Revlon, Inc

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IN THE MATTER OF REVLON, INC., ET AL.

CONSENT ORDER, ETC., INREGARD TO ALLEGED VIOLATION OF SECS. 5 AND 12 OF THE FEDERAL TRADE COMMISSION ACT Docket 9231. Amended Complaint, Nov. 17, 1993--Decision, Nov. 17, 1993 This consent order requires, among other things, a New York-based corporation and its subsidiary to have scientific evidence to support any future claims regarding the effectiveness of cellulite treatments or sunscreen products. Respondents also are required to disclose the sun protection factor value in any sunscreen advertisement in which it proclaims the ability of the product to protect against the sun's rays.

Appearances For the Commission: Phoebe D. Morse, Gary S. Cooper and Brinley H. Williams.

For the respondents: Jrvin Scher and Randy Tritell, Weil, Gotshal & Manges, New York, N.Y.

AMENDED COMPLAINT Pursuant to the provisions of the Federal Trade Commission Act, as amended, and by virtue of the authority invested in it by said Act, the Federal Trade Commission, having reason to believe that Revion, Inc., and Charles Revson, Inc., corporations (collectively referred to as respondents), have violated the provisions of said Act, and it appearing to the Commission that a proceeding by it in respect thereof would be in the public interest, alleges: PARAGRAPH 1. Revlon, Inc., is a Delaware corporation, and Charles Revson, Inc., is a New York corporation, each having its office or principal place of business located at 767 Fifth Avenue, New York, N.Y. Charles Revson, Inc., is a wholly-owned subsidiary of Revlon, Inc.

REVLON, INC., ET AL. 1327 1326 Amended Complaint PAR. 2. Respondents have advertised, offered for sale, sold and distributed (1) Ultima II ProCollagen Anti-cellulite body complex ("Anti-cellulite body complex"); and (2) Photo Aging Shield. PAR. 3. Anti-cellulite body complex and Photo Aging Shield are drugs or 5 1 3 2 2 5 923 869 212 37 88.489090 cosmetics within the meaning of Section 12 of the Federal Trade Commission Act, 15 U.S.C. 52. , PAR. 4. The acts and practices alleged in this complaint constitute the maintenance of a substantial course of trade in or affecting commerce, as commerce is defined in the Federal Trade Commission Act.

PAR. 5. Respondents have disseminated or have caused to be disseminated advertisements and promotional materials for Anti-cellulite body complex and Photo Aging Shield. These advertisements and promotional materials contain the following statements:

a. Now,5 1 4 1 1 3 840 1566 106 28 96.728149 thanks5 1 4 1 1 4 960 1570 30 24 96.824738 to5 1 4 1 1 5 1005 1565 112 29 96.379288 Ultima5 1 4 1 1 6 1131 1566 24 28 76.584030 II5 1 4 1 1 7 1171 1566 158 33 96.077019 Research,5 1 4 1 1 8 1345 1575 38 20 96.689209 no5 1 4 1 1 9 1398 1575 118 20 96.914688 woman5 1 4 1 1 10 1531 1566 53 29 96.779289 has5 1 4 1 1 11 1599 1571 29 24 96.998123 to5 1 4 1 1 12 1643 1566 99 37 95.874344 resign5 1 4 1 1 13 1756 1566 112 29 96.828369 herself5 1 4 1 1 14 1880 1571 30 24 96.914398 to4 1 4 1 2 0 591 1613 1165 38 -1 5 1 4 1 2 1 591 1614 191 27 96.321571 unattractive5 1 4 1 2 2 795 1614 119 36 96.512787 ripples,5 1 4 1 2 3 928 1613 112 37 96.713394 bumpy5 1 4 1 2 4 1053 1619 122 28 96.421768 texture,5 1 4 1 2 5 1189 1614 57 27 93.212898 ands 1 4 1 2 6 1259 1614 152 28 91.949707 slackness5 1 4 1 2 7 1424 1614 110 28 96.996109 caused5 1 4 1 2 8 1547 1614 39 37 96.717720 by5 1 4 1 2 9 1599 1614 157 28 82.648262 cellulite.”3 1 4 2 0 0 590 1661 1319 183 -1 4 1 4 2 1 0 664 1661 1245 38 -1 5 1 4 2 1 1 664 1661 26 29 90.269295 b.5 1 4 2 1 2 715 1661 187 37 93.288597 Massaging Anti-cellulite body complex into the skin attacks your cellulite problems two ways: first, it increases skin circulation to help disperse toxins and excess water that contribute to cellulite pockets, and second, it builds sub-skin tissue strength and tone for smoother support." c. You'll5 1 4 3 1 3 843 1861 50 20 96.903275 sees 1 4 3 1 4 905 1852 105 29 96.680573 results5 1 4 3 1 5 1024 1851 74 30 96.177361 after5 1 4 3 1 6 1105 1852 62 38 96.177361 just5 1 4 3 1 7 1180 1861 91 20 96.381386 seven5 1 4 3 1 8 1285 1858 28 23 96.229370 to5 1 4 3 1 9 1326 1857 49 24 96.946960 tens 1 4 3 1 10 1387 1853 73 37 97.001289 days5 1 4 3 1 11 1473 1852 35 29 96.956757 of5 1 4 3 1 12 1518 1852 81 38 96.818352 daily5 1 4 3 1 13 1612 1853 78 28 76.339218 use.”3 1 4 4 0 0 589 1900 1321 182 -1 4 1 4 4 1 0 664 1900 1243 38 -1 5 1 4 4 1 1 664 1901 27 29 90.012939 d.5 1 4 4 1 2 721 1901 114 29 83.603073 While you can't prevent biological aging, you can prevent Photoaging. That's because now Ultima II Research Laboratories have developed a product designed to prevent Photoaging. This revolutionary product acts as a shield for your skin.”

e. It's5 1 4 5 1 3 786 2093 95 29 96.297699 called5 1 4 5 1 4 893 2092 93 30 96.585068 Photos 1 4 5 1 5 998 2092 99 37 96.585068 Aging5 1 4 5 1 6 1111 2092 103 29 96.717018 Shields 1 4 5 1 7 1226 2093 58 28 96.763916 ands 1 4 5 1 8 1297 2092 43 30 90.908463 it's5 1 4 5 1 9 1354 2101 33 20 96.264763 so5 1 4 5 1 10 1399 2093 164 37 96.389130 protective5 1 4 5 1 11 1577 2093 20 28 96.579613 it5 1 4 5 1 12 1609 2093 128 37 96.579613 actually5 1 4 5 1 13 1751 2092 156 37 96.397858 intercepts4 1 4 5 2 0 589 2139 908 40 -1 5 1 4 5 2 1 589 2141 160 38 96.671547 damaging5 1 4 5 2 2 761 2141 74 37 96.031181 lights 1 4 5 2 3 847 2149 100 20 96.667938 waves5 1 4 5 2 4 960 2139 103 30 96.636490 before5 1 4 5 2 5 1076 2140 69 37 96.577736 they5 1 4 5 2 6 1158 2145 149 33 96.877426 penetrates 1 4 5 2 7 1319 2149 75 29 97.002083 yours 1 4 5 2 8 1406 2140 91 30 80.160858 skin.”2 1 5 0 0 0 588 2249 1319 162 -1 3 1 5 1 0 0 588 2249 1319 162 -1 4 1 5 1 1 0 662 2249 1245 45 -1 5 1 5 1 1 1 662 2250 104 34 96.623718 PAR.5 1 5 1 1 2 795 2249 32 36 95.904427 6.5 1 5 1 1 3 877 2249 169 45 95.887077 Through5 1 5 1 1 4 1072 2250 58 34 96.629799 thes 1 5 1 1 5 1157 2260 63 24 96.589394 uses 1 5 1 1 6 1246 2249 43 35 96.774673 of5 1 5 1 1 7 1311 2250 58 34 96.751747 thes 1 5 1 1 8 1396 2255 205 29 96.699226 statements5 1 5 1 1 9 1628 2250 156 34 96.233650 referred5 1 5 1 1 10 1810 2256 35 28 96.700096 to5 1 5 1 1 11 1871 2249 36 35 96.812798 in4 1 5 1 2 0 588 2307 1319 46 -1 5 1 5 1 2 1 588 2308 197 45 96.510872 paragraphs 1 5 1 2 2 819 2307 85 40 95.670731 five,5 1 5 1 2 3 938 2307 235 45 95.748688 respondents5 1 5 1 2 4 1207 2307 91 34 96.550217 have5 1 5 1 2 5 1332 2308 238 44 96.263420 represented,5 1 5 1 2 6 1605 2307 149 45 95.899338 directly5 1 5 1 2 7 1788 2318 40 24 95.899338 or5 1 5 1 2 8 1859 2307 48 45 96.671776 by4 1 5 1 3 0 588 2365 334 46 -1 5 1 5 1 3 1 588 2365 234 46 96.671906 implication,5 1 5 1 3 2 839 2365 83 35 96.922714 that:2 1 6 0 0 0 586 2481 1319 161 -1 3 1 6 1 0 0 586 2481 1319 161 -1 4 1 6 1 1 0 662 2481 1227 45 -1 5 1 6 1 1 1 662 2492 29 23 93.212173 a.5 1 6 1 1 2 721 2481 262 34 90.377029 Anti-cellulite5 1 6 1 1 3 998 2481 96 45 96.835922 body5 1 6 1 1 4 1110 2481 168 45 96.387253 complex5 1 6 1 1 5 1295 2481 244 45 96.488449 significantly5 1 6 1 1 6 1555 2482 149 33 96.387001 reduces5 1 6 1 1 7 1720 2481 169 40 96.387001 cellulite;4 1 6 1 2 0 661 2539 1244 45 -1 5 1 6 1 2 1 661 2540 33 34 83.625526 b.5 1 6 1 2 2 727 2539 262 35 83.625526 Anti-cellulite5 1 6 1 2 3 1006 2539 95 44 95.619789 body5 1 6 1 2 4 1118 2539 168 45 95.619789 complex5 1 6 1 2 5 1303 2540 148 34 96.432434 reduces5 1 6 1 2 6 1469 2539 108 35 93.952896 skin's5 1 6 1 2 7 1593 2539 135 45 93.163414 bumpy5 1 6 1 2 8 1759 2545 146 33 93.163414 texture,4 1 6 1 3 0 586 2596 783 46 -1 5 1 6 1 3 1 586 2597 133 45 96.651947 ripples5 1 6 1 3 2 735 2608 39 24 93.234993 or5 1 6 1 3 3 790 2597 182 35 91.615356 slackness5 1 6 1 3 4 988 2597 133 34 96.572723 caused5 1 6 1 3 5 1136 2597 47 44 96.659111 by5 1 6 1 3 6 1198 2596 171 41 96.494385 cellulite; Decision and Order 116 F.T.C.

c. Anti-cellulite body complex helps disperse toxins and excess water from areas where cellulite appears; d. Anti-cellulite body complex increases sub-skin tissue strength and tone;

e. Photo Aging Shield blocks all of the harmful rays which cause photoaging.

PAR. 7. Through the use of the statements referred to in paragraph five, respondents have represented, directly or by implication, that they possessed and relied upon a reasonable basis for the representations set forth in paragraph six at the time such representations were made.

PAR. 8. In truth and in fact, respondents did not possess and rely upon a reasonable basis for the representations set forth in paragraph six at the time such representations were made. Therefore, the representation set forth in paragraph seven was, and is, false and misleading.

PAR. 9. Respondents’ dissemination of the false and misleading representations as alleged in this complaint, and the placement in the hands of others of the means and instrumentalities by and through which others may have used said false and misleading representations, constitute unfair or deceptive acts or practices in or affecting commerce, and false advertisements, in violation of Sections 5(a) and 12 of the Federal Trade Commission Act. DECISION AND ORDER The Federal Trade Commission having heretofore issued its Complaint charging the respondents named in the caption hereof with violations of Sections 5 and 12 of the Federal Trade Commission Act, as amended, and the respondents having been served with a copy of that complaint, together with a notice of contemplated relief; and The respondents, their attorney, 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 REVLON, INC., ET AL. 1329 1326 Decision and Order forth in the aforesaid 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 Secretary of the Commission having thereafter withdrawn this matter from adjudication in accordance with Section 3.25(c) of its Rules; and The Commission having considered the matter 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 3.25(f) of its Rules, the Commission hereby makes the following jurisdictional findings and enters the following order: 1. Respondent Revlon, Inc. is a corporation organized, existing and doing business under and by virtue of the laws of the State of Delaware, with its office and principal place of business located at 767 Fifth Avenue, New York, New York. Respondent Charles Revson, Inc. is a corporation organized, existing and doing business under and by virtue of the laws of the State of New York, with its office and principal place of business located at 767 Fifth Avenue, New York, New York.

2. Respondents have been served with a copy of the aforesaid complaint issued on September 7, 1989, by the Federal Trade Commission in Docket No. 9231 charging respondents with violations of Sections 5 and 12 of the Federal Trade Commission Act, as amended. Respondents have filed an answer to that complaint denying the charges. Respondents have also been the subject of a separate investigation conducted by the Cleveland Regional Office of the Federal Trade Commission in File No. 882 3110. This decision and order is intended to resolve both the matters contained in the complaint issued on September 7, 1989, and the matters involved in the separate investigation in File No. 882 3110.

Decision and Order 116 F.T.C.

3. The Federal Trade Commission has jurisdiction of the subject matter of this proceeding and of the respondents; the proceeding is in the public interest; and respondents admit all the jurisdictional facts set forth in the amended complaint. ORDER DEFINITIONS For purposes of this order:

1. Competent5 1 6 1 1 3 989 1264 73 35 96.140030 ands 1 6 1 1 4 1075 1263 147 36 96.764236 reliable5 1 6 1 1 5 1234 1262 174 46 96.751282 scientific5 1 6 1 1 6 1421 1262 186 36 94.108833 evidence shall mean tests, analyses, research, studies, consumer surveys, samples or other evidence based on the expertise of professionals in the relevant area, that has been conducted and evaluated in an objective manner by persons qualified to do so, using procedures generally accepted in the profession to yield accurate and reliable results. 2. Sunscreen5 1 6 2 1 3 974 1612 171 46 94.312904 product shall mean any chemical product which, pursuant to applicable federal standards, is entitled to display a Sun Protection Factor (SPF) of 2 or greater, and which is advertised or promoted to be used for prevention of skin damage caused by the sun's harmful rays including, but not limited to, sunburn, premature skin aging and skin cancer.

It is ordered, That Revlon, Inc., and Charles Revson, Inc., corporations (collectively referred to as “respondents), their successors and assigns, and their officers, agents, representatives, and employees, directly or through any corporation, subsidiary, division, or other device, in connection with the advertising, labeling, packaging, offering for sale, sale, or distribution of Anti-cellulite body complex or any other product, in or affecting commerce, as commerce is defined in the Federal Trade Commission Act, do forthwith cease and desist from making any representation, directly or by implication, REVLON, INC., ET AL. 1331 1326 Decision and Order A. Regarding the product's ability to reduce or eliminate cellulite;

B. Regarding the product's ability to reduce bumpy texture, ripples, or slackness of the skin caused by cellulite; C. Regarding the product's ability to disperse toxins or excess water from areas where cellulite appears; or D. Regarding the product's ability to reduce or eliminate cellulite by increasing sub-skin tissue strength or tone, unless at the time of making such representation, they possess and rely upon competent and reliable scientific evidence that substantiates the representation.

I.

It is further ordered, That Revlon, Inc., and Charles Revson, Inc., corporations, their successors and assigns, and their officers, agents, representatives, and employees, directly or through any corporation, subsidiary, division, or other device, in connection with the advertising, labeling, packaging, offering for sale, sale, or distribution of Photo Aging Shield or any other sunscreen product, in or affecting commerce, as commerce is defined in the Federal Trade Commission Act, do forthwith cease and desist from making any representation, directly or by implication, regarding the efficacy, other than identifying the SPF value, of such product in providing protection against all or a specific amount of the sun's harmful rays, unless:

A. At the time of making such representation, they possess and rely upon competent and reliable scientific evidence that substantiates the representation, provided that, with respect to any representation covered by this part, any tentative final or final standard promulgated by the Food and Drug Adrninistration (FDA) which establishes that such representation is supported by scientific evidence acceptable to the FDA, shall (as long as it remains in Decision and Order 116 F.T.C.

effect) also constitute adequate substantiation for such representation; and B. Respondents disclose, clearly and prominently, the SPF value of the product.

I.

It is further ordered, That, for a period of three (3) years from the date that any representation covered by this order is last disseminated, respondents shall maintain and upon request make available to the Commission for inspection and copying, A. All materials that were relied upon to substantiate such representation; and B. All test reports, studies, surveys, demonstrations or other evidence in respondents’ possession or control, that contradict, qualify, or call into question such representation or the basis upon which respondents relied for such representation. IV.

It is further ordered, That respondents shall notify the Commission at least thirty (30) days prior to any proposed change in the corporate respondents such as dissolution, assignment, or sale resulting in the emergence of successor corporations, the creation or dissolution of subsidiaries, or any other change in the corporations which may affect compliance obligations arising out of this order. V.

It is further ordered, That respondents shall distribute a copy of this order to each of their current operating divisions, to each officer and other person responsible for the preparation or review of advertising or promotional material covered by this order, and to all of respondent Charles Revson, Inc.'s Beauty Advisors. REVLON, INC., ET AL. 1333 1326 Decision and Order VI.

It is further ordered, That respondents shall, within sixty (60) days after service of this order and at such other times as the Commission may require, file with the Commission a report, in writing, setting forth in detail the manner and form in which they have complied with this order.

Complaint 116 F.T.C.