Store Signs Agreement Over Label Allegations

Rick Pallack’s, a Sherman Oaks menswear store, has signed a consent agreement with the Federal Trade Commission after being charged with violating federal law by removing foreign-origin labels from clothing, the FTC said Thursday.

Under the agreement, if the store violates the act in the future it could face a civil penalty of up to $10,000 per violation, FTC spokeswoman Sheila Smaw said. The consent agreement does not constitute an admission that the store broke the law.

The store’s owner and president, Richard Pallack, could not be reached for comment Thursday.

The FTC complaint charged that Pallack violated the Wool Products Labeling Act and the Federal Trade Commission Act by selling wool men’s garments that carried no labels identifying the country where they were manufactured. In some instances, the FTC said, the store removed the labels.