15 U.S.C. § 68e — Condemnation and injunction proceedings

submitted 86 years ago by ch. 871 to r/title-15-COMMERCE-AND-TRADE · 398 words · no verdicts yet

in plain englishAI-generated · not legal advice

The FTC can have wool products seized and destroyed, sold, or returned to the owner if they violate this law and the violation isn't fixed after notice. The FTC can also get a court injunction, without posting a bond, to stop certain violations while its own case is pending.

(a) Grounds for condemnation; disposition of merchandise: If the Commission has reasonable cause to believe wool products are being made, held for shipment, shipped, or held for sale after shipment in commerce in violation of this subchapter, and after notice from the Commission the products still aren't shown to comply, those products can be proceeded against in the U.S. district court where they're found. They can be seized for condemnation through a libel process, handled like an admiralty case in rem, brought by the Commission. If the court condemns the products, it can order them destroyed, sold, delivered back to the owner (once they pay legal costs and post a bond promising not to dispose of the products until properly labeled), or given away for a charitable purpose the court thinks proper. If the products are sold, the proceeds — minus legal costs — go to the U.S. Treasury. (b) Grounds for temporary injunction or restraining order: If the Commission believes someone is violating, or about to violate, sections 68a, 68c, 68f, or 68g, and believes it would serve the public interest to stop the violation while the Commission's own complaint process plays out — until a complaint is dismissed, set aside on court review, or a cease-and-desist order becomes final — the Commission can sue in federal district court (or a territorial court) where the person lives or does business, to enjoin the violation. On a proper showing, the court must grant a temporary injunction or restraining order without requiring a bond.

the actual law source: uscode.house.gov ↗public domain

(a) Grounds for condemnation; disposition of merchandise

Any wool products shall be liable to be proceeded against in the district court of the United States for the district in which found, and to be seized for confiscation by process of libel for condemnation, if the Commission has reasonable cause to believe such wool products are being manufactured or held for shipment, or shipped, or held for sale or exchange after shipment, in commerce in violation of the provisions of this subchapter, and if after notice from the Commission the provisions of this subchapter with respect to said products are not shown to be complied with. Proceedings in such libel cases shall conform as nearly as may be to suits in rem in admiralty, and may be brought by the Commission.

If such wool products are condemned by the court, they shall be disposed of, in the discretion of the court, by destruction; by sale; by delivery to the owner or claimant thereof upon payment of legal costs and charges and upon execution of good and sufficient bond to the effect that such wool products will not be disposed of until properly stamped, tagged, labeled, or otherwise identified under the provisions of this subchapter; or by such charitable disposition as the court may deem proper. If such wool products are disposed of by sale, the proceeds, less legal costs and charges, shall be paid into the Treasury of the United States.

(b) Grounds for temporary injunction or restraining order; issuance without bond

Whenever the Commission has reason to believe that—

(1)

Any person is violating, or is about to violate, sections 68a, 68c, 68f, or 68g of this title, and that

(2)

It would be to the public interest to enjoin such violation until complaint is issued by the Commission under the Federal Trade Commission Act and such complaint dismissed by the Commission or set aside by the court on review, or until order to cease and desist made thereon by the Commission has become final within the meaning of the Federal Trade Commission Act,

the Commission may bring suit in the district court of the United States or in the United States court of any Territory, for the district or Territory in which such person resides or transacts business, to enjoin such violation, and upon proper showing a temporary injunction or restraining order shall be granted without bond.

Source credit: (Oct. 14, 1940, ch. 871, § 7, 54 Stat. 1131.)

history & why it existsrecord from the source credit

1940Enacted · Act of Oct. 14, 1940, ch. 871 · 54 Stat. 1131

A history note hasn’t been published yet. The record shows enactment by ch. 871 on 1940-10-14.

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