According to the Consumer Product Safety Commission, 397 consumer products were recalled in fiscal year 2005. This was the most recalls in a decade. The Commission also set a record for the amount of fines levied against companies for failing to report product defects. Six different companies were fined a total of $8.8 million.
Federal law requires manufacturers, distributors, retailers and importers to report to CPSC when a product 1) does not comply with a safety rule, 2) contains a defect that could create a substantial risk of injury to the public, or 3) presents an unreasonable risk of serious injury or death.
In fiscal year 2005, CPSC received 547 reports under this law. That represents an increase of almost 100 reports over the previous year’s record high. Chairman Stratton has strongly encouraged product hazard reporting on the part of all CPSC’s stakeholders over the past 3 years.