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American Government Topic:  Brake Guard

Announced Actions for September 17, 2002

Agency: Federal Trade Commission
Date: 17 September 2002
[Non-automotive content removed.]
The U.S. District Court for the Western District of Washington in Seattle has entered a default judgment and order in the court matter filed against Brake Guard Products, Inc.; Brake Guard Limited Liability Company; and Kimberly Bennett in her capacity as representative of the estate of Ed F. Jones. The judgment, which was issued on July 29, 2002 against three of the four defendants in the matter, concerns a complaint filed by the U.S. Department of Justice on the Commission's behalf on May 11, 2001, seeking civil penalties and a permanent injunction against the defendants for allegedly violating a 1997 consent order. Under the terms of the 1997 order, the defendants were ordered to stop making false claims (as well as to stop using the term "ABS") in the advertising for their after-market brake products.

Through the default judgment, the defendants are permanently barred from: 1) advertising for, selling, or distributing the Brake Guard Safety System, Brake Guard ABS, or any substantially similar product; 2) making false representations regarding these products' attributes, efficacy, performance, safety, or benefits; and 3) violating any terms of the Commission's order in the future. The defendants also must provide a copy of the order to specified relevant parties and individuals for five years and are required to meet stringent monitoring and compliance requirements regarding their sales personnel. Finally, they are subject to record-keeping requirements, must shut down their Web site, and must file a written report with the Commission 180 days after entry of the judgment and order certifying their compliance with its terms. The case against Lawrence H. Jones remains in litigation. (Civ. No. C01-686P; staff contact is James Reilly Dolan, FTC Bureau of Consumer Protection, 202-326-3292; see press releases dated October 2, 1995; May 9 and March 11, 1997; January 23, 1998; and May 31, 2001.)

Copies of the documents mentioned in this release are available from the FTC's Web site at http://www.ftc.gov and also from the FTC's Consumer Response Center, Room 130, 600 Pennsylvania Avenue, N.W., Washington, D.C. 20580. Call toll-free: 1-877-FTC-HELP.



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