I'm so stupid!

I had to learn the hard way that you really need to wash ALL clothes purchased. I always did for undergarments and tops, but not pants. This time I got an itchy rash.... From what I hear clothing companys put formaldehyde on their clothes!!! What the H-E-Double Hockey Stick are they thinking?! How is this legal? and why dont they have to warn the purchasers that their clothing is covered in a carcinogen poison?