[Federal Register Volume 64, Number 189 (Thursday, September 30, 1999)]
[Notices]
[Pages 52789-52790]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-25418]
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FEDERAL TRADE COMMISSION
[File No. 992 3158]
Physicians Formula Cosmetics, 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 November 29, 1999.
ADDRESSES: Comments should be directed to: FTC/Office of the Secretary,
Room 159, 600 Pennsylvania., NW, Washington, DC 20580.
FOR FURTHER INFORMATION CONTACT: Elaine Kolish or Kent Howerton, FTC/S-
4302, 600 Pennsylvania. Ave., NW, Washington, DC 20580. (202) 326-3042.
or 326-3013.
SUPPLEMENTARY INFORMATION: Pursuant to section 6(f) of the Federal
Trade Commission Act, 38 Stat. 721, 15 U.S.C. 46 and Sec. 2.34 of the
Commission's rules of practice (16 CFR 2.34), notice is
[[Page 52790]]
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 September 13, 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, 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. Ave., 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
Sec. 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 an agreement, subject to
final approval, to a proposed consent order from respondent Physicians
Formula Cosmetics, 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 ``Made in USA'' labeling of cosmetics,
cosmetic brushes,and skin care products. The Commission's complaint
charges that respondent, by labeling its products as ``Made in USA,''
misrepresented that they were all or virtually all made in the United
States when, in truth and in fact, a significant proportion of their
components was of foreign origin.
The proposed consent order contains a provision designed to remedy
the charges and to prevent the respondent from engaging in similar acts
and practices in the future. Part I of the proposed order prohibits the
respondent from misrepresenting the extent to which its products are
made in the United States. The proposed order would allow respondent to
represent that its products are made in the United States as long as
all, or virtually all, of the components of the products are of U.S.
origin and all, or virtually all, of the labor in manufacturing them is
performed in the United States.
The proposed consent order additionally provides that the order
shall not prohibit the respondent from depleting its inventory of
products bearing a marking or labeling otherwise prohibited by the
order and existing on the date the order is signed, in the normal
course of business, provided that no such existing inventory may be
shipped later than 120 days after the date the order becomes final.
Part II of the proposed order requires the respondent to maintain
materials relied upon in disseminating any representation covered by
the order. 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 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. 99-25418 Filed 9-29-99; 8:45 am]
BILLING CODE 6750-01-M
