts to slide, there's only one thing you can do, and you have to do this instantly, of course: turn downhill! This helps transfer the weight to both front wheels and stop the slipping—and it could save you from rolling over.

Once you're angling downhill, take care not to lock up the wheels and start sliding out of control.

AMERICAN MOTORS CORP., ET AL.

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Driving Off-Road On Rock And Sand Before discussing driving on rocks or sand, one caution is necessary. After you've driven in rocky or sandy situations, your brakes should be inspected for any residue in the lining. Heavy-duty maintenance is suggested as the lining wears out quickly if not cleaned after such uses. Rock The basic technique for driving in rock consists of four letters: S-L-O-W. Low range. Crawl up. Creep down. And even that is sometimes too fast. If you have automatic transmission, then use your brake to ease yourself down off that rock you so deliberately climbed up. With a manual transmission, let it walk down the rock against engine compression. You'll kill the engine occasionally, but that's the way to do it. If you have a choice between driving a wheel over a large rock or letting the rock go under the vehicle, always put the wheel on it. Squarely on it. Then you know where the rock is and that isn't going to high-center you or damage your vehicle undercarriage. If you do get high-centered (hung up on an object that lifts one or more wheels from firm contact with the ground and keeps you from going on), the first thing to try is to back off. If this doesn't help, then you have to get serious about solving the problem. This means jacking up the wheel that isn't getting a grip. Under this wheel you stuff rocks, dirt, wood, brush, whatever. You do this until, in effect, the road has been built up to the point that you can drive off the offending object. Then move the vehicle—SLOWLY—after removing the jack.

Sand The technique for driving in sand involves two or three principles, the most important of which is stay on top of it. You can do this by driving with enough speed to maintain momentum, by having big tires, or by greatly reducing the pressure in your normal-size tires. Remember - if you do reduce tire pressure, and drive on deflated tires you risk premature wear on the tread. Also make sure that whatever tires you use are approved by the vehicle manufacturer. If you have a short patch of soft sand to be crossed, you can usually rush it and make it across. Study the situation, decide where you're going to go, then back up, take a little run at it and move through at a steady pace, not stopping, not making abrupt changes of direction, and not hesitating on the way. If you're into serious sand - a sand wash you're going to travel, or dry loose sand at the beach, or some big dune - and don't have oversize tires, there's a likelihood you're going to need to let air out of your tires. The reason for this is that a soft tire is better able to conform to whatever surface it encounters than is a hard tire. So a soft tire will develop grab and provide go-ahead traction where a hard tire won't. The tire should be less than 10 psi. So soft you can see a definite bulge in the sidewall where it's in contact with the surface. With flabby tires you can travel sand with relative ease. (Don't forget to reinflate when back on hard land! Just a few miles on pavement could cause substantial damage to your tires.) If driving on an ocean beach be sure to thoroughly wash under carriage to prevent corrosion.

Decision and Order 100 F.T.C.

Driving Off-Road In Mud And Rain Mud The problems encountered in mud are somewhat similar to those of driving in snow in that there's both a reduction in traction and an increase in resistance to forward motion. A contributing problem is that mud comes in a wide variety of consistencies that range all the way from light, greasy clay to a thick, liquid bog. All of them require slightly different driving techniques.

In general, though, what they require is well-controlled goahead power. In most instances this means low range and either first or second gear depending on the mud's particular characteristics.

So when you come to a muddy stretch, get into the lower gear and keep in mind that you don't want to lose headway. Once you're committed to the bog, don't stop, don't hesitate, don't change your mind halfway through. Churn, churn and keep churning until you're on firm footing again. At the other extreme is light, greasy clay. Here you use some of the same techniques as driving on ice. Especially staying on or near the crown of the road.

Rain Ordinary rain creates no conditions that require special techniques from the driver of a 4-wheeler. Except extra caution, of course. Unusually heavy rain can lead to conditions where special driving techniques may be needed, however. Floodwaters always demand extreme caution. Driving into unknown water is like walking around blindfolded. That dropoff may only be an inch or two. Or it may be a precipice. When it is necessary to drive through deep water, go into low range and maintain a slow, steady headway. Be very careful about stopping broadside in a stream of running water. Running water exerts immense force against anything as flat-sided as an automobile and this could result in the vehicle being swept downstream with the current. Even when only a few inches of water are running, don't stop if you're on an unpaved surface. Moving water may wash the footing out from under your tires and make it impossible for you to get underway again. (The same principles apply if you're driving along the beach and get caught by a wave.) Don't stop. Keep moving. Head for the higher ground. You probably already know about riding wet brakes to help them dry out but have you considered the effect that sand and silt can have on brakes, wheel bearings and the like after running through muddy water? It's always wise to give them a thorough inspection after exposure to such conditions.

Driving Off-Road On Snow Snow can be troublesome in different ways. When it's either hard-packed or soft-melting it can be slick. This creates a traction problem. At other times, it can get so deep it piles up in front of the tires and resists their progress. This gives you a problem in maintaining headway.

When the snow is slick, drive it like any other slick condition. That is, a light touch on the steering wheel, make gradual changes in throttle opening to avoid breaking traction and don't do anything sudden. Don't let a slide start. And if it does, catch it.

But let's say it's nice dry snow. But deep. Then what do you do? If it's deep enough to provide more than minor resistance, put the vehicle in a lower gear. Low range is even better. Then show your way through and try to hit a happy medium between spinning your tires and keeping headway not to bog down. A nice, even, steady pace is always best. If you have to break trail in deep snow and are going to use chains, it's not a bad idea to put them on the front wheels. At the low speed you'll be moving, the chains will help the steering as well as the go-ahead traction. But in normal circumstances, never put chains on the front unless you also have them for the rear. If you have to brake hard with chains only on the front, the rear wheels will lock and slide, making the rear end want to come around.

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4-Wheel-Drive Clubs And Activities What They Can Do For You

With the high interest in off-roading many recreational opportunities have opened up. Across America, more than 1,500 4-wheel-drive clubs have been formed. Their role: To make 4-wheeling more than just transportation, to make it an enjoyable, exciting family pastime. Clubs can be organized for many reasons, depending upon the common interests of the people involved. Some like the challenge of competitive events. Others become dedicated to the specially organized search-and-rescue units. And still others take great pride and pleasure in projects which further the cause of conservation. Whatever your reason, being a member of a 4-wheel-drive club can be an enjoyable, rewarding and productive experience. All you need to start a club are some enthusiastic 4-wheelers, a name for your club and a club philosophy to be shared by the members. Then once you've organized and elected officers, you'll find a great variety of events and activities in which to take part. 4-wheel-drive trail drives, rallies, safety clinics, obstacle course events, women's events, ecology and clean-up drives are all popular club activities. In addition, affiliation with one of the regional member associations of United Four Wheel Drive Associations offers the advantage of learning about regulations, legislation, safety and 4-wheel-drive events as well as other club activities which might affect clubs. For more information write: Jeep Corporation, 37200 Amrhein Road, Livonia, Michigan 48150, ATTN: 4WD Club Information.

Special Off-Road Uses: Rallies And Racing

If you want to participate in competition events in your 4-wheel-drive vehicle, you have a wide choice. You can find ones that range all the way from informal family tours or club sponsored hill climbs to all-out off-pavement races in Baja, California or full-scale international rally type events like the infamous "London-to-Sydney Rally". Safety is a prime concern for all events. The extent of safety equipment preparation will depend on the activity in which you participate. Even the most casual club event will require seat belts, a roll bar and a crash helmet. In competition, most race organizations insist on a fully braced and gusseted rollcage along with such things as competition seat harness, fire extinguisher, flame-resistant driving suit, fuel cells and so on. Double shocks, reinforced frame, beefed-up suspension, highly modified engine and drive train and even lightweight body parts are really helpful, too.

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Tips On Saving Fuel More than ever before, fuel economy is the password to the 80's. How do you get it without sacrificing the freedom and enjoyment you got your 4-wheel-drive vehicle for? Here are some helpful fuel tips.

• Plan ahead. That means, know where you're going and how to get there before you leave. Naturally you'll want to leave home with a full tank as well as make sure you'll fill up on your return. Some private camping areas have even installed their own fuel storage tanks and will guarantee a tank of gas when you stay overnight. • Drive with the windows closed whenever you can. Open windows add substantially to wind drag. And the more wind drag, the more gas used. In fact, at highway speeds mileage can be lowered up to 10 per cent when the windows are open. • Slow down. Speed kills any hopes of gas efficiency. The best idea is to keep your top speed under 55 mph. After you find a steady speed, maintain it. Changing speed by as little as 4 mph can increase fuel consumption by over 1 mile per gallon. Remember, don't brake unnecessarily. • If you're going to idle longer than 60 seconds, you save gas by turning the engine off. An idling engine wastes about a quart of gas every 15 minutes. And don't warm up the engine by idling. It warms up faster by driving. • "Jack Rabbit" starts are disastrous on gas mileage. Accelerate slowly. Transportation tests have proved that jumpy starts and fast getaways can burn over 50% more gasoline than normal acceleration. • Keep your eye on the road. Ease up on the pedal if you see a traffic jam ahead. It can take up to 20% more gas to get to normal speed from a full stop than it does from 4 mph. • Maintain your Jeep vehicle. Keep the engine properly tuned. Use the proper multi-weight motor oil, preferably a synthetic. Make sure your air filter's clean. Add 4 or 5 psi to the correct tire pressure. In other words, do what you have to, to put your vehicle in top condition. Then keep it that way. You could stretch gas mileage by 15%. • Don't overload. Recall the unnecessary gear you had with you on your last trip! • Avoid filling your tank to the brim, because gas expands in the sun. Buy your gas in the morning when you start driving. This way when the sun gets to it, it'll have room to expand in your tank.

A Postscript To 4-Wheelers The key to your 4-wheel-drive vehicle unlocks a whole new world. Yours to enjoy and make the most of. You are now armed with many of the facts and lots of information to make your off-road journeys successful ones. We will leave you with some last-minute hints and words to the wise!

• Leave every place you've been as beautiful and serene as you found it. • Be prepared for emergencies! Always carry a first aid kit, extra food and water, a compass, a "Confidence Kit" made up of tools, tire irons, jacks, CB Radio, etc. You won't regret it.

• If you've gone too far off-road and are just plain lost, stay calm. Use your compass, try to orient yourself and conserve some gas. You'll need it to get out. • Use your common sense. It generally works when all else fails. • Travel in groups, no less than two vehicles per group. • Secure permission to travel on trails, or make sure you're driving on approved 4-wheel-drive terrain. • Take care of your vehicle...it will take care of you.

• Wear Seat Belts At All Times.

And Lastly, Welcome To The Exciting World Of 4-Wheeling!

229 Decision and Order

[illegible]

Wear Seat Belts At All Times.

Jeep A Subsidiary Of American Motors Corporation Jeep Sales Promotion & Merchandising 27777 Franklin Road, Southfield, MI. 48034 Part # 575 2230 First Printing LITHO USA 8/81

Complaint 100 F.T.C.

IN THE MATTER OF

THE TIMES MIRROR COMPANY, INC.

DISMISSAL ORDER, ETC., IN REGARD TO ALLEGED VIOLATION OF SEC. 5 OF THE FEDERAL TRADE COMMISSION ACT

Docket 9103. Complaint, July 27, 1977—Dismissal Order, July 8, 1982

This order returns the matter to adjudication and dismisses the complaint charging a Los Angeles, Calif. publisher with adversely affecting competition by the use of a discriminatory rate structure for run-of-the-paper and suburban display advertising. Having considered the views of the parties and the comments received from the public, the Commission concluded that the public interest would best be served by rejecting the consent agreement and dismissing the complaint.

Appearances

For the Commission: Carleton C. Eastlake, Jon R. Calhoun and Caprice L. Collins.

For the respondent: Julian O. von Kalinowski, John J. Hanson, J. Edd Stepp, Jr., Joseph A. Collins and R.C. Lobdell, Gibson, Dunn & Crutcher, Los Angeles, Calif.

COMPLAINT

Pursuant to the provisions of the Federal Trade Commission Act (15 U.S.C. 41, et seq.) and by virtue of the authority vested in it by said Act, the Federal Trade Commission, having reason to believe that the party listed in the caption hereof and more particularly described and referred to hereinafter as respondent, has violated the provisions of Section 5 of the Federal Trade Commission Act, as amended, (15 U.S.C. 45) and Section 2(a) of the Clayton Act, as amended, (15 U.S.C. 13) and it appearing to the Commission that a proceeding by it in respect thereof would be in the interest of the public, hereby issues its complaint, stating its charges as follows:

PARAGRAPH 1. Respondent Times-Mirror Company, Inc. is a corporation organized on or about October 6, 1884, and is existing and doing business under and by virtue of the laws of the State of California. Respondent maintains its home office and principal place of business at Times-Mirror Square, Los Angeles, California. PAR. 2. Respondent is the largest publicly-held publishing company in the United States. Its newspaper publishing revenues were