Analysis of Proposed Consent Order to Aid Public Comment 

In the Matter of Chemence, Inc., a corporation, and James Cooke, individually and as an 

officer of Chemence, Inc., File No. X160032 

The Federal Trade Commission (“FTC” or “Commission”) has accepted, subject to final 

approval, an agreement containing a consent order from Chemence, Inc. and James Cooke 

(“Respondents”). 

The proposed consent order has been placed on the public record for thirty (30) days for 

receipt of comments by interested persons. Comments received during this period will become 

part of the public record. After thirty (30) days, the Commission will again review the 

agreement and the comments received, and will decide whether it should withdraw from the 

agreement or make final the agreement’s proposed order. 

This matter involves Respondents’ advertising, labeling, sale, and distribution of 

cyanoacrylate “superglue” products as made in the United States. According to the FTC’s 

complaint, Respondents represented that the cyanoacrylate “superglue” products they 

manufactured and supplied to trade customers were all or virtually all made in the United States. 

In fact, significant proportions of the chemical inputs, and overall costs, to manufacture 

Respondents’ cyanoacrylate “superglues” are attributable to foreign materials. In numerous 

instances, foreign materials accounted for more than 80% of materials costs and more than 50% 

of overall manufacturing costs for these products. The complaint also alleges that, by 

distributing promotional materials containing misrepresentations regarding the U.S. origin of 

their products, Respondents provided trade customers the means and instrumentalities to commit 

deceptive acts or practices. Based on the foregoing, the complaint alleges that Respondents 

engaged in deceptive acts or practices in violation of Section 5(a) of the FTC Act, and violated a 

2016 federal court order in the process. 

The proposed consent order contains provisions designed to prevent Respondents from 

engaging in similar acts and practices in the future. Consistent with the FTC’s Enforcement 

Policy Statement on U.S. Origin Claims, Part I prohibits Respondents from making U.S.-origin 

claims for their products unless either: (1) the final assembly or processing of the product occurs 

in the United States, all significant processing that goes into the product occurs in the United 

States, and all or virtually all ingredients or components of the product are made and sourced in 

the United States; (2) a clear and conspicuous qualification appears immediately adjacent to the 

representation that accurately conveys the extent to which the product contains foreign parts, 

ingredients or components, and/or processing; or (3) for a claim that a product is assembled in 

the United States, the product is last substantially transformed in the United States, the product’s 

principal assembly takes place in the United States, and United States assembly operations are 

substantial. 

Part II prohibits Respondents from making any country-of-origin claim about a product 

or service unless the claim is true, not misleading, and Respondents have a reasonable basis 

substantiating the representation. 
 

 

 

 

 

 

 

Part III prohibits Respondents from providing third parties with the means and 

instrumentalities to make the claims prohibited in Parts I or II. 

Parts IV through VI are monetary provisions. Part IV imposes a judgment of $1,200,000. 

Part V includes additional monetary provisions relating to collections. Part VI requires 

Respondents to provide sufficient customer information to enable the Commission to administer 

consumer redress, if appropriate. 

Part VII is a notice provision requiring Respondents to identify and notify certain thirdparty trade customers of the FTC’s action within 30 days after the issuance of the order, or 

within 30 days of the customer’s identification, if identified later. Respondents are also required 

to submit reports regarding their notification program. 

Parts VIII through XI are reporting and compliance provisions. Part VIII requires 

Respondents to acknowledge receipt of the order, to provide a copy of the order to certain 

current and future principals, officers, directors, and employees, and to obtain an 

acknowledgement from each such person that they have received a copy of the order. Part IX 

requires Respondents to file a compliance report within one year after the order becomes final 

and to notify the Commission within 14 days of certain changes that would affect compliance 

with the order. Part X requires Respondents to maintain certain records, including records 

necessary to demonstrate compliance with the order. Part XI requires Respondents to submit 

additional compliance reports when requested by the Commission and to permit the Commission 

or its representatives to interview Respondents’ personnel. 

Finally, Part XII is a “sunset” provision terminating the order after twenty (20) years, 

with certain exceptions. 

The purpose of this analysis is to aid public comment on the proposed order. It is not 

intended to constitute an official interpretation of the proposed order or to modify its terms in 

any way.