As the partial federal government shutdown enters its second week, businesses both large and small should be aware of the shutdown’s implications for the U.S. Consumer Product Safety Commission (CPSC) and for product safety. Companies should be aware that their obligations under CPSC continue, despite that their partner in product safety is absent until its funding is restored.
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On October 5, 2018, the U.S. Consumer Product Safety Commission (CPSC) announced that it had negotiated a $3.85 million civil penalty with Costco Wholesale Corporation over an alleged failure to report product hazards involving an electronic trash can, which CPSC alleged violated the Consumer Product Safety Act.
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Riding a scooter up and down the block was a common and enjoyable pastime for many when they were kids. Now, the child’s kick scooter has been reimagined as an environmentally friendly and nostalgia-filled commute option: the electric scooter. Electric scooters have cropped up in major cities across the country, including Austin, Nashville, Los Angeles, San Francisco, Scottsdale, Washington, D.C., and Atlanta. The scooters are affordable ($1.00 for the first minute and less after that) and easy to access. They are dockless and so bring mobility to people who otherwise don’t own a car or live near public transit, remove congestion from the roads, and help cities go green.
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Long-anticipated changes to California’s Proposition 65 warning requirements took effect on August 30, 2018, through amendments and new rules issued by the California Office of Environmental Health Hazard Assessment. Among other changes, the new rules now (1) require businesses to provide California consumers with product warnings at the time of purchase, including at the time of online purchases; and (2) change the text of the warnings that businesses may use to qualify for “safe harbor” protections. The new warning requirements apply only to products manufactured after August 30, 2018.
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Manufacturers start with good intentions. They endeavor to create and develop safe products, advertise them accurately, and equip consumers with sufficient warnings and instructions to enable safe and proper use of their products. But despite these efforts, consumers will occasionally find ways to misuse or abuse products in ways that the manufacturer neither intended nor, in some cases, even contemplated.
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“Smart luggage” is truly smart. Companies have created sleek, stylish bags that also contain practical, convenient accessories. Although smart luggage solves all sorts of problems, it has grabbed the attention of airlines and authorities due to the use of lithium batteries.
When companies develop new products, they can often turn to existing regulations to inform the plan and design, ensuring that it complies with the regulations when it is released. But sometimes innovation can make things a bit more complicated. Incorporating new features like an internal scale, GPS tracking, TSA-approved locks, and USB ports to charge electronics, smart luggage perfectly illustrates this tricky situation.
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If a company facing a recall has managed it effectively, the hardest part is probably over. After writing about how companies can prepare for and manage an effective recall, here are strategies companies can use to restore order and maintain brand loyalty following a product recall.
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You put countless dollars and hours into making the best possible product, and it becomes a hit. But something goes wrong, and consumers may be getting hurt. A recall becomes necessary. As part of our series on managing product recalls, this post focuses on important steps companies can take during a product recall.
The first step, as we wrote last week, is to be prepared for a recall. We explained some strategies for how to get prepared in our last blog post on this topic.
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Many people will show their love this Valentine’s Day with a gift of jewelry or chocolate, but others will decide their warm, fuzzy feelings are best expressed through the glow of their favorite consumer product. Companies will enjoy seeing their merchandise fly off the shelves and make people happy. But what should a company do when that success – and the millions of uses that may come with it – suggests a product may pose an unforeseen risk?
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The Consumer Product Safety Commission (CPSC) issued a final rule in October prohibiting the manufacture for sale, offer for sale, distribution in commerce, or importation of toys and child care products containing more than 0.1 percent of five phthalate chemicals. Phthalates make plastics soft and pliable, and are contained in many toys and other products intended for young children. The rule will take effect on April 25, 2018.
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