Selling recalled products and not reporting problems is a serious matter -- and Burlington Coat Factory is finding out just how serious.Â
The U.S. Consumer Product Safety Commission (CPSC) says the Burlington, NJ-based retailer has agreed to pay a civil penalty of $1,5 million to resolves CPSC staff allegations of a variety of offenses.Â
AllegationsÂ
Among the allegations are that Burlington knowingly failed to report immediately to CPSC, as required by federal law, that it had sold many different children's sweatshirts and jackets with drawstrings at the neck between 2003 and 2010. Children's upper outerwear with drawstrings, including sweatshirts, sweaters, and jackets, poses strangulation and entanglement hazards to children that can result in serious injury or death.Â
The settlement also resolves CPSC staff allegations that from 2008 to 2012, contrary to federal law, Burlington knowingly sold or had in its store inventories many of these garments after they had been recalled.Â
The penalty is the highest that CPSC has ever assessed for violations involving children's upper outerwear with drawstrings.Â
Reporting requirements
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 that could create a substantial product hazard, creates an unreasonable risk of serious injury or death, or fails to comply with any consumer product safety rule or any other rule, regulation, standard or ban enforced by CPSC.Â
Federal law also bars selling products that have been recalled by a manufacturer.Â
Drawstring warnings
CPSC began warning about drawstring dangers in the early 1990s. The agency issued guidelines in 1996 about drawstrings in children's upper outerwear. Those guidelines were incorporated into an industry voluntary standard in 1997. In 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 presenting a substantial risk of injury to young children.Â
Then, in July 2011, based on the guidelines and voluntary standard, CPSC issued a federal regulation that designated as substantial product hazards children's upper outerwear in sizes 2T to 12 (or extra-small to large) with neck or hood drawstrings, and children's upper outerwear in sizes 2T to 16 (or extra-small to extra-large) with certain waist or bottom drawstrings.Â
The sweatshirts and jackets that are the subject of the penalty were sold by Burlington Coat Factory stores throughout the country. Beginning in 2007, CPSC and the garments' manufacturers and distributors, as well as Burlington in 2010, announced the recalls listed below of children's garments with drawstrings covered by the penalty.
_
Manufacturer/Importer/Distributor/Retailer
Product
Number of Units (Approximate)
_
5 Star Apparel
Mecca children's hooded jackets with drawstrings
11,500
_
Allura Imports
Girls' hooded sweatshirts
3,700
_
Baycreek
Hooded sweatshirts
1,900
_
Bobens Trading
Girls' hooded sweatshirts with drawstrings
3,900
_
Brand Evolution
Locks All Over boys' hoody, All Over Skaters boys' hoody and
Rock Mask boys' hoody
2,800
_
Bubblegum USA
Girls' hooded jackets with drawstrings
900
_
Burlington Coat Factory
12 brands of hooded jackets and sweatshirts
10,000
_
Byer California
Girls' cargo pocket jackets
600
_
Fashion Options
Boys' velour warm-up sets
5,400
_
Franshaw
Children's hooded jackets
2,400
_
Haselson International Trading
Children's hooded sweatshirts with drawstrings
23,000
_
Hind Fashions
Boys' hooded jackets
200
_
Jason Evans
Boys' fleece & flannel zip hooded sweatshirts with drawstrings
18,300
_
Jason Evans
Children's hooded jackets
1,300
_
KOMAN Sportswear
Boys' hooded sweatshirts and warm-up sets
13,300
_
Liberty Apparel
Jewel brand girls' hooded sweatshirts
12,000
_
Liberty Apparel
Jewel girls' hooded sweatshirts with drawstrings
2,300
_
Lollytogs
Rim Rocka boys' hooded jackets and Pelle Pelle girls' hooded jackets
23,000
_
North-Sportif
North-Sportif hooded jackets and reversible vests
360 jackets and 360 vests
_
Regaliti
Girls' hooded jackets with drawstrings
3,600
_
S. Rothschild & Co.
Girls' coats
13,500
_
Ten West Apparel
Boys' hooded jackets
75
_
Trendset Originals
Girls' hooded jackets
2,400 of Marci & Me brand,
unknown number of Shampoo brand
_
Weeplay Kids
Hooded sweatshirts with drawstrings
11,800
_
In agreeing to the settlement, Burlington denies CPSC staff allegations that it knowingly violated the law.
How they voted
Yes
Yes