Holiday Magic - Legal Problems

Legal Problems

The State of California filed suit against Holiday Magic in December, 1972.

In February 1973, Holiday Magic was sued by Avon Products. In the lawsuit, Avon Products' claimed that "Holiday Magic employees distributed leaflets accusing Avon of goon squads, paying off The District attorney's office.."

In June 1973, the United States Securities and Exchange Commission filed a lawsuit against Holiday Magic, charging Patrick with "bilking some 80,000 people out of more than $250 million through his Holiday Magic cosmetics and soap empire."

The company was investigated by the Federal Trade Commission, and in June 1973 the company was found guilty of deceptive trade practices. The FTC found that Holiday Magic was in violation of section 5 of the Federal Trade Commission Act, and section 2 (a) of the Clayton Antitrust Act.

In 1973, Holiday Magic's proceedings were prohibited by the Market Court of Sweden, and a fine of 2 million kronor was imposed.

Read more about this topic:  Holiday Magic

Famous quotes containing the words legal and/or problems:

    The trouble with Eichmann was precisely that so many were like him, and that the many were neither perverted nor sadistic, that they were, and still are, terribly and terrifyingly normal. From the viewpoint of our legal institutions and of our moral standards of judgment, this normality was much more terrifying than all the atrocities put together.
    Hannah Arendt (1906–1975)

    Sustained unemployment not only denies parents the opportunity to meet the food, clothing, and shelter needs of their children but also denies them the sense of adequacy, belonging, and worth which being able to do so provides. This increases the likelihood of family problems and decreases the chances of many children to be adequately prepared for school.
    James P. Comer (20th century)