[Federal Register Volume 64, Number 58 (Friday, March 26, 1999)]
[Notices]
[Pages 14729-14730]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-7396]


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FEDERAL TRADE COMMISSION

[File No. 9923004]


Gottschalks, Inc.; Analysis to Aid Public Comment

AGENCY: Federal Trade Commission.

ACTION: Proposed consent agreement.

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SUMMARY: The consent agreement in this matter settles alleged 
violations of federal law prohibiting unfair or deceptive acts or 
practices or unfair methods of competition. The attached Analysis to 
Aid Public Comment describes both the allegations in the draft 
complaint that accompanies the consent agreement and the terms of the 
consent order--embodied in the consent agreement--that would settle 
these allegations.

DATES: Comments must be received on or before May 26, 1999.

ADDRESSES: Comments should be directed to: FTC/Office of the Secretary, 
Room 159, 600 Pennsylvania Avenue, N.W., Washington, D.C. 20580.

FOR FURTHER INFORMATION CONTACT: Carol Jennings, FTC/S-4302, 600 
Pennsylvania Avenue, N.W., Washington, D.C. 20580, (202) 326-3010.

SUPPLEMENTARY INFORMATION: Pursuant to Section 6(f) of the Federal 
Trade Commission Act, 38 Stat. 721, 15 U.S.C. 46, and Section 2.34 of 
the Commission's Rules of Practice, 16 CFR 2.34, notice is hereby given 
that the above-captioned consent agreement containing a consent order 
to cease and desist, having been filed with and accepted, subject to 
final approval, by the Commission, has been placed on the public record 
for a period of sixty (60) days. The following Analysis to Aid Public 
Comment describes the terms of the consent agreement, and the 
allegations in the complaint. An electronic copy of the full text of 
the consent agreement package can be obtained from the FTC Home Page 
(for March 16, 1999), on the World Wide Web, at ``http://www.ftc.gov/
os/actions97.htm.'' A paper copy can be obtained from the FTC Public 
Reference Room, Room H-130, 600 Pennsylvania Avenue, N.W., Washington, 
D.C. 20580, either in person or by calling (202) 326-3627.
    Public comment is invited. Comments should be directed to: FTC/
Office of the Secretary, Room 159, 600 Pennsylvania Avenue, N.W., 
Washington, D.C. 20580. Two paper copies of each comment should be 
filed, and should be accompanied, if possible, by a 3\1/2\ inch 
diskette containing an electronic copy of the comment. Such comments or 
views will be considered by the Commission and will be available for 
inspection and copying at its principal office in accordance with 
Section 4.9(b)(6)(ii) of the Commission's Rules of Practice (16 CFR 
4.9(b)(6)(ii).

Analysis of Proposed Consent Order to Aid Public Comment

    The Federal Trade Commission has accepted, subject to final 
approval, an agreement to a proposed consent order from respondent 
Gottschalks, Inc.
    The proposed consent order has been placed on the public record for 
sixty (60) days for reception of comments by interested persons. 
Comments received during this period will become part of the public 
record. After sixty (60) days, the Commission will again review the 
agreement and the comments received and will decide whether it should 
withdraw from the agreement and take other appropriate action or make 
final the agreement's proposed order.
    This matter concerns practices related to the sale of textile and 
wool products by means of an on-line Internet catalog. The Commission's 
complaint charges that respondent violated the Federal Trade Commission 
Act, 15 U.S.C. 41 et seq., the Textile Fiber Products Identification 
Act, 15 U.S.C. 70 et seq., and the Wool Products Labeling Act, 15 
U.S.C. 68 et seq., by failing to disclose in its on-line catalog 
whether products offered for sale were made in the U.S.A., imported, or 
both.
    Part I of the proposed consent order prohibits respondent from 
advertising any textile or wool product in any mail order catalog or 
mail order promotional material, including those disseminated on the 
Internet, without disclosing clearly and conspicuously that the product 
was made in the U.S.A., imported, or both.
    Part II of the proposed order requires the respondent, for five 
years after the date of issuance of the Order, to maintain records 
demonstrating compliance with the Order, including: (a) copies of mail 
order catalogs and mail order promotional materials, as defined in 16 
CFR 303.1(u) and 300.1(h), that offer textile and/or wool products for 
direct sale to consumers; and (b) complaints and other communications 
with consumers, government agencies, or consumer protection 
organizations, pertaining to country-of-origin disclosures for textile 
and/or wool products.
    Part III of the proposed order requires the respondent to 
distribute copies of the order to certain company officials and 
employees. Part IV of the proposed order requires the respondent to 
notify the Commission of any change in the corporation that may affect 
compliance obligations under the order. Part V of the proposed order 
requires the respondent to file one or more compliance reports. Part VI 
of the proposed order is a provision whereby

[[Page 14730]]

the order, absent certain circumstances, terminates twenty years from 
the date of issuance.
    The purpose of this analysis is to facilitate public comment on the 
proposed consent order. It is not intended to constitute an official 
interpretation of the agreement and proposed order or to modify in any 
way their terms.

    By direction of the Commission.
Donald S. Clark,
Secretary.
[FR Doc. 99-7396 Filed 3-25-99; 8:45 am]
BILLING CODE 6750-01-M