Is A Recall On The Horizon?

The U.S. Consumer Product Safety Commission (CPSC) is an independent regulatory agency responsible for protecting the public from unreasonable risks of injury and death associated with consumer products.

CPSC Reporting

There are three main reports to make to the CPSC: (1) Section 15 reporting; (2) Section 37 reporting; and (3) Section 102 reporting.

Section 15 Reports: Manufacturers, importers, distributors and retailers of consumer products, or other product or substances distributed in commerce, over which the CPSC has jurisdiction, must notify the CPSC immediately if it obtains information which reasonably supports the conclusion that a product distributed in commerce:

1. Fails to comply with an applicable consumer product safety rule or with a voluntary consumer product safety standard upon which the CPSC has relied under section 9;
2. Fails to comply with any other rule, regulation, standard or ban under the CPSA or any other Act enforced by the CPSC;
3. Contains a defect which could create a substantial product hazard; or
4. Creates an unreasonable risk of serious injury or death.

Section 37 Reports: CPSA requires manufacturers of consumer products to report information about settled or adjudicated lawsuits. Reports are required if:

1. A particular model of the product is the subject of at least three civil actions filed in federal or state court;
2. Each suit alleges the involvement of that particular model in death or grievous bodily injury;
3. during two-year periods specified in the law, each of the three actions results in either a final settlement involving the manufacturer or in a court judgment in favor of the plaintiff; or
4. The manufacturer is involved in the defense of or has notice of each action prior to the entry of the final order and is involved in discharging any obligation owed to the plaintiff as a result of the settlement or judgment.

Section 102 Reports: The Child Safety Protection Act (CPSA) requires that companies report certain choking incidents to the Commission. Each manufacturer, distributor, retailer, and importer of a marble, a ball with a diameter of 1.75″ or less (“small ball”), latex balloon or other small part, or a toy or game that contains such a
marble, ball, balloon, or other small part must report information that reasonably supports the conclusion:

1. That a child (regardless of age) choked on such a marble, small ball, balloon, or small part; and
2. that, as a result of the incident, the child died, suffered serious injury, ceased breathing for any length of time, or was treated by a medical professional.

Is reporting required?

Each report has their own reporting requirement.

1. Section 15: If a business determines the business needs to make a report, the business must report “immediately.” This means the business should notify the CPSC within 24 hours of obtaining information requiring reporting.
2. Section 37: A manufacturer must report within 30 days after a judgment or final settlement in the last f three lawsuits.
3. Section 102: Businesses must file a report within 24 hours of obtaining information.

What happens after a report?

The CPSC evaluates the report and works with the reporting business to determine if corrective action is appropriate. Self-reporting to the CPSC, under Section 15 reporting, does not automatically mean the CPSC will conclude that the product creates a “substantial product hazard” or that corrective action is necessary.

The reports are generally confidential unless:

1. a remedial action plan has been accepted in writing;
2. A complaint has been issued;
3. The reporting business consents to the release; or
4. the CPSC publishes a finding that public health and safety requires public disclosure with a lesser period of notice than 15 days.