FOR IMMEDIATE RELEASE: November 7, 1990 FTC CHARGES MAIL ORDER COMPANY MISREPRESENTED TANNING PRODUCTS AND "FUEL-SAVING" DEVICE; CONSENT AGREEMENT SETTLES CHARGES The Federal Trade Commission has charged Haverhills, a San Francisco mail-order company, with making false and unsubstantiated advertising claims about suntanning and fuel-economy devices. A consent agreement issued today for public comment prohibits Haver- hills and its owners from misrepresenting the safety or abilities of such devices. According to a complaint accompanying the agreement, Haver- hills violated the FTC Act by making deceptive advertising claims for two products, the Star Gold Tanner and the Fuel Magnetizer, in its catalogues. The complaint alleges that Haverhills falsely claimed that the Solar Gold Tanner can be used without the risk of harmful side effects associated with exposure to the sun's radia- tion, including skin cancer and skin aging, and that the devices can be used safely without eye protection. The FTC's complaint further alleges that Haverhills falsely represented that the Solar Gold tanner is safer than the sun because it does not emit UVC radiation. UVC radiation does not penetrate the earth's atmosphere and therefore does not cause the harmful side effects associated with exposure to the sun's radia- tion, according to the complaint. The consent agreement prohibits the company from misrepre- senting that use of tanning devices does not pose a risk of the harmful side effects associated with the sun, increase the risk of developing skin cancer, or contribute to skin aging. Under the agreement, respondents also must not misrepresent that sun-emitted UVC radiation penetrates the earth's atmosphere and therefore causes the harmful side effects associated with exposure to the sun's radiation. The agreement requires the respondents to advise prospective purchasers to read the warning label affixed to the device as required by the Food and Drug Administration. The label warns users that overexposure to ultraviolet radiation can cause skin injury, including premature skin aging and skin cancer, and that failure to wear protective eye wear may result in severe burns or long-term injury to the eyes. The complaint also alleges that the respondents falsely repre- sented that the Fuel Magnetizer can "Save up to 25% on your gas mileage with this ingenious device." However, the typical driver will not get up to 25 percent fuel economy improvement if the Fuel Magnetizer is installed, according to the complaint. Under the consent agreement, Haverhills is prohibited from representing that the Fuel Magnetizer or any other similar auto- mobile retrofit device will result in fuel economy when installed in any motor vehicle. The agreement also requires that for any other gasoline or engine-oil additive or other device offered, the respondents must have a reasonable basis, consisting of specified tests, for making any fuel-economy improvement claims. The complaint and consent agreement also name the company's owners, Gerardo and Priscilla Joffe, also of San Francisco. The FTC has published a brochure for consumers called "Indoor Tanning Devices," which alerts consumers to the hazards associated with the devices. Copies of the brochure are available by writing to: Public Reference Branch, Federal Trade Commission, Washington, D.C. 20580. The consent agreement is scheduled to appear in the Federal Register shortly, and will be subject to public comment for 60 days, after which the Commission will decide whether to make it final. Comments should be addressed to the Office of the Secretary, FTC, 6th St. and Pennsylvania Ave. N.W., Washington, D.C. 20580. A consent agreement is for settlement purposes only and does not constitute admission of a law violation. When the Commission issues a consent order on a final basis, it carries the force of law with respect to future actions. Each violation of such an order may result in a civil penalty of up to $10,000. Copies of the agreement, the complaint, and an analysis of the agreement are available from the FTC's Public Reference Branch, Room 130, 6th St. and Pennsylvania Ave. N.W., Washington, D.C. 20580; 202-326-2222; TTY 202-326-2502. # # # MEDIA CONTACT: Susan Ticknor, Office of Public Affairs, 202-326-2181 STAFF CONTACT: Joel Winston, Bureau of Consumer Protection, 202-326-3153 (FTC File No. 892 3019) (Haverhl)