Complaint Paradise Garage | ||
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© 2002 Brian F. Schreurs
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9623072 UNITED STATES OF AMERICA In the Matter of ASHLAND, INC., a corporation. DOCKET NO. C-3775 COMPLAINT The Federal Trade Commission, having reason to believe that Ashland, Inc., a corporation, has violated the provisions of the Federal Trade Commission Act, and it appearing to the Commission that a proceeding by it in respect thereof would be in the public interest, alleges: PARAGRAPH ONE: Respondent Ashland, Inc., is a Kentucky corporation, with its office and principal place of business located at 1000 Ashland Drive, Russell, KY 41169. PARAGRAPH TWO: Respondent has manufactured, advertised, promoted, offered for sale, sold and distributed Valvoline TM8 Engine Treatment ("TM8"), an aftermarket motor oil additive or engine treatment containing various chemicals, including Teflon brand polytetrafluoroethylene ("Teflon"), blended in a fully formulated motor oil. PARAGRAPH THREE: The acts and practices of respondent alleged in this complaint have been in or affecting commerce, as "commerce" is defined in Section 4 of the Federal Trade Commission Act. PARAGRAPH FOUR: Respondent has disseminated or has caused to be disseminated advertisements for TM8, including, but not necessarily limited to, the attached Exhibits A-F. These advertisements contain the following statements and visual depictions: A. A television advertisement for TM8:
(Exhibit A) B. A radio advertisement for TM8:
(Exhibit B) C. A magazine advertisement for TM8:
(Exhibit C) D. A TM8 coupon leaflet:
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(Exhibit D) E. Valvoline Web page on the Internet:
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(Exhibit E) F. TM8 product packaging:
4. Treat your engine with TM-8 Engine Treatment at least every 50,000 miles. For optimal results, re-treat your engine with TM-8 Engine Treatment once a year. (Exhibit F) PARAGRAPH FIVE: Through the use of the statements and visual depictions contained in the advertisements and promotional materials referred to in PARAGRAPH FOUR, including, but not necessarily limited to, the advertisements and promotional materials attached as Exhibits A-F, respondent has represented, directly or by implication, that: A. TM8 bonds Teflon to engine parts. B. Compared to motor oil alone, TM8:
C. One treatment of TM8 lasts for 50,000 miles. PARAGRAPH SIX: Through the use of the statements and depictions contained in the advertisements and promotional materials referred to in PARAGRAPH FOUR, including, but not necessarily limited to, the advertisements and promotional materials attached as Exhibits A-F, respondent has represented, directly or by implication, that at the time it made the representations set forth in PARAGRAPH FIVE, respondent possessed and relied upon a reasonable basis that substantiated such representations. PARAGRAPH SEVEN: In truth and in fact, at the time it made the representations set forth in PARAGRAPHS FIVE, respondent did not possess and rely upon a reasonable basis that substantiated such representations. Therefore, the representation set forth in PARAGRAPH SIX was, and is, false and misleading. PARAGRAPH EIGHT: Through the use of the statements and visual depictions contained in the advertisements and promotional materials referred to in PARAGRAPH FOUR, including, but not necessarily limited to, the advertisement attached as Exhibit E, respondent has represented, directly or by implication, that tests prove that, compared to motor oil alone, TM8:
PARAGRAPH NINE: In truth and in fact, tests do not prove that, compared to motor oil alone, TM8:
Therefore, the representations set forth in PARAGRAPH EIGHT were, and are, false and misleading. PARAGRAPH TEN: The acts and practices of respondent as alleged in this Complaint constitute unfair or deceptive acts or practices in or affecting commerce in violation of Section 5(a) of the Federal Trade Commission Act. THEREFORE, the Federal Trade Commission this fifth day of January, 1998, has issued this complaint against respondent. By the Commission, Commissioner Thompson and Commissioner Swindle not participating. SEAL [Exhibits A-F attached to paper copies of complaint, but not available in electronic form]
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