American kitchenware and homes furnishing retailer Williams-Sonoma has agreed to pay a hefty civil penalty of $3.175 million for violating a Federal Trade Commission (FTC) order from 2020. This order mandated the retailer to provide accurate information regarding whether its products are truly Made in USA.
Following notification and referral from the FTC, the Department of Justice filed a complaint alleging that Williams-Sonoma had falsely labelled several products. The company alleged these products were 'Made in USA' when they were actually manufactured in China.
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FTC Chair Lina M. Khan emphasised that Williams-Sonoma's misrepresentation misled consumers and disadvantaged honest American businesses.
The recent complaint highlights that the FTC discovered Williams-Sonoma marketing mattress pads were labelled as 'Crafted in America from domestic and imported materials', despite being manufactured in China. Additionally, six other products were falsely advertised as Made in USA.
This significant civil penalty sends a clear message to other companies of the ramifications of mislabelling products as 'Made in USA'.
Source: www.bigfurnituregroup.com