[Federal Register Volume 64, Number 126 (Thursday, July 1, 1999)]
[Notices]
[Pages 35662-35663]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-16708]
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FEDERAL TRADE COMMISSION
[D09287]
Continental Gown Cleaning Service, Inc., et al.; 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 August 30, 1999.
ADDRESSES: Comments should be directed to: FTC/Office of the Secretary,
Room 159, 600 Pennsylvania Avenue, NW, Washington, DC 20580.
FOR FURTHER INFORMATION CONTACT: Constance Vecellio, FTC/S-3231, 601
Pennsylvania Avenue, NW, Washington, DC 20580, (202) 326-2966.
SUPPLEMENTARY INFORMATION: Pursuant to Section 6(f) of the Federal
Trade Commission Act, 38 Stat. 721, 15 U.S.C. 46, and Section 3.25(f)
of the Commission's Rules of Practice, 16 CFR 3.25(f), 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 June 23, 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
[[Page 35663]]
Avenue, NW, Washington, DC 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, NW,
Washington, DC 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 Continental
Gown Cleaning Service, Inc., Nationwide Gown Cleaning Service, Inc.,
Prestige Gown Cleaning Service, Inc., Gown Cleaning Service, Inc., and
Jonathan Ashley, Ltd., and Lewis Weissman and Gary Marcus, the
principals who control these corporations (referred to collectively as
``Continental Gown''). The agreement would settle a proposed complaint
by the Federal Trade Commission that Continental Gown engaged in unfair
or deceptive acts or practices in violation of Section 5(a) of the
Federal Trade Commission Act.
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 or make final the agreement's proposed
order.
This matter concerns care labeling of wedding gowns and other
formal wear and advertising practices related to the sale of the
``Zurcion Method'' of drycleaning and preservation of these gowns. The
administrative complaint alleged that Continental Gown violated the FTC
Act by distributing care labels that read ``Dryclean Only by Zurcion
Method'' (hereinafter ``Zurcion labels'') to clothing companies who
used the labels. The complaint alleged that these labels do not comply
with the Commission's Care Labeling Rule because they fail to provide
information to consumers that is required by the Rule. The complaint
alleged that by distributing the Zurcion labels, Continental Gown
provided apparel companies with the means and instrumentalities with
which to violate the Care Labeling Rule. The complaint also alleged
that Continental Gown had falsely represented in advertising that: (1)
The Zurcion labels complied with the Care Labeling Rule, (2) that the
Zurcion Method of drycleaning is patented, (3) the Zurcion Method is
the only safe and effective cleaning method for wedding gowns and other
formal wear, and (4) Continental Gown and the other named cleaning
companies were the only cleaners who can clean wedding gowns and other
formal wear safely and effectively. The complaint alleged that
Respondents falsely represented that they had a reasonable basis for
these representations. The complaint also alleged that Respondents
advertised their guarantee as unconditional, whereas in fact
undisclosed conditions were placed on the guarantee.
The proposed consent order contains provisions designed to prevent
Continental Gown from engaging in similar acts and practices in the
future. Part I of the proposed consent order contains a general
prohibition against providing apparel manufacturers and importers and
retail and wholesale stores with the means and instrumentalities with
which to violate the FTC Act and the Care Labeling Rule. It specifies
that Continental Gown may not provide care labels or other tags, such
as hang-tags that are pinned to garments, that fail to provide the
specific information required by the Rule or that represent that the
Zurcion Method is the only cleaning method that can be used safely and
effectively to clean the garment or that Continental Gown is the only
cleaner who can clean the garments. Part I also requires Continental
Gown to possess a written statement from an apparel manufacturer or
importer stating the apparel company's reasonable basis for any care
instructions that appear on labels or tags disseminated by Continental
Gown.
Parts II, III, and IV of the proposed consent order address
Continental Gown's advertising representations. Part II prohibits
Continental Gown from making misrepresentations regarding the Care
Labeling Rule or compliance with the Rule. Part III prohibits
Continental Gown from misrepresenting that the Zurcion Method or any
other cleaning or preservation method is patented. Part IV prohibits
misrepresentations regarding the comparative or absolute safety or
efficacy of any cleaning or preservation method, service, company, or
product. Part IV requires competent and reliable evidence as
substantiation for safety or efficacy claims and specifies that
competent and reliable scientific evidence may be required when
appropriate.
Part V addresses the guarantee allegation of the complaint. It
prohibits representations that a garment cleaning or preservation
service is guaranteed unless Continental Gown discloses any material
limitations or conditions on the guarantee.
Parts VI and VII concern contacts with apparel companies, consumers
and others regarding Zurcion labels and promotional materials. Part VI
requires Continental Gown to notify certain garment manufacturers or
importers with whom Continental Gown did business that they should stop
using the Zurcion labels and promotional materials, and to provide a
copy of the Consent Order with the notice. Part VII requires
Continental Gown to disclose to persons (other than apparel companies)
who contact them regarding the cleaning or preservation of garments
bearing Zurcion labels that other cleaning methods may be used safely
and effectively to clean the garments. Part VII also requires
Continental Gown to refer these persons to the manufacturer or importer
of their garment to obtain cleaning instructions, and requires
Continental Gown to provide information about how consumers can contact
those companies.
The proposed order also contains provisions regarding distribution
of the order, recordkeeping, notification of changes in corporate
status, termination of the order, and the filing of a compliance
report.
The purpose of this analysis is to facilitate public comment on the
proposed order, and it is not intended to constitute an official
interpretation of the agreement and the proposed order or to modify
their terms in any way.
By Direction of the Commission.
Benjamin I. Berman,
Acting Secretary.
[FR Doc. 99-16708 Filed 6-30-99; 8:45 am]
BILLING CODE 6750-01-M