NAB reports (Jan-Dec 1941)

Record Details:

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in the sale of certain medicinal preparations for women. The Com¬ mission order directs that in the sale of “Menstruaid Nos. 1, 2, 3, 4 and 5” the respondents cease disseminating advertisements which represent that these products constitute a competent or effective treatment for delayed menstruation; that they are scientific, safe or harmless and are guaranteed, and which advertisements fail to reveal that their use may cause gastro-intestinal disturbances and other serious conditions. (4406) Ihiiversal IiuUistries, Inc., 2222 Diversey Parkw'ay, Chicago, and Abraham Leonard Koolish and George William Ehrlich, ofticers and directors of the corporation, has been ordered to cease and desist from misrepresentations in the sale of sales stimulator plans or devices including trade cards, circulars, and other adver¬ tising material, and also tableware and other products used as premium merchandise under such plans. Commission findings are that in advertisements circulated in various States the respondents have represented that for a cost of only one cent merchants participating in the respondents’ sales plans would receive $5 worth of business from their customers when in fact the merchants purchase from the respondents at SO cents a set tableware which they resell to customers at 49 cents a set when such customers have purchased $S worth of other mer¬ chandise. Also, the findings continue, the merchants pay the respondents $4.95 for the sales plan which includes cards, literature and tw'o display sets of tableware, none of which amount the respondents refund until the merchants have purchased eight dozen tableware sets; and the respondents deduct from such refund, if and when made, the resale value of the two display sets furnished the merchants. The Commission order directs the respondents to cease mis¬ representing the cost of any sales plan or sales stimulator to any dealer or merchant by failing to reveal that additional sums must be paid by the merchant or dealer in operating the plan or using the sales stimulator; to discontinue misrepresentations found to have been made concerning salesmen’s earnings, the price and value of products sold, and the respondents’ length of time in business and financial standing, and to cease using the term “free” to describe articles offered as compensation for distributing the respondents’ merchandise, unless all conditions are clearly explained and there is no deception as to price, quality, character, services to be performed, or other features. The Commission dismissed its complaint in this proceeding as to Mrs. Ida B. Koolish, an officer of the corporate respondent, there being no evidence that she has taken an active interest in the business. (3882) STIPULATIONS Following stipulations have been entered into by the Commission: Chelf ('lieinical Co., 118 South Seventeenth St., Richmond, Va., stipulated that it will cease certain representations in the sale of its preparation known as “Chelf’s C. C. Comp’d” and also as “C. C. C. C.” and “4 C’s,” containing, among other ingredients, potassium bromide and acetanilid. The respondent agrees to cease representing that its preparation w’ill remove the cause of headaches, indigestion or nervousness or remedy these conditions; may be safely used by all persons under all conditions; will not have a depressing effect upon the heart, and will relieve colds generally or head colds, unless the repre¬ sentation is limited to palliative relief of aches and pains accom¬ panying such colds. The respondent also agrees to cease disseminating advertise¬ ments which fail to reveal that the preparation should not be used in excess of the dosage recommended and that its frequent and continued use may be dangerous; provided that such advertise¬ ments need contain only a statement that the preparation should be used only as directed on the label, if the label either contains a warning of the possible consequences of the use of the product or directs attention to a similar warning in the accompanying labeling. (02787) Kagle Electric Maiuifiictiiriiig Co., Iiic., 59 Hall St., Brookly n, entered into a stipulation to cease certain representations in the sale of electrical heating pads. The respondent agrees to cease 436 — May 9, 1941 using the words or symbols “Three Heat” or “3-Heat” as descrip¬ tive of such pads or the switches used to operate them and to cease employing the wmrds “Three Heat” or other similar words to imply that its electrical pads are capable of maintaining, or that the operation of the switches results in maintaining, three different, distinct temperatures. (3093) Federal Kiianieliiig & Stamping Co., McKees Rocks, Pitts¬ burgh, Pa., disributor of enamelecl kitchenware, stipulated to cease representing or placing in the hands of others a means to represent, directly or inferentially, that any enamehvare product not com¬ pletely covered with three separate coats or applications of enamel, is “triple coated” or that its enameling consisted of the application of three separate coats of enamel. (3092) A. Freedman & Sons, Inc., shoe manufacturer. New Bedford, Mass., has entered into a stipulation to cease using the words “De¬ signed by an English Bootmaker” as descriptive of certain of its shoes which are not designed by an English bootmaker, such words appearing as a stamp, brand or label upon shoes or the boxes in which they are sold. The respondent corporation also stipulates that it will desist from using these quoted W'ords or the words “John McVey, Ltd.”, alone or in connection with the words “Dis¬ tinctly English” or with other similar words so as to imply that such shoes are either designed by an English Bootmaker or are made in England. The stipulation recites that the respondent’s shoes are not designed by an English bootmaker and are not made in England but at its New Bedford, Mass., plant. (3091) Htimaiiia Hair Goods & Specialty Company — Gustave Gold¬ stein, hair goods and cosmetics dealer trading as Humania Hair Goods & Specialty' Co., 303 Fourth Ave., New York, a stipula¬ tion to cease disseminating advertisements which fail conspicuously to reveal certain dangerous possibilities in the use under certain conditions of “Magic Shaving Powder” and “Kongolene”, and which advertisements represent that “Apex Pomento” and “Hu¬ mania Dandruff Treatment” will prevent dandruff or do more than remove dandruff already formed on the scalp; that “Humania Dandruff Treatment” and “Amron New Hair Aid” will stop falling hair or keep it from coming out, and other similar repre¬ sentations. (3094) Charles !?. Knox Gelatin Co., Inc., Johnstown, N. Y., en¬ gaged in selling Knox Gelatin or Knox Sparkling Gelatin, has entered into a supplemental stipulation in connection wdth the dissemination of advertising of the products in which it agrees to cease and desist from representing, directly or by implication: (1) That scientific laboratory tests have established as a matter of scientific fact that Knox Gelatin increases vim and vitality, increases endurance, builds resistance to fatigue, cuts down and lessens fatigue, increases stam.ina and “staying power”, curbs tiredness, restores vigor or stores energy. (2) That Knox Gelatin or Knox Sparkling Gelatin prevents fatigue; keeps one in top form for working hard and playing hard; enables a person to sleep better or awaken more refreshed; lessens the seriousness of athletic injuries or causes minor athletic injuries to respond quicker to treatment ; increases muscular work capacity 50% to 100%' or is of any substantial benefit in increasing muscular work capacity ; doubles energy or increases energy output 37% to 240% or is of any substantial value in increasing energy output ; is an amazing discovery or stores energy. (3) That it is a manufacturer; but nothing in the, stipulation shall prevent the Charles B. Knox Gelatin Co., Inc., from repre¬ senting and stating that Knox Gelatin is manufactured under the laboratory supervision of the Charles B. Knox Gelatin Co., Inc. The stipulation provides that in the event future facts and circumstances should, in the judgment of the Commission, so w'arrant, such suitable modification thereof may be made as may be necessary to conform to the facts. (02436) Leonard Sales Company — Benjamin Ingber, trading as Leonard Sales Co., 237 North Ninth St., Philadelphia, has entered into a stipulation to cease advertising that a drug preparation designated “Corn-Go” will instantly stop the pain of corns or calluses; wall prevent their recurrence, and will remove bunions or has any value in their treatment. (02 786)