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UNITED STATES OF AMERICA

FEDERAL TRADE COMMISSION

 

)

In the Matter of ) FILE NO. 0923010

)

ENHANCED VISION SYSTEMS, INC., ) AGREEMENT CONTAINING

a corporation. ) CONSENT ORDER

 )

The Federal Trade Commission (“Commission”) has conducted an investigation of

certain acts and practices of Enhanced Vision Systems, Inc. (“proposed respondent”). Proposed

respondent, having been represented by counsel, is willing to enter into an agreement containing

a consent order resolving the allegations contained in the attached draft complaint. Therefore,

IT IS HEREBY AGREED by and between Enhanced Vision Systems, Inc., by its duly

authorized officers, and counsel for the Commission that:

1. Proposed respondent Enhanced Vision Systems, Inc. is a California corporation with its

principal office or place of business at 5882 Machine Drive, Huntington Beach, California

92649. Proposed respondent assembles its vision-related products from domestic and foreign

components at that location.

2. Proposed respondent admits all the jurisdictional facts set forth in the draft complaint.

3. Proposed respondent waives:

a. Any further procedural steps;

b. The requirement that the Commission’s decision contain a statement of findings

of fact and conclusions of law; and

c. All rights to seek judicial review or otherwise to challenge or contest the validity

of the order entered pursuant to this agreement.

4. This agreement shall not become part of the public record of the proceeding unless and

until it is accepted by the Commission. If this agreement is accepted by the Commission, it,

together with the draft complaint, will be placed on the public record for a period of thirty (30)

days and information about it publicly released. The Commission thereafter may either

withdraw its acceptance of this agreement and so notify proposed respondent, in which event it

will take such action as it may consider appropriate, or issue and serve its complaint (in such

form as the circumstances may require) and decision in disposition of the proceeding.
 

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5. This agreement is for settlement purposes only and does not constitute an admission by

proposed respondent that the law has been violated as alleged in the draft complaint, or that the

facts as alleged in the draft complaint, other than the jurisdictional facts, are true.

6. This agreement contemplates that, if it is accepted by the Commission, and if such

acceptance is not subsequently withdrawn by the Commission pursuant to the provisions of

Section 2.34 of the Commission’s Rules, the Commission may, without further notice to

proposed respondent, (1) issue its complaint corresponding in form and substance with the

attached draft complaint and its decision containing the following order in disposition of the

proceeding, and (2) make information about it public. When so entered, the order shall have the

same force and effect and may be altered, modified, or set aside in the same manner and within

the same time provided by statute for other orders. The order shall become final upon service. 

Delivery of the complaint and the decision and order to proposed respondent’s address as stated

in this agreement by any means specified in Section 4.4(a) of the Commission’s Rules shall

constitute service. Proposed respondent waives any right it may have to any other manner of

service. The complaint may be used in construing the terms of the order. No agreement,

understanding, representation, or interpretation not contained in the order or in the agreement

may be used to vary or contradict the terms of the order.

7. Proposed respondent has read the draft complaint and consent order. It understands that

it may be liable for civil penalties in the amount provided by law and other appropriate relief for

each violation of the order after it becomes final.

ORDER

DEFINITIONS

For purposes of this order, the following definitions shall apply:

1. “Commerce” shall mean as defined in Section 4 of the Federal Trade Commission Act,

15 U.S.C. § 44.

2. Unless otherwise specified, “respondent” shall mean Enhanced Vision Systems, Inc., and

its successors and assigns, and its officers, agents, representatives, and employees.

I.

IT IS THEREFORE ORDERED that respondent, directly or through any corporation,

partnership, subsidiary, division, or other device, in connection with the manufacturing, marking,

labeling, packaging, advertising, promotion, offering for sale, sale, or distribution of any visionrelated product or package, in or affecting commerce, shall not represent, in any manner,

expressly or by implication, the extent to which any such product or package is made in the

United States, unless the representation is true and not misleading.
 

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II.

IT IS FURTHER ORDERED that respondent Enhanced Vision Systems, Inc., and its

successors and assigns shall, for five (5) years after the last date of dissemination of any

representation covered by this order, maintain and upon request make available to the

Commission for inspection and copying:

A. All advertisements, labeling, packaging, and promotional materials containing the

representation;

B. All materials that were relied upon in disseminating the representation;

C. All tests, reports, studies, surveys, demonstrations, or other evidence in its

possession or control that contradict, qualify, or call into question the

representation, or the basis relied upon for the representation, including

complaints and other communications with consumers or with governmental or

consumer protection organizations; and

D. All acknowledgments of receipt of this order, obtained pursuant to Part III.

III.

IT IS FURTHER ORDERED that for a period of three (3) years after the date of

issuance of this order, respondent Enhanced Vision Systems, Inc., and its successors and assigns

shall deliver a copy of this order to all current and future principals, officers, directors,

managers, and to all current and future employees, agents, and representatives having

responsibilities with respect to the subject matter of this order, and shall secure from each such

person a signed and dated statement acknowledging receipt of the order. Respondent shall

deliver this order to current personnel within thirty (30) days after the date of service of this

order, and to future personnel within thirty (30) days after the person assumes such position or

responsibilities.

IV.

IT IS FURTHER ORDERED that respondent Enhanced Vision Systems, Inc., and its

successors and assigns shall notify the Commission at least thirty (30) days prior to any change

in respondent or any business entity that respondent directly or indirectly controls, or has an

ownership interest in, that may affect compliance obligations arising under this order, including

but not limited to formation of a new business entity; a dissolution, assignment, sale, merger, or

other action that would result in the emergence of a successor entity; the creation or dissolution

of a subsidiary, parent, or affiliate that engages in any acts or practices subject to this order; the

proposed filing of a bankruptcy petition; or a change in the business or corporate name or

address. Provided, however, that, with respect to any proposed change about which respondent

learns less than thirty (30) days prior to the date such action is to take place, respondent shall
 

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notify the Commission as soon as is practicable after obtaining such knowledge. All notices

required by this Part shall be sent by certified mail to the Associate Director, Division of

Enforcement, Bureau of Consumer Protection, Federal Trade Commission, 600 Pennsylvania

Avenue, N.W., Washington, D.C. 20580.

V.

IT IS FURTHER ORDERED that respondent Enhanced Vision Systems, Inc., and its

successors and assigns shall, within sixty (60) days after the date of service of this order file with

the Commission a true and accurate report, in writing, setting forth in detail the manner and form

in which respondent has complied with this order. Within ten (10) days of receipt of written

notice from a representative of the Commission, respondent shall submit additional true and

accurate written reports.

VI.

This order will terminate twenty (20) years from the date of its issuance, or twenty (20)

years from the most recent date that the United States or the Commission files a 

complaint (with or without an accompanying consent decree) in federal court alleging any

violation of the order, whichever comes later; provided, however, that the filing of such a

complaint will not affect the duration of:

A. Any Part in this order that terminates in less than twenty (20) years;

B. This order’s application to any respondent that is not named as a defendant in

such complaint; and

C. This order if such complaint is filed after the order has terminated pursuant to this

Part.

Provided, further, that if such complaint is dismissed or a federal court rules that the respondent

did not violate any provision of the order, and the dismissal or ruling is either not appealed or

upheld on appeal, then the order will terminate according to this Part as though the complaint

had never been filed, except that the order will not terminate between the date such complaint is

filed and the later of the deadline for appealing such dismissal or ruling and the date such

dismissal or ruling is upheld on appeal.

Signed this day of , 20 

ENHANCED VISION SYSTEMS, INC. 

By: 

Name:

Title:
 

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LAURA SCHNEIDER

Counsel for the Federal Trade Commission

APPROVED:

 

JAMES A. KOHM

Associate Director

Division of Enforcement

 

EILEEN HARRINGTON

Acting Director

Bureau of Consumer Protection