FTC Sues Electrowarmth Alleging False Claim Over Heated Fabric Mattress Pads

RTTNews | 1472 days ago
FTC Sues Electrowarmth Alleging False Claim Over Heated Fabric Mattress Pads

(RTTNews) - The Federal Trade Commission has sued Electrowarmth Products, LLC and its owner, Daniel Grindle, on allegations of making deceptive claims about the heated fabric mattress pads they sell for truck bunks. The FTC charged Grindle and Electrowarmth with violating the Textile Act and the Federal Trade Commission Act.

Ohio-based Electrowarmth sells mattress pads of varying sizes, with wires and thermostats that provide heat. The FTC alleges that Electrowarmth made false claims that its goods were made in USA, while they were actually made in China since 2019.

According to the complaint, Electrowarmth used U.S.-made textiles for mattress pads intended for use in truck bunks. Electrowarmth decided in 2019 to move production to China and stop using U.S.-made textiles as part of a cost-cutting move. However, it continued to market the heated mattress pads as "Made in USA," "Made in the USA since 1939," and "made-in-America products."

Electrowarmth also misled their customers by asking the Chinese manufacturer to make and package the products "exactly the same" as they were previously manufactured in the U.S., the complaint said.

The FTC claims that Grindle and Electrowarmth violated the Textile Act and the Federal Trade Commission Act by labeling and advertising the origin of the textiles used in their products as the United States, when these textile fiber products were wholly imported from China.

The FTC accuses Grindle and Electrowarmth of failing to accurately label imported products with the country of origin and falsely advertising imported products as "Made in the USA."

The agency's proposed order would stop Grindle and Electrowarmth from deceptively claiming that products were Made in USA, when in fact they were made in China. It also requires Grindle and Electrowarmth to make certain disclosures about the country of origin of any product subject to the Textile Fiber Products Identification Act, and to provide compliance reports.

The order also imposes an $815,809 monetary judgment, which is fully suspended due to Grindle's and Electrowarmth's inability to pay.

read more
UK Stocks Rise On GDP Growth, Oil Price Decline

UK Stocks Rise On GDP Growth, Oil Price Decline

UK stocks advanced Friday as July GDP growth of 0.4% beat expectations and oil prices tumbled following downward IEA demand revisions. The FTSE 100 reached 10,674.52, up 0.61% despite ongoing US-Iran concerns.
RTTNews | 21 minutes ago
Indian Shares End Off Day's Lows As Oil Prices Ease

Indian Shares End Off Day's Lows As Oil Prices Ease

Indian shares ended Friday's session lower as Middle East tensions persisted, and investors awaited key U.S. CPI data later in the day for additional clues on the Federal Reserve's rate trajectory.
RTTNews | 1h 17min ago
German Stocks Move Modestly Higher As Oil Prices Fall Sharply

German Stocks Move Modestly Higher As Oil Prices Fall Sharply

German stocks moved higher on Friday, recovering from losses posted in the previous two sessions, as oil prices fell sharply following the International Energy Agency (IEA) revising downward its world oil demand forecast for the year.
RTTNews | 1h 33min ago
NZ Dollar Rises Against Majors

NZ Dollar Rises Against Majors

The New Zealand dollar strengthened against other major currencies in the European session Friday.
RTTNews | 2h 14min ago