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002 3194

UNITED STATES OF AMERICA

BEFORE FEDERAL TRADE COMMISSION

 

)

In the Matter of )

)

THE BLACK & DECKER CORPORATION, and )

 ) DOCKET NO. C-4000

KWIKSET CORPORATION, )

 corporations. )

)

 )

COMPLAINT

The Federal Trade Commission, having reason to believe that The Black & Decker

Corporation and Kwikset Corporation ("respondents") have 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 The Black & Decker Corporation is a Maryland corporation with its principal

office or place of business at 701 East Joppa Road, Towson, Maryland 21286.

2. Respondent Kwikset Corporation is a California corporation with its principal office or

place of business at 1 Park Place, Suite No. 1000, Irvine, California 92714. Kwikset Corporation

is a wholly owned subsidiary of The Black & Decker Corporation.

3. Respondents have manufactured, advertised, labeled, offered for sale, sold, and distributed

products to the public, including residential locks and lock systems.

4. The acts and practices of respondents alleged in this complaint have been in or affecting

commerce, as "commerce" is defined in Section 4 of the Federal Trade Commission Act.

5. Respondents have disseminated or have caused to be disseminated advertising and

packaging for certain of its Kwikset products, including but not necessarily limited to the attached

Exhibits A through H. The advertising and packaging contain the following statements or

depictions:
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Advertising

A. Kwikset Web site, Exhibit A

“Headquartered in Irvine, California, Kwikset produces all

of its products in the United States at four manufacturing

facilities, employing more than 2,700 people.”

B. Kwikset brochure, Exhibit B

“Kwikset Quality . . . *Made in the U.S.A.”

C. Kwikset Titan brochure, Exhibit C

“TITAN products are the most durable Grade 2 locksets made in

America.” and

“TITAN Quality . . . *Made in the U.S.A.”

D. Kwikset Plus brochure, Exhibit D

“Kwikset PLUS Quality . . . *Made in the U.S.A.”

E. Kwikset Product Selector Guide, Exhibit E

“Made in U.S.A.”

Packaging

 

F. Kwikset Tylo Unkeyed Knobs (“Lockset”), Exhibit F

“All American Made” with star and stripes shield (on top, front, and side

panel);

“ALL AMERICAN MADE AND PROUD OF IT” inside star and stripes

shield (on inside flap); and

“Made and Printed in U.S.A.” (on bottom panel); and

In small print on side panel, the words “ASSEMBLED IN MEXICO.”
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G. Kwikset Decorative Colonial Handle, Exhibit G

“Made in USA” on back of package.

H. Kwikset Sliding Door Lock, Exhibit H

“Made in USA” on back of package.

6. Through the means described in Paragraph 5, respondents have represented, expressly or

by implication, that certain of its locks and lock systems are made in the United States, i.e., that

all, or virtually all, of the component parts of such locks and lock systems are made in the United

States, and that all, or virtually all, of the labor in manufacturing such locks and lock systems is

performed in the United States.

7. In truth and in fact, a significant portion of the components of certain of respondents’

locks and lock systems is, or has been, of foreign origin. Therefore, the representation set forth in

Paragraph 6 was, and is, false or misleading.

8. The acts and practices of respondents 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 eighth day of February, 2001,

has issued this complaint against respondents.

By the Commission.

Donald S. Clark

Secretary

SEAL: