[Federal Register Volume 85, Number 67 (Tuesday, April 7, 2020)]
[Notices]
[Pages 19483-19484]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-07310]


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FEDERAL TRADE COMMISSION

[File No. 202 3025]


Williams-Sonoma, Inc.; Analysis To Aid Public Comment

AGENCY: Federal Trade Commission.

ACTION: Proposed consent agreement; request for comment.

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SUMMARY: The consent agreement in this matter settles alleged 
violations of federal law prohibiting unfair or deceptive acts or 
practices. The attached Analysis to Aid Public Comment describes both 
the allegations in the complaint 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 7, 2020.

ADDRESSES: Interested parties may file comments online or on paper, by 
following the instructions in the Request for Comment part of the 
SUPPLEMENTARY INFORMATION section below. Write ``Williams-Sonoma, Inc.; 
File No. 202 3025'' on your comment, and file your comment online at 
https://www.regulations.gov by following the instructions on the web-
based form. If you prefer to file your comment on paper, mail your 
comment to the following address: Federal Trade Commission, Office of 
the Secretary, 600 Pennsylvania Avenue NW, Suite CC-5610 (Annex D), 
Washington, DC 20580, or deliver your comment to the following address: 
Federal Trade Commission, Office of the Secretary, Constitution Center, 
400 7th Street SW, 5th Floor, Suite 5610 (Annex D), Washington, DC 
20024.

FOR FURTHER INFORMATION CONTACT: Julia Ensor (202-326-2377), Bureau of 
Consumer Protection, Federal Trade Commission, 600 Pennsylvania Avenue 
NW, Washington, DC 20580.

SUPPLEMENTARY INFORMATION: Pursuant to Section 6(f) of the Federal 
Trade Commission Act, 15 U.S.C. 46(f), and FTC Rule 2.34, 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 thirty (30) 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 website (for March 30, 2020), at this web address: https://www.ftc.gov/news-events/commission-actions.
    You can file a comment online or on paper. For the Commission to 
consider your comment, we must receive it on or before May 7, 2020. 
Write ``Williams-Sonoma, Inc.; File No. 202 3025'' on your comment. 
Your comment--including your name and your state--will be placed on the 
public record of this proceeding, including, to the extent practicable, 
on the https://www.regulations.gov website.
    Due to the public health emergency in response to the COVID-19 
outbreak and the agency's heightened security screening, postal mail 
addressed to the Commission will be subject to delay. We strongly 
encourage you to submit your comments online through the https://www.regulations.gov website.
    If you prefer to file your comment on paper, write ``Williams-
Sonoma, Inc.; File No. 202 3025'' on your comment and on the envelope, 
and mail your comment to the following address: Federal Trade 
Commission, Office of the Secretary, 600 Pennsylvania Avenue NW, Suite 
CC-5610 (Annex D), Washington, DC 20580; or deliver your comment to the 
following address: Federal Trade Commission, Office of the Secretary, 
Constitution Center, 400 7th Street SW, 5th Floor, Suite 5610 (Annex 
D), Washington, DC 20024. If possible, submit your paper comment to the 
Commission by courier or overnight service.
    Because your comment will be placed on the publicly accessible 
website at https://www.regulations.gov, you are solely responsible for 
making sure your comment does not include any sensitive or confidential 
information. In particular, your comment should not include any 
sensitive personal information, such as your or anyone else's Social 
Security number; date of birth; driver's license number or other state 
identification number, or foreign country equivalent; passport number; 
financial account number; or credit or debit card number. You are also 
solely responsible for making sure your comment does not include 
sensitive health information, such as medical records or other 
individually identifiable health information. In addition, your comment 
should not include any ``trade secret or any commercial or financial 
information which . . . is privileged or confidential''--as provided by 
Section 6(f) of the FTC Act, 15 U.S.C. 46(f), and FTC Rule 4.10(a)(2), 
16 CFR 4.10(a)(2)--including in particular competitively sensitive 
information such as costs, sales statistics, inventories, formulas, 
patterns, devices, manufacturing processes, or customer names.
    Comments containing material for which confidential treatment is 
requested must be filed in paper form, must be clearly labeled 
``Confidential,'' and must comply with FTC Rule 4.9(c). In particular, 
the written request for confidential treatment that accompanies the 
comment must include the factual and legal basis for the request, and 
must identify the specific portions of the comment to be withheld from 
the public record. See FTC Rule 4.9(c). Your comment will be kept 
confidential only if the General Counsel grants your request in 
accordance with the law and the public interest. Once your comment has 
been posted on the public FTC website--as legally required by FTC Rule 
4.9(b)--we cannot redact or remove your comment from the FTC website, 
unless you submit a confidentiality request that meets the requirements 
for such treatment under FTC Rule 4.9(c), and the General Counsel 
grants that request.
    Visit the FTC website at http://www.ftc.gov to read this Notice and 
the news release describing it. The FTC Act and other laws that the 
Commission administers permit the collection of public comments to 
consider and use in this proceeding, as appropriate. The Commission 
will consider all timely and responsive public comments that it 
receives on or before May 7, 2020. For information on the Commission's 
privacy policy, including routine uses permitted by the Privacy Act, 
see https://www.ftc.gov/site-information/privacy-policy.

[[Page 19484]]

Analysis of Proposed Consent Order To Aid Public Comment

    The Federal Trade Commission (``FTC'' or ``Commission'') has 
accepted, subject to final approval, an agreement containing a consent 
order from Williams-Sonoma, Inc., also d/b/a Williams Sonoma, Williams 
Sonoma Home, Pottery Barn, Pottery Barn Kids, Pottery Barn Teen, West 
Elm, Rejuvenation, Outward, and Mark & Graham (``Respondent'').
    The proposed consent order has been placed on the public record for 
thirty (30) days for receipt of comments by interested persons. 
Comments received during this period will become part of the public 
record. After thirty (30) 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 involves Respondent's marketing, sale, and distribution 
of home products as made in the United States. According to the FTC's 
complaint, Respondent represented that its Goldtouch Bakeware products, 
Rejuvenation-branded products, and Pottery Barn Teen and Pottery Barn 
Kids-branded upholstered furniture products, including the materials 
and subcomponents used to make such products, are all or virtually all 
made in the United States. In fact, in numerous instances, Respondent's 
Goldtouch Bakeware products, Rejuvenation-branded products, and Pottery 
Barn Teen and Pottery Barn Kids-branded upholstered furniture products 
are wholly imported or incorporate significant imported materials or 
subcomponents. Based on the foregoing, the complaint alleges that 
Respondent engaged in deceptive acts or practices in violation of 
Section 5(a) of the FTC Act.
    The proposed consent order contains provisions designed to prevent 
Respondent from engaging in similar acts and practices in the future. 
Consistent with the FTC's Enforcement Policy Statement on U.S. Origin 
Claims, Part I prohibits Respondent from making U.S.-origin claims for 
its products unless either: (1) The final assembly or processing of the 
product occurs in the United States, all significant processing that 
goes into the product occurs in the United States, and all or virtually 
all ingredients or components of the product are made and sourced in 
the United States; (2) a clear and conspicuous qualification appears 
immediately adjacent to the representation that accurately conveys the 
extent to which the product contains foreign parts, ingredients or 
components, and/or processing; or (3) for a claim that a product is 
assembled in the United States, the product is last substantially 
transformed in the United States, the product's principal assembly 
takes place in the United States, and United States assembly operations 
are substantial.
    Part II prohibits Respondent from making any country-of-origin 
claim about a product or service unless the claim is true, not 
misleading, and Respondent has a reasonable basis substantiating the 
representation.
    Parts III through V are monetary provisions. Part III imposes a 
judgment of $1,000,000. Part IV includes additional monetary provisions 
relating to collections. Part V requires Respondent to provide 
sufficient customer information to enable the Commission to administer 
consumer redress, if appropriate.
    Parts VI through IX are reporting and compliance provisions. Part 
VI requires Respondent to acknowledge receipt of the order, to provide 
a copy of the order to certain current and future principals, officers, 
directors, and employees, and to obtain an acknowledgement from each 
such person that they have received a copy of the order. Part VII 
requires Respondent to file a compliance report within one year after 
the order becomes final and to notify the Commission within 14 days of 
certain changes that would affect compliance with the order. Part VIII 
requires Respondent to maintain certain records, including records 
necessary to demonstrate compliance with the order. Part IX requires 
Respondent to submit additional compliance reports when requested by 
the Commission and to permit the Commission or its representatives to 
interview Respondent's personnel.
    Finally, Part X is a ``sunset'' provision, terminating the order 
after twenty (20) years, with certain exceptions.
    The purpose of this analysis is to aid public comment on the 
proposed order. It is not intended to constitute an official 
interpretation of the proposed order or to modify its terms in any way.

    By direction of the Commission.
April J. Tabor,
Acting Secretary.
[FR Doc. 2020-07310 Filed 4-6-20; 8:45 am]
 BILLING CODE 6750-01-P