The Justice Department, together with the Federal Trade Commission (FTC), announced that Kubota North America Corp. (Kubota) has agreed to a settlement that requires it to pay a civil penalty and cease making misleading claims about the origins of its products.
In a complaint filed in the U.S. District Court for the Northern District of Texas, the government alleges that Kubota violated the FTC Act and the Made in USA Rule by falsely marketing foreign-manufactured replacement parts as made in the United States. These false labels affected thousands of replacement parts.
The stipulated order will enjoin Kubota from making country-of-origin claims about any of their products unless the claims satisfy certain requirements, and from making any unsubstantiated representations about their products. The consent decree imposes a $2 million civil penalty.
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