WASHINGTON (Legal Newsline) — Block Division Inc., a Texas-based distributor of pulley block systems, agreed to stop making misleading claims that its products were made in the United States, the Federal Trade Commission (FTC) said.
The company marketed its pulley block systems with unqualified “Made in the USA” advertising through its website, in stores, through trade shows and authorized dealers, on social media and through fliers and pamphlets. The FTC claimed, however, that Block Division’s products included imported parts that were significant to the function of the products.
“Consumers have the right to know that they can trust companies to be truthful when it comes to ‘Made in USA’ claims,” Acting FTC Chairman Maureen Ohlhausen said on March 8. “This is an important issue for American business and their customers, and the FTC will remain vigilant in this area."
The FTC voted 2-0 to issue the complaint and accept the proposed consent order; the consent order is currently available for public comment until April 7. After the public comment period, the FTC will determine whether to make the proposed consent order final.