| **9823591    B254540**

**UNITED STATES OF AMERICA    FEDERAL TRADE COMMISSION**

*In the Matter of*

KUBOTA TRACTOR CORPORATION, a corporation

DOCKET NO. C-3863

**COMPLAINT**

The Federal Trade Commission, having reason to believe that Kubota Tractor Corporation    ("respondent") has violated the provisions of the Federal Trade Commission Act,    and it appearing to the Commission that this proceeding is in the public interest,    alleges:

1. Respondent Kubota Tractor Corporation is a California corporation with its principal    office or place of business at 3401 Del Amo Boulevard, Torrance, California 90509.

2. Respondent has manufactured, advertised, labeled, offered for sale, sold, and    distributed products to the public, including lawn tractors.

3. 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.

4. Respondent has disseminated or has caused to be disseminated    advertisements for its line of T-Series Lawn Tractors, including but not necessarily    limited to the attached Exhibits A through D. These advertisements contain the following    statements:

**Exhibit A, 1998 Full Line Brochure**

"The Kubota T-Series lawn tractors are manufactured at Kubota      Manufacturing of America in Gainesville, Georgia."

**Exhibit B, dealer television commercial**

"The Kubota T-Series - 3 models to choose from . . . Made in      America, the Kubota T-Series."

**Exhibit C, dealer promotion advertisement**

"T-Series Lawn Tractors

Made by Kubota in the U.S.A."

Photograph of the T1460 tractor

**Exhibit D, dealer promotion advertisement featuring the      T1760 tractor**

"T-Series Lawn Tractors

Made by Kubota in the U.S.A.****. . . 

Easy lift 48" mower deck on T1760"

Photograph of the T1760 tractor

5. Through the means described in Paragraph 4, respondent has represented, expressly or    by implication, that its entire line of T-Series Lawn Tractors is made in the United    States, *i.e.*, that all, or virtually all, of the component parts of each of the    T-Series Lawn Tractors are made in the United States, and that all, or virtually all, of    the labor in manufacturing each of the T-Series Lawn Tractors is performed in the United    States.

6. In truth and in fact, model T1760, one of the three lawn tractor models included in    the T-Series, contains significant foreign parts and therefore is not all or virtually all    made in the United States. Therefore, the representations set forth in paragraph 5 were,    and are, false or misleading.

7. Respondent has disseminated or has caused to be disseminated    advertisements and labeling for its model T1760 lawn tractors, including but not    necessarily limited to the attached Exhibits D through F. These advertisements and    labeling contain the following statements:

**Exhibit D, dealer promotion advertisement featuring the      T1760 tractor**

"T-Series Lawn Tractors

Made by Kubota in the USA . . .

Easy lift 48" mower deck on T1760"

Photograph of the T1760 tractor

**Exhibit E, dealer ad planner page**

"Kubota T1760 17 HP . . . 

Made by Kubota in the USA"

**Exhibit F, serial plate for Model T1760**

"Made in U.S.A."

8. Through the means described in Paragraph 7, respondent has represented, expressly or    by implication, that its model T1760 lawn tractor is made in the United States, *i.e.*,    that all, or virtually all, of the component parts of the model T1760 lawn tractor is made    in the United States, and that all, or virtually all, of the labor in manufacturing the    model T1760 lawn tractor is performed in the United States.

9. In truth and in fact, the model T1760 lawn tractor contains significant foreign    parts and therefore is not all or virtually all made in the United States. Therefore, the    representations set forth in paragraph 8 were, and are, false and misleading.

10. Respondent has disseminated or has caused to be disseminated    advertisements for its line of TG-Series Lawn and Garden Tractors, including but not    necessarily limited to the attached Exhibit G. This advertisement contains the following    statement:

**Exhibit G, dealer promotion advertisement featuring the      TG1860 tractor**

"TG-Series Lawn & Garden Tractors

Made by Kubota in the U.S.A."

Photograph of the TG1860 tractor

11. Through the means described in Paragraph 10, respondent has represented, expressly    or by implication, that its entire line of TG-Series Lawn and Garden Tractors is made in    the United States, *i.e.*, that all, or virtually all, of the component parts of    each of the TG-Series Lawn and Garden Tractors are made in the United States, and that    all, or virtually all, of the labor in manufacturing each of the TG-Series Lawn and Garden    Tractors is performed in the United States.

12. In truth and in fact, both of the lawn and garden tractor models included in the    TG-Series, TG1860 and TG1860G, contain significant foreign parts and therefore are not all    or virtually all made in the United States. Therefore, the representations set forth in    paragraph 11 were, and are, false and misleading.

13. Respondent has disseminated or has caused to be disseminated    advertisements and labeling for its model TG1860 lawn and garden tractors, including but    not necessarily limited to the attached Exhibits G and H. These advertisements and    labeling contain the following statements:

**Exhibit G, dealer promotion advertisement featuring the      TG1860 tractor**

"TG-Series Lawn & Garden Tractors

Made by Kubota in the U.S.A."

Photograph of the TG1860 tractor

**Exhibit H, serial plate for Model TG1860**

"Made in U.S.A."

14. Through the means described in Paragraph 13, respondent has represented, expressly    or by implication, that its model TG1860 lawn and garden tractor is made in the United    States, *i.e.*, that all, or virtually all, of the component parts of the model    TG1860 lawn and garden tractor is made in the United States, and that all, or virtually    all, of the labor in manufacturing the model TG1860 lawn and garden tractor is performed    in the United States.

15. In truth and in fact, the model TG1860 lawn and garden tractor contains significant    foreign parts and therefore is not all or virtually all made in the United States.    Therefore, the representations set forth in paragraph 14 were, and are, false and    misleading.

16. Respondent has disseminated or has caused to be disseminated    labeling for its model TG1860G lawn and garden tractor, including but not necessarily    limited to the attached Exhibit I. This labeling    contains the following statement:

**Exhibit I, serial plate for Model TG1860G**

"Made in U.S.A."

17. Through the means described in Paragraph 16,    respondent has represented, expressly or by implication, that its model TG1860G lawn and    garden tractor is made in the United States, *i.e.*, that all, or virtually all, of    the component parts of the model TG1860G lawn and garden tractor is made in the United    States, and that all, or virtually all, of the labor in manufacturing the model TG1860G    lawn and garden tractor is performed in the United States.

18. In truth and in fact, the model TG1860G lawn and    garden tractor contains significant foreign parts and therefore is not all or virtually    all made in the United States. Therefore, the representations set forth in paragraph 17    were, and are, false and misleading.

19. 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 sixth day of    April, 1999, has issued this complaint against respondent.

By the Commission.

Donald S. Clark    Secretary

SEAL: |
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