Digest of Cease and Desist Orders, Blauner’s and George Gorsen

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Title 16— COMMERCIAL PRACTICES Chapter I— Federal Trade Commission SUBCHAPTER A— PROCEDURES, RULES OF PRACTICE, AND ORDERS [Docket 6955] PART 13— DIGEST OF CEASE AND DESIST ORDERS Blauner’s and George Gorsen Subpart— Advertising falsely or mis­ leadingly: §*13.30 Composition of goods: Fur Products Labeling Act; § 13.155 Prices:

Comparative; percentage sav­ ings; usual as reduced, special, etc. Subpart— Invoicing products falsely:

§ 13.1108 Invoicing products falsely:

Fur Products Labeling Act. Subpart— Misbranding or mislabeling: § 13.1196 Composition: Fur Products Labeling Act; § 13.1212 Formal regulatory and statu­ tory requirements: Fur Products Label­ ing Act.

Subpart—Neglecting, unfairly or deceptively, to make material dis­ closure:

§ 13.1845 Composition: Fur Products Labeling Act; § 13.1865 Manu­ facture or preparation: Fur Products Labeling Act; § 13.1886 Quality, grade or type of product.

(Sec. 6, 38 Stat. 721; 15 U.S.C. 46. Interpret or apply sec. 5, 38 Stat. 719, as amended; sec. 8, 65 Stat. J79; 15 U.S.C. 45, 69f) [Cease and desist order, Blauner's et al., Philadelphia, Pa., Docket 6955, May 8, 1959] This proceeding was heard by a hear­ ing examiner oir the complaint of the Commission charging a department store in Philadelphia, Pa., with violating the Fur Products Labeling Act by failing to comply with the labeling and invoicing requirements, and by advertising in newspapers which falsely identified the animals producing certain furs and failed to disclose that certain products contained artificially colored or cheap fur, which compared “original” prices with “now” prices without designating the time of the former and used com­ parative prices and percentage savings claims and represented prices at reduced without maintaining adequate records as a basis for such claims. After acceptance of an agreement for a consent order, the hearing examiner made his initial decision and order to cease and desist which became on May 8 the decision of the Commission. The order to cease and desist is as follows:

It is ordered, That respondent Blaun­ er’s, a corporation, and its officers, and respondent’s representatives, agents, and employees, directly or through any cor­ porate or other device, in connection with the introduction into commerce, or the sale, advertising, or offering for sale, in commerce, or the transportation or distribution, in commerce, of fur prod­ ucts, or in connection with the offering "for sale, sale, advertising, transportation or distribution of fur products which have been made in whole or in part of fur which has been shipped and received in commerce, as “commerce”, “ fur”, and “fur product” are defined in the Fur Products Labeling Act, do forthwith cease and desist from:

. 1. Misbranding fur products by: A.

Failing to affix labels to fur prod­ ucts showing:

(1) The name or names of the animal or animals producing the fur or furs contained in the fur product, as set forth in the Fur Products Name Guide and as prescribed under the rules and regu­ lations;

(2) That the fur product contains or is composed of used fur, when such is the fact;

(3) That the fur product contains oris composed of bleached, dyed, or otherwise artificially colored fur, when such is tn (4) That the fur product is composed, in whole or in substantial part, of P» > tails, bellies, or waste fur, when sue the fact;

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FEDERAL REGISTER Tuesday, June 2, 1959 (5) The name or other identification issued and registered by the Commission, of one or more persons who manufac­ tured such fur product fo r introduction into commerce, introduced it into com­ merce, sold it in commerce, advertised or offered it for sale in commerce, or transported or distributed it in com- (6) The name of the country of origin of any imported furs used in the fur product;

(7) The item number or mark as­ signed to a fur product. B.

Setting forth on labels affixed to fur products;

(1) Information required under sec­ tion 4(2) of the Pur Products Labeling Act and the rules and regulations there­ under in abbreviated form; (2) Information required under sec­ tion 4(2) of the Pur Products Labeling Act and rules and regulations there­ under, mingled with non-required infor­ mation.

2.

Falsely or deceptively invoicing fur products by:

A.

Failing to furnish invoices to purchasers of fur products showing: > (1) The name or names of the animal or animals producing the fur or furs con­ tained in the fur product, as set forth in the Fur Products Name Guide and'as prescribed under the rules jm d regula­ tions;

(2) That the fur product contains or is composed of used fur, when such is the fact;

(3) That the fur product contains or . is composed of bleached, dyed, or arti­ ficially colored fur, when such is the fact; (4) That the fur product is composed, in whole or in substantial part, of paws, tails, bellies, or waste fur, when such is the fact;

(5) The name and address of the per­ son issuing such invoices; ' (6) The name of the country of origin of any imported furs contained in the fur product.

B. Setting forth on invoices informa­ tion required under section 5(b) ( 1) oi the Fur Products Labeling Act and the rffles and regulations thereunder in abbreviated form.

3. Falsely or deceptively advertising r Products through the use of any ad­ vertisement, representation, public announcement, or notice which is intended m X ?r°I?ote or assist, directly or indifnr J ’ sale,jar offering for sale, oi iur products, and which; A. Fails to disclose:

imlV 3 e .nan}e or names of the anfurs Producing the fur oi fur Product?« c S id e l^ n the Pur Products Name m under the rule£ is corn's^ th? j ur product contains oi wise artifipLvf Reached, dyed or other- • istheT^f.

Uy colored fnr, when such inwhole^i S e ^ P ro d u c t is composed tails, bellies ^ subs^antial part of paws the fact. ^ °r Waste fur* when such i£ animS>orai^ i.Ili name or names of anj or names oftH**18 ?ther the name No io7 ^ aiumal or animals thal produced the fur from which the fur product was manufactured. C.

Makes use of comparative prices by setting forth an earlier bona fide price of the fur product, unless the designated time of such earlier price is given.

4. Making price claims or representa­ tions in advertisements respecting com­ parative prices, percentage savings claims and reduced prices of furs or fur products unless respondent main­ tains adequate records disclosing the facts upon which such claims or rep­ resentations are based. It is further ordered, That the com­ plaint be, and hereby is, dismissed as to George Gorsen, individually and as an employee of said corporation. By “Decision of the Commission'’, etc., report of compliance was required as follows:

It is further ordered, That the re­ spondent Blauner’s, a corporation, shall, within sixty (60) days after service upon it of this order, file with the Commission a report, in writing, setting forth in de­ tail the manner and form hi which it has complied with the order contained in said initial decision.

Issued: May 8, 1959.

By the Commission.

[ se a l] R obert M . P ar r ish, Secretary.

[F.R. Doc. 59-4555; Filed, June 1, 1959; - 8:46 a.m.]