The Federal Trade Commission is sending $140,000 worth of refund checks to more than 4,000 people who purchased falsely labeled goods from the brands.
Consumers who purchased imported products found to be mislabeled as “Made in USA” from multiple New England clothing companies are getting a refund.
The Federal Trade Commission (FTC) recently announced that it will issue refunds to 4,061 people who bought falsely labeled goods from Chaucer Accessories, Bates Accessories, and the Bates Retail Group, which are both owned by Thomas Bates. The money will be sent to consumers via a check in the mail or by PayPal, and recipients should make sure to cash their check within 90 days or redeem their PayPal payment within 30 days.
Back in 2023, the FTC took action against the various companies after finding that a number of the products they sold — including belts, bags, wallets, and shoes — were labeled as “Made in USA” or “Hand Crafted in USA” despite being “wholly imported or incorporated significant imported components.” Some belts were also labeled as “Made in USA from Global Materials,” even though they “consisted of belt straps imported from Taiwan with buckles attached in the U.S.,” according to the FTC.
The FTC ordered Bates and his companies to stop making false “Made in USA” claims and pay a monetary judgment, including a $191,418 fine.
We’ve previously saluted the FTC for stepping up its enforcement of Made in USA labeling requirements, and continue to applaud the agency for its willingness to issue fines against companies found to be breaking the rules. Consumers truly value products that are Made in the USA — our own recent poll with Morning Consult found 77% of voters prefer to buy American-made products, especially during the holidays — and they count on accurate labeling to help them make informed purchasing decisions.
Americans value Made in USA for a number of reasons, from wanting to reinvest their money back into local businesses and communities to seeking high-quality, innovative products to simply wanting to offer support to companies that make their products stateside. When importers slap a false label on their items, they are seeking to take advantage of the PR boost that comes with Made in USA without doing any of the actual work. That’s wrong, and the FTC is right to do something about it.
We continue to encourage the FTC to investigate and take action against false Made in USA labeling. In the meantime, you can take action with your holiday purchases by shopping American-made this holiday season. Check out the 2024 Made in America Holiday Gift Guide for ideas on where to start.