Analysis of Proposed Consent Order to Aid Public Comment

In the Matter of Nectar Brand LLC, also d/b/a Nectar Sleep; Dreamcloud, LLC; and 

Dreamcloud Brand LLC File No. 1823038

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

approval, an agreement containing a consent order from Nectar Brand LLC, also d/b/a Nectar 

Sleep; Dreamcloud, LLC; and Dreamcloud Brand LLC (“respondent”).

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 respondent’s marketing, sale, and distribution of mattresses with

claims that the products are assembled in the United States. 

According to the FTC’s complaint, respondent represented that its products are 

“assembled in the USA.” In fact, the respondent’s mattresses are wholly imported. Therefore, 

this representation was false or misleading. Based on the foregoing, the complaint alleges that 

respondent engaged in deceptive acts or practices in violation of Section 5(a) of the FTC Act.

The proposed consent order contains provisions designed to prevent respondent 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 respondent 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 respondent from making any country-of-origin claim about a product or 

service unless the claim is true, not misleading, and respondent has a reasonable basis 

substantiating the representation. 

Parts III through V are reporting and compliance provisions. Part III requires the filing of 

compliance reports within one year after the order becomes final and within 14 days of any 

change that would affect compliance with the order. Part IV requires respondent to maintain 

certain records, including records necessary to demonstrate compliance with the order. Part V

requires respondent to submit additional compliance reports when requested by the Commission 

and to permit the Commission or its representatives to interview respondent’s personnel.
Finally, Part VI 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.