In the Matter of International Harvester Co.
Federal Trade Commission
104 F.T.C. 949 (1984)
International Harvester (Harvester) (defendant) knew as early as 1958 that its tractors could suffer 'fuel geysering' — built-up heat and pressure in the fuel tank that could suddenly release hot fuel, causing burns and fires — yet its remedial steps stayed incomplete for two decades: a 1958 dealer notice, a 1963 manual warning against removing a hot fuel cap (without ever naming the geysering danger), a 1976 warning decal with limited distribution, and only in 1979 a full Fuel Fire Prevention Program mailing detailed explanations and safety precautions to customers. The FTC brought an enforcement action alleging Harvester's incomplete disclosure over those two decades was an unfair trade practice under section 5 of the FTC Act; an administrative law judge agreed, and Harvester sought review by the full Commission.
Whether a non-deceptive failure to disclose a product's dangers can constitute an unfair trade practice in violation of section 5 of the Federal Trade Commission Act.