[Federal Register Volume 63, Number 62 (Wednesday, April 1, 1998)]
[Notices]
[Pages 15832-15833]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-8460]


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CONSUMER PRODUCT SAFETY COMMISSION

[CPSC Docket No. 98-C0009]


In the Matter of Monarch Towel Company, Inc., a Domestic 
Corporation; Provisional Acceptance of a Settlement Agreement and Order

AGENCY: Consumer Product Safety Commission.

ACTION: Provisional Acceptance of a Settlement Agreement under the 
Flammable Fabric Act.

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SUMMARY: It is the policy of the Commission to publish settlements 
which it provisionally accepts under the Flammable Fabric Act in the 
Federal Register in accordance with the terms of 16 CFR 1605.13. 
Published below is a provisionally-accepted Settlement Agreement with 
Safety 1st, Inc., a corporation, containing a civil penalty of $10,000.

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 April 16, 1998.

ADDRESSES: Persons wishing to comment on this Settlement Agreement 
should send written comments to the Comment 98-C0009, Office of the 
Secretary, Consumer Product Safety Commission, Washington, D.C. 20207.

FOR FURTHER INFORMATION CONTACT:
Dennis C. Kacoyanis, Trial Attorney, Office of Compliance and 
Enforcement, Consumer Product Safety Commission, Washington, D.C. 
20207; telephone (301) 504-0626.

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

    Dated: March 26, 1998.
Sadye E. Dunn,
Secretary.

Consent Order Agreement

    Monarch Towel Company, Inc., a domestic corporation, (hereinafter, 
``Respondent''), enters into this Consent Order Agreement (hereinafter, 
``Agreement'') with the staff of the Consumer Product Safety Commission 
(hereinafter, ``Commission'') pursuant to the procedures for Consent 
Order Agreements contained in 16 CFR 1605.13 of the Commission's 
Procedures for Investigations, Inspections, and Inquiries under the 
Flammable Fabrics Act (FFA), 16 CFR 1605.13.
    This Consent Order Agreement is for the sole purpose of settling 
allegations of the staff (a) that Respondent violated section 3(a) of 
the Flammable Fabrics Act (FFA), as amended, 15 U.S.C. 1192(a) and the 
Standards for the Flammability of Children's Sleepwear (hereinafter, 
``Standards''), 16 CFR Parts 1615 and 1616, as more fully set forth in 
the Complaint accompanying this Agreement; and (b) that Respondent 
knowingly violated section 3(a) of the FAA, as amended, 15 U.S.C. 
1192(a) and the Standards.

Respondent and the Staff Agree

    1. The Consumer Product Safety Commission has jurisdiction in this 
matter under the following Acts: Consumer Product Safety Act (15 U.S.C. 
2051 et seq.), Flammable Fabrics Act (15 U.S.C. 41 et seq.), and the 
Federal Trade Commission Act (15 U.S.C. 41 et seq.).
    2. Respondent Monarch Towel Company, Inc. is a corporation 
organized and existing under the laws of the State of New Jersey, with 
its principal place of business located at 737 Cortlandt Street, Perth 
Amboy, NJ 08861.
    3. Respondent is now and has been engaged in one or more of the 
following: the manufacture for sale, the sale, or the offering for 
sale, in commerce, or the importation, delivery for introduction, 
transportation in commerce, or the sale or delivery after sale or 
shipment in commerce, of a product, fabric, or related material which 
is subject to the requirements of the Flammable Fabrics Act, as 
amended, 15 U.S.C. 1191 et seq., and the Standards for the Flammability 
of Children's Sleepwear, 16 CFR Parts 1615 and 1616.
    4. Respondent denies the allegations of the Complaint that it 
violated section 3(a) of the FAA, as amended, 15 U.S.C. 1192(a) and the 
Standards.
    5. Respondent denies that it knowingly violated section 3(a) of the 
FFA, as amended, 15 U.S.C. 1192(a) and the Standards.
    6. This Agreement is entered into for the purposes of settlement 
only and does not constitute a determination by the Commission that 
Respondent (a) violated or (b) knowingly violated the FFA and the 
Standards.
    7. 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 agree to cease and desist from the manufacture for 
sale, the sale, or the offering for sale, in commerce, or the 
importation into the United States, or the introduction, delivery for 
introduction, transportation or causing to be transported, in commerce, 
or the sale or delivery after a sale or shipment in commerce, 
children's sleepwear that fails to comply with the flammability 
requirements of the Standards for the Flammability of Children's 
Sleepwear, 16 CFR Parts 1615 and 1616.
    8. Respondent agrees to pay in settlement of the staff's 
allegations a civil penalty of $10,000 as set forth in the incorporated 
Order.
    9. This Agreement does not constitute an admission by Respondent 
that a civil penalty is appropriate.
    10. This Agreement becomes effective only upon its final acceptance 
by the Commission and service of the incorporated Order upon 
Respondent.
    11. Upon final acceptance of this Consent Order Agreement by the 
Commission and issuance of the Final Order, Respondent knowingly, 
voluntarily, and completely waives any rights it may have in this 
matter (a) to an administrative or judicial hearing, (b) to judicial 
review or other challenge or contest of the validity of the 
Commission's actions (c) to a determination by the Commission as to

[[Page 15833]]

whether Respondent failed to comply with the Flammable Fabrics Act as 
aforesaid, (d) to a statement of findings and fact and conclusions of 
law, and (e) to any claims under the Equal Access to Justice Act.
    12. Violation of the provisions of the Order may subject Respondent 
to a civil and/or criminal penalty for such violation, as prescribed by 
law.
    13. For purposes of section 6(b) of the CPSA, 15 U.S.C. 2055(b), 
this matter shall be treated as if a complaint had been issued; and the 
Commission may publicize the terms of the Consent Agreement.
    14. Agreements, understandings, representations, or interpretations 
made outside the Consent Order Agreement may not be used to vary or to 
contradict its terms.
    15. Upon acceptance of this Agreement, the Commission shall issue 
the following Order incorporated herein by reference.

Respondent Monarch Towel Company, Inc.

    Dated: February 19, 1998.
Berenice Chadowitz,
Chief Executive Officer, Monarch Towel Company, Inc., 737 Cortlandt 
Street, Perth Amboy, NJ 08861.

    Dated: February 18, 1998.
Ashley Chadowitz,
President and General Counsel, Monarch Towel Company, Inc., 737 
Cortlandt Street, Perth Amboy, NJ 08861.

Commission Staff

Alan H. Schoem,
Assistant Executive Director, Office of Compliance, Consumer Product 
Safety Commission, Washington, D.C. 20207-0001.
Eric L. Stone,
Director, Legal Division, Office of Compliance.

    Dated: February 24, 1998.
Dennis C. Kacoyanis,
Trial Attorney, Legal Division, Office of Compliance.

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 the manufacture for sale, the sale, or the offering for sale, in 
commerce, or the importation into the United States, or the 
introduction, delivery for introduction, transportation or causing to 
be transported, in commerce, or the sale or delivery after a sale or 
shipment in commerce, children's sleepwear that fails to comply with 
the flammability requirements of the Standards for the Flammability of 
Children's Sleepwear, 16 CFR Parts 1615 and 1616.

II

    It is further ordered that Respondent pay to the United States 
Treasury a civil penalty of ten thousand dollars ($10,000.000) within 
twenty (20) days after service upon Respondent of the Final Order.

III

    It is further ordered that 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 CFR 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.
    So ordered by the Commission, this 26th day of March, 1998.
Sadye E. Dunn,
Secretary, Consumer Product Safety Commission.
[FR Doc. 98-8460 Filed 3-31-98; 8:45 am]
BILLING CODE 6355-01-M