[Federal Register Volume 61, Number 103 (Tuesday, May 28, 1996)]
[Notices]
[Pages 26505-26507]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-13203]



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CONSUMER PRODUCT SAFETY COMMISSION
[CPSC Docket No. 96-C0006]


Burlington Coat Factory Warehouse Corp., a Corporation; 
Provisional Acceptance of a Settlement Agreement and Order

AGENCY: Consumer Product Safety Commission.

ACTION: Provisional acceptance of a settlement agreement under the 
Consumer Product Safety Act.

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SUMMARY: It is the policy of the Commission to publish settlements 
which it provisionally accepts under the Consumer Product Safety Act in 
the Federal Register in accordance with the terms of 16 CFR Section 
1605.13. Published below is a provisionally-accepted Settlement 
Agreement with Burlington Coat Factory Corp., a corporation.

DATES: Any interested person may ask the Commission not to accept this 
agreement or otherwise comment on its contents by filing a written 
request with the Office of the Secretary by June 12, 1996.

ADDRESSES: Persons wishing to comment on this Settlement Agreement 
should send written comments to the Comment 96-C0006, Office of the 
Secretary, Consumer Product Safety Commission, Washington, D.C. 20207.

FOR FURTHER INFORMATION CONTACT:
William J. Moore, Jr., Trial Attorney, Office of Compliance and 
Enforcement,

[[Page 26506]]

Consumer Product Safety Commission, Washington, D.C. 20207; telephone 
(301) 504-0626.

SUPPLEMENTARY INFORMATION: The text of the Agreement and Order appears 
below.

    Dated: May 20, 1996.
Sadye E. Dunn,
Secretary.

Consent Order Agreement

    Burlington Coat Factory Warehouse Corporation (``Burlington Coat 
Factory'' or ``Respondent'') enters into this Consent Order Agreement 
with the staff (``the staff'') of the Consumer Product Safety 
Commission (``the Commission'') pursuant to the procedures set forth in 
section 1605.13 of the Commission's Procedures for Investigations, 
Inspections, and Inquiries under the Flammable Fabrics Act (FFA), 16 
CFR part 1605.
    This Agreement and Order are for the sole purpose of settling 
allegations of the staff that Respondent sold certain ladies' rayon 
sheer chiffon skirts and scarves that failed to comply with the 
Standard for the Flammability of Clothing Textiles 16 CFR part 1610 
(``the general wearing apparel standard'').

Respondents and the Staff Agree

    1. The Consumer Product Safety Commission is an independent 
regulatory agency of the United States government. The Commission has 
jurisdiction over this matter under the Consumer Product Safety Act, 15 
U.S.C. 2051 et seq. (CPSA), the Flammable Fabrics Act, 15 U.S.C. 1191 
et seq. (FAA) and the Federal Trade Commission Act, 15 U.S.C. 41 et 
seq. (FTC).
    2. Respondent Burlington Coat Factory is a corporation organized 
and existing under the laws of the State of Delaware with principal 
corporate offices at 1830 Route 130, Burlington, New Jersey 08016.
    3. Respondent is now, and has been, engaged in one or more of the 
following activities: the sale, or the offering for sale, in commerce, 
or the delivery for introduction, transportation in commerce, or the 
sale or delivery after sale or shipment in commerce, of womens' skirts 
and scarves subject to the general wearing apparel standard.
    4. This Agreement is for the sole purpose of settling the 
allegations in the accompanying Complaint. The Agreement becomes 
effective only upon its final acceptance by the Commission and service 
of the incorporated Order upon Respondent. The parties agree to entry 
of the attached Order, which is incorporated herein by reference.
    5. Respondent specifically denies the allegations contained in 
paragraphs 3-5 of the accompanying Complaint. In particular, Respondent 
contends that it did not knowingly sell rayon sheer chiffon skirts and 
scarves that violated the flammability requirements of the general 
wearing apparel standard. Nothing in this Agreement constitutes an 
admission by Respondent that it violated the law.
    6. Respondent further contends that it has received no reports of 
injuries from the use of any products enumerated in this agreement or 
the accompanying Complaint. Respondent makes no admission of any fault, 
liability, or statutory violation. Nor does this Agreement constitute 
an admission by Respondent that it is paying a civil penalty; any 
payment referenced in paragraph II of the accompanying Order is solely 
to settle the Commission's contention that a civil penalty is 
appropriate.
    7. The parties agree that this Consent Order Agreement resolves the 
allegations of the accompanying Complaint. The Commission specifically 
waives its right to initiate any other criminal, civil or 
administrative action against the Respondent, its shareholders, 
officers, directors, employees, and agents with respect to those 
alleged violations.
    8. Respondent waives any rights to a formal hearing as to any 
findings of fact and conclusions of law regarding the allegations set 
forth in the Complaint. Respondent waives any right to seek judicial 
review or otherwise challenge or contest the validity of the 
Commission's Order.
    9. The Commission may disclose the terms of this Consent Order 
Agreement to the public consistent with Section 6(b) of the CPSA.
    10. This Agreement and the Complaint accompanying the Agreement may 
be used in interpreting the incorporated Order. Agreements, 
understandings, representations or interpretations made outside of this 
Consent Order Agreement may not be used to vary or contradict its 
terms.
    Upon acceptance of this Agreement, the Commission shall issue the 
following order.
    By:
Paul C. Tang,
Vice President and General Counsel, Burlington Coat Factory, Warehouse 
Corporation, 1830 Route 130, Burlington, New Jersey 08016.
    Date: April 12, 1996.
    By:
William J. Moore, Jr.,
Trial Attorney, Division of Administrative Litigation.
    Date: April 12, 1996.
Eric L. Stone,
Acting Director, Division of Administrative Litigation.
David Schmeltzer,
Assistant Executive Director, Office of Compliance, Consumer Product 
Safety Commission, Washington, DC 20207.

Order

    Upon consideration of the Agreement of the parties

I

    It is hereby ordered That Respondent, its successors and assigns, 
agents, representatives, and employees, directly or through any 
corporation, subsidiary, division, or other business entity, or through 
any agency, device or instrumentality, do forthwith cease and desist 
from selling or offering for sale, in commerce, or introducing, 
delivering for introduction, transporting or causing to be transported, 
in commerce, or selling or delivering after sale or shipment in 
commerce, any 100% rayon sheer chiffon skirts or scarves that fail to 
comply with the flammability requirements of the Standard for the 
Flammability of Clothing Textiles: 16 C.F.R. Part 1610.

II

    It is further ordered That Respondent pay to the United States 
Treasury a civil penalty of TWO HUNDRED FIFTY THOUSAND DOLLARS 
($250,000) within twenty (20) days after service upon Respondent of the 
Final Order.

III

    It is further ordered That for a period of three years following 
the service upon Respondent of the Final Order in this matter, 
Respondent notify the Commission within 30 days following the 
consummation of the sale of a majority of its stock or following a 
change in any of its corporate officers responsible for compliance with 
the terms of this Consent Agreement and Order.
    By direction of the Commission, this Consent Order Agreement is 
provisionally accepted pursuant to 16 C.F.R. Section 1605.13, and shall 
be placed on the public record, and the Secretary is directed to 
publish the provisional acceptance of the Consent Order Agreement in 
the Commission's Public Calendar and in the Federal Register.


[[Page 26507]]


    So ordered by the Commission, this 20th day of May, 1996.
Sadye E. Dunn,
Secretary, Consumer Product Safety Commission.

Complaint

    The staff of the Consumer Product Safety Commission (``staff'') 
contends that Burlington Coat Factory Warehouse Corporation, a 
corporation (``Respondent''), is subject to the provisions of the 
Consumer Product Safety Act, 15 U.S.C. 2051 et seq. (CPSA); the 
Flammable Fabrics Act, 15 U.S.C. 1191 et seq. (FFA); the Federal Trade 
Commission Act (15 U.S.C. 41 et seq. (FTC); and the Standard for the 
Flammability of Clothing Textiles, 16 C.F.R. part 1601 (``the general 
wearing apparel standard''). The staff further contends Respondent 
violated the general wearing apparel standard's provisions related to 
the flammability of certain women's rayon sheer chiffon skirts and 
scarves.
    Based upon the information provided to the Commission by the staff, 
the Commission determined it is in the public interest to issue this 
Complaint. Therefore, by virtue of the authority vested in the 
Commission by section 30(b) of the CPSA, 15 U.S.C. 2079(b); sections 3 
and 5 of the FFA, 15 U.S.C. 45; and in accordance with the Commission's 
Rules of Practice for Adjudicative Proceedings, 16 CFR Part 1025, the 
Commission hereby issues this Complaint and states the staff's charges 
as follows:
    1. Respondent Burlington Coat Factory is a corporation organized 
and existing under the laws of the State of Delaware with principal 
corporate offices at 1830 Route 130 N, Burlington, New Jersey, 08016.
    2. Respondent is and has been engaged in one or more of the 
following activities: the sale, or the offering for sale, in commerce, 
of women's sheer chiffon rayon skirts and scarves subject to the 
general wearing apparel standards.
    3. In 1994 and 1995, Respondent sold and offered for sale women's 
100% rayon sheer chiffon skirts and scarves that did not comply with 
the flammability requirements for general wearing apparel.
    4. As the result of these failures to comply with the general 
wearing apparel standard, Respondent sold, or offered for sale, in 
commerce, a significant number of women's garments purchased from 
several different importers that failed to comply with the general 
wearing apparel flammability standards.
    5. After being informed of the violations involving sheer chiffon 
skirts by the Commission staff in 1994, Respondent nevertheless sold 
and offered for sale sheer chiffon scarves that did not comply with the 
applicable flammability requirements.

Relief Sought

    Wherefore, the staff requests the Commission to issue an order 
requiring the Respondent to:
    Cease and desist from the sale, or the offering for sale, in 
commerce, delivery for introduction, transportation in commerce, or the 
sale or delivery after sale or shipment in commerce, of rayon sheer 
chiffon skirts and scarves subject to the general wearing apparel 
standards that fail to comply with such standards.
    Wherefore, the premises considered, the Commission hereby issues 
this Complaint on the ____ day of ______, 1996.

    Dated:

    By direction of the Commission:
David Schmeltzer,
Assistant Executive Director, Office of Compliance.
[FR Doc. 96-13203 Filed 5-24-96; 8:45 am]
BILLING CODE 6355-01-M