Export Compliance Daily is a service of Warren Communications News.

CPSC Announces Settlements, Penalties for Failure to "Immediately Report" Drawstrings

The Consumer Product Safety Commission has issued notices of its provisional acceptance of settlement agreements and orders containing civil penalties against Kohl's Department Stores and Hill Sportswear for failure to report drawstrings in children's sweatshirts as they represent a defect which could create a substantial product hazard, etc.

Sign up for a free preview to unlock the rest of this article

Export Compliance Daily combines U.S. export control news, foreign border import regulation and policy developments into a single daily information service that reliably informs its trade professional readers about important current issues affecting their operations.

Any interested person may ask CPSC not to accept these agreements or otherwise comment on their contents by filing a written request with the Office of the Secretary by September 25, 2009.

Kohl's Agrees to Pay $425,000, Hill Agrees to Pay $100,000

CPSC has entered into a provisionally accepted settlement agreement with Kohl's, and has issued an order imposing a civil penalty of $425,000 to settle allegations that Kohl's failed to report to CPSC immediately, as required by federal law, that children's hooded sweatshirts it sold had drawstrings at the neck.

(In 2008, Kohl's paid a $35,000 civil penalty for a similar reporting failure. See ITT's Online Archives or 05/02/08 news, 08050230 for BP summary.)

In addition, CPSC has entered into a provisionally accepted settlement agreement with Hill Sportswear, and has issued an order imposing a civil penalty of $100,000 to settle allegations that Hill Sportswear failed to report to CPSC immediately, as required by federal law, that children's hooded sweatshirts it manufactured, held for sale, and/or sold had drawstrings at the neck.

(According to the CPSC, in February 1996 it issued drawstring guidelines to help prevent children from strangling or getting entangled on the neck and waist drawstrings in upper outerwear, such as jackets and sweatshirts. In May 2006, CPSC's Office of Compliance announced that children's upper outerwear with drawstrings at the hood or neck would be regarded as defective and a substantial risk of injury to young children.)

Reporting to CPSC Required to Occur Within 24 Hours

Federal law requires manufacturers, distributors, and retailers to report to CPSC immediately (within 24 hours) after obtaining information reasonably supporting the conclusion that a product contains a defect which could create a substantial product hazard, presents an unreasonable risk of serious injury or death, or violates any consumer product safety rule or any other rule, regulation, standard, or ban enforced by the CPSC.

CPSC contact - Seth Popkin (301) 504-7612

CPSC FR notice for Kohl's (FR Pub 09/10/09) available at http://edocket.access.gpo.gov/2009/pdf/E9-21764.pdf

CPSC FR notice for Hill (FR Pub 09/10/09) available at http://edocket.access.gpo.gov/2009/pdf/E9-21763.pdf

CPSC Kohl's press release (dated 09/08/09) available at http://www.cpsc.gov/cpscpub/prerel/prhtml09/09341.html

CPSC Hill press release (dated 09/08/09) available at http://www.cpsc.gov/cpscpub/prerel/prhtml09/09340.html