London International Group, Inc.; Analysis To Aid Public Comment

FEDERAL TRADE COMMISSION

[File No. 962-3004]

London International Group, Inc.; Analysis To Aid Public Comment

agency: Federal Trade Commission.

action: Proposed consent agreement.

-----------------------------------------------------------------------

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 10, 1997.

addresses: Comments should be directed to: FTC/Office of the Secretary,

Room 159, 6th St. and Pa. Ave., N.W., Washington, D.C. 20580.

for further information contact:

Jeffrey A. Klurfeld, Federal Trade Commission, San Francisco Regional

Office, 901 Market Street, Suite 570, San Francisco, CA 94103. (415)

356-5270.

Linda K. Badger, Federal Trade Commission, San Francisco Regional

Office, 901 Market Street, Suite 570, San Francisco, CA 94103. (415)

356-5275.

Kerry O'Brien, Federal Trade Commission, San Francisco Regional Office,

901 Market Street, Suite 570, San Francisco, CA 94103. (415) 356-5289.

supplementary information: Pursuant to Section 6(f) of the Federal

Trade Commission Act, 38 Stat. 721, 15 U.S.C. 46, and Section 2.34 of

the Commission's Rules of Practice (16 CFR 2.34), notice is hereby

given that the above-captioned consent agreement

[[Page 47670]]

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 accompanying complaint.

An electronic copy of the full text of the consent agreement package

can be obtained from the Commission Actions section of the FTC Home

Page (for September 3, 1997), on the World Wide Web, at ``http://

www.ftc.gov/os/actions/htm.'' A paper copy can be obtained from the FTC

Public Reference Room, Room H-130, Sixth Street and Pennsylvania

Avenue, N.W., Washington, D.C. 20580, either in person or by calling

(202) 326-3627. Public comment is invited. 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 an agreement, subject

to final approval, to a proposed consent order from respondent

London International Group, Inc. (``London International'') a New

Jersey corporation.

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.

London International manufactures and markets various brands of

condoms to the public, including Ramses brand condoms. The

Commission's complaint charges that respondent's advertising

contained unsubstantiated comparative strength representations.

Specifically, the complaint alleges that the respondent did not

possess adequate substantiation for claims that: (1) Ramses brand

condoms are thirty percent stronger than the leading brand; and (2)

Ramses brand condoms break thirty percent less often than the

leading brand.

The proposed consent order contains provisions designed to

remedy the violations charged and to prevent the respondent from

engaging in similar acts and practices in the future.

Part I of the proposed order would prohibit the respondent from

making any claim about: (1) The comparative or quantifiable strength

of any condom; (2) the comparative or quantifiable risk of breakage

of any condom; or (3) the comparative or quantifiable efficacy of

any condom, unless at the time of making the claim, it possesses and

relies upon competent and reliable evidence.

Part I contains a provision that would permit respondent to make

any claim about condoms that is approved by the Food and Drug

Administration (``FDA'') without violating the settlement. This

provision, however, excludes claims that the FDA has permitted

through clearing a ``premarket notification report,'' unless the

clearance was based on a review and evaluation of the substantiation

submitted with the report.

The proposed order also requires the respondent to maintain

materials relied upon to substantiate claims covered by the order;

to provide a copy of the consent agreement to all employees or

representatives involved in the preparation and placement of the

company's advertisements, as well as to all company executives and

marketing and sales managers; to notify the Commission of any

changes in corporate structure that might affect compliance with the

order; and to file one or more reports detailing compliance with the

order.

The purpose of this analysis is to facilitate public comment on

the proposed order. It is not intended to constitute an official

interpretation of the agreement and proposed order or to modify in

any way their terms.

Donald S. Clark,

Secretary.

[FR Doc. 97-23979 Filed 9-9-97; 8:45 am]

BILLING CODE 6750-01-M