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Comment to CPSC before Feb 4
by
Former_Member
Not applicable
02-01-2014
03:58 PM
All,
This came to me through BCIA (Baby Carriers Industry Alliance) which helps small manufacturers of baby carriers navigate the CPSIA, amongst other things. However, this particular notice is related to anyone governed under CPSIA, including us toy makers, so posting here in case you would like to comment:
****Begin forwarded message*****
Dear business members,
This is a call for immediate action- your participation in this important industry matter is crucial. The CPSC is proposing a major amendment to the Voluntary Recall procedures (Section 15) that will have significant effects on all businesses, large and small. The public comment period for this proposed change closes on February 4th, 2014 so your prompt attention to this matter is required. This change is being made through notices/comments, not regulation. Therefore, your comments are an integral part of the process.
What are the Issues?
Currently most company recalls are voluntary. This has proven to be an effective measure with companies working in co-operation with the CPSC. The usual course of action in the event of a recall is a Corrective Action Plan (CAP), setting forth the remedial action a company will take. Currently corrective action plans are formed and agreed upon by the company and the CPSC, but are not legally binding.
The amendment to Section 15 will change this process significantly. The proposed changes are:
1) Voluntary Corrective Action Plans will become legally binding and therefore enforceable by the CPSC. The legal costs alone of such a measure may well be insurmountable for many small businesses.
2) CAPs may dictate that companies enroll in a mandatory compliance program. The wording of the terms and conditions are wide and generic enough to give the CPSC full discretion to decide whether or not a company is abiding by its compliance program, opening the door for potential penalties and litigation if a company is found to be allegedly in violation of such a program.
3) Under this proposal, voluntary recall notices must have the same elements as mandatory recall notices, effectively distinguishing the two in name only. A company voluntarily recalling a product will have to:
-give direct notice to consumers who purchased the product, regardless of cost or consumer privacy concerns;
-publicize a recall notice by press release, in-store posters, website AND two additional measures, such as video, radio, newspaper, blogs or social media;
-recall notices will have to identify both the US importer AND the foreign manufacturer (information that may be considered to be confidential business information);
-recall notices must identify significant retailers. The wording is vague enough to not specify what constitutes a “significant retailer”, so small retailers and importers take note.
What can you do?
Comment. Submit a comment under the public comment period before Monday, February 4th. The BCIA will be commenting on your behalf as an organization, but the voices of those in business will make the most difference. The more comments there are, the longer it will take the Commission to move this proposed amendment into law. Our best defense is drawing this process out with relevant comments in hopes that cooler heads will prevail at the CPSC.
Invite others to comment. Truly, there is no such thing as too many comments.
The above points under ‘issues’ should give you a place to start. How would a mandatory recall process specifically affect your business? Your comments are vital to ensuring that the Commission has as much information as possible when the Commissioners consider whether to finalize proposed rules into law. Please mention any financial burdens that this would place upon your company. CPSC has done this in a way that allows them to avoid considering the economic cost, but it should still be brought to their attention.
How to submit a comment
The existing rule can be found here: 16 CFR §1115.20
http://www.ecfr.gov/cgi-bin/text-idx?SID=1cf3c44a3b8aac1dce57c1e016735d04&node=16:2.0.1.2.32.2.1.1&r...
A copy of the full proposal and the form for submitting comments is found here.
http://www.regulations.gov/#!documentDetail;D=CPSC-2013-0040-0003
Comments are due February 4, 2014.
Your attention in this important industry matter is much appreciated.
This came to me through BCIA (Baby Carriers Industry Alliance) which helps small manufacturers of baby carriers navigate the CPSIA, amongst other things. However, this particular notice is related to anyone governed under CPSIA, including us toy makers, so posting here in case you would like to comment:
****Begin forwarded message*****
Dear business members,
This is a call for immediate action- your participation in this important industry matter is crucial. The CPSC is proposing a major amendment to the Voluntary Recall procedures (Section 15) that will have significant effects on all businesses, large and small. The public comment period for this proposed change closes on February 4th, 2014 so your prompt attention to this matter is required. This change is being made through notices/comments, not regulation. Therefore, your comments are an integral part of the process.
What are the Issues?
Currently most company recalls are voluntary. This has proven to be an effective measure with companies working in co-operation with the CPSC. The usual course of action in the event of a recall is a Corrective Action Plan (CAP), setting forth the remedial action a company will take. Currently corrective action plans are formed and agreed upon by the company and the CPSC, but are not legally binding.
The amendment to Section 15 will change this process significantly. The proposed changes are:
1) Voluntary Corrective Action Plans will become legally binding and therefore enforceable by the CPSC. The legal costs alone of such a measure may well be insurmountable for many small businesses.
2) CAPs may dictate that companies enroll in a mandatory compliance program. The wording of the terms and conditions are wide and generic enough to give the CPSC full discretion to decide whether or not a company is abiding by its compliance program, opening the door for potential penalties and litigation if a company is found to be allegedly in violation of such a program.
3) Under this proposal, voluntary recall notices must have the same elements as mandatory recall notices, effectively distinguishing the two in name only. A company voluntarily recalling a product will have to:
-give direct notice to consumers who purchased the product, regardless of cost or consumer privacy concerns;
-publicize a recall notice by press release, in-store posters, website AND two additional measures, such as video, radio, newspaper, blogs or social media;
-recall notices will have to identify both the US importer AND the foreign manufacturer (information that may be considered to be confidential business information);
-recall notices must identify significant retailers. The wording is vague enough to not specify what constitutes a “significant retailer”, so small retailers and importers take note.
What can you do?
Comment. Submit a comment under the public comment period before Monday, February 4th. The BCIA will be commenting on your behalf as an organization, but the voices of those in business will make the most difference. The more comments there are, the longer it will take the Commission to move this proposed amendment into law. Our best defense is drawing this process out with relevant comments in hopes that cooler heads will prevail at the CPSC.
Invite others to comment. Truly, there is no such thing as too many comments.
The above points under ‘issues’ should give you a place to start. How would a mandatory recall process specifically affect your business? Your comments are vital to ensuring that the Commission has as much information as possible when the Commissioners consider whether to finalize proposed rules into law. Please mention any financial burdens that this would place upon your company. CPSC has done this in a way that allows them to avoid considering the economic cost, but it should still be brought to their attention.
How to submit a comment
The existing rule can be found here: 16 CFR §1115.20
http://www.ecfr.gov/cgi-bin/text-idx?SID=1cf3c44a3b8aac1dce57c1e016735d04&node=16:2.0.1.2.32.2.1.1&r...
A copy of the full proposal and the form for submitting comments is found here.
http://www.regulations.gov/#!documentDetail;D=CPSC-2013-0040-0003
Comments are due February 4, 2014.
Your attention in this important industry matter is much appreciated.
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