Antitrust Law Daily Wrap Up, CONSUMER PROTECTION NEWS: Clothing Retailers Settle FTC’s Claims They Misrepresented Source of Products, Marketed Real Fur as “Faux”, (Mar 19, 2013)

By E. Darius Sturmer, J.D.

Three clothing retailers—Neiman Marcus, DrJays.com, Inc., and Eminent, Inc—have agreed to settle FTC charges that they misled consumers by representing that products contained “faux fur,” when the products contained real fur, and by failing to identify the animal that produced the fur. In administrative complaints, the FTC alleged that the retailers violated the FTC Act and the Fur Products Labeling Act (Fur Act).

According to the Commission’s complaint, Neiman Marcus also allegedly misrepresented that a rabbit fur product had mink fur and failed to disclose the fur country of origin for three fur products: a Burberry Outerwear Jacket, a Stuart Weitzman Ballerina Flat shoe, and an Alice + Olivia Kyah Coat. The company also allegedly misrepresented the fur content of the shoe in its catalog, at bergdorfgoodman.com, and in ads mailed to consumers.

DrJays.com allegedly misrepresented the fur content and failed to disclose the animal name for three products: a Snorkel Jacket by Crown Holder with a fur-lined hood, a Fur/Leather Vest by Knoles & Carter with exterior fur, and a New York Subway Leather Bomber Jacket by United Face with fur lining.

Eminent, which does business as Revolve Clothing, allegedly misrepresented the fur content and failed to disclose the animal name for four products: an Australia Luxe Collective Nordic Angel Short Boot with a fur-trimmed hood, a Mark Jacobs Runway Roebling Coat, a Dakota Xan Fur Poncho, and an Eryn Brinie Belted Faux Fur Vest.

Separate proposed FTC consent orders would prohibit Neiman Marcus, DrJays.com, and Eminent from violating the Fur Act and Fur Rules for a 20-year period. The proposed orders provide that the respondents will not be liable for misrepresentations about fur products that they directly import if they do not embellish or misrepresent claims provided by the products’ manufacturers, they do not sell the product as a private label product, and they neither know nor should have known that the product is marketed in a manner that violates the Fur Act.

Public comments on the proposed consent agreements may be filed through April 18 by mail or online. Comments in paper form should be mailed or delivered to: Federal Trade Commission, Office of the Secretary, Room H-113 (Annex D), 600 Pennsylvania Avenue, N.W., Washington, DC 20580. Comments submitted electronically should utilize the forms the FTC created specifically for the Neiman Marcus, DrJays.com, and Eminent agreements.

Companies: The Neiman Marcus Group Inc.; DrJays.com Inc.; Eminent Inc.

News: ConsumerProtection FederalTradeCommissionNews