CPSIA – News Round-up

What a day for news on our favorite subject!

a. A sad, almost pathetic, illustration of the ill-effects of the CPSIA is found here: “Police Switch To Handing Out Books To Children” (WISC-TV, Channel3000.com). Be SURE to check out the embedded video, too. In this article, this Wisconsin television station shares the news that police cannot give out teddy bears anymore to children who witness traumatic events like a robbery or the arrest of a parent. For years, the police had been trying to soften those blows with comforting teddy bears. But no more! The CPSIA straightened them out: “The new Consumer Product Safety Improvement Act . . . has law enforcement officers rethinking handing out stuffed animals because of the chemicals they might contain. . . . Mueller said that he used to hand out Teddy bears or other stuffed toys to children. Now, Middleton police are using the books to make sure they’re in compliance with new federal regulations.”

The local police are scared of the consequences of breaking this law: “‘One of the reasons for that is we get older toys that come in and they’re perfectly fine to give out, but we don’t know if they were made under the new requirements,’ [Middleton police Sgt. Don Mueller ] said. . . . The new federal law is retroactive so the departments like Middleton are no longer using any stuffed animals as they can be held liable.”

How charming! The CPSIA is actually taking teddy bears away from traumatized children, nice. At least we know the kids will be so, so safe now.

Btw, as you all know, our company makes educational products, including readers, so I am hardly opposed to giving books to kids. I would observe, however, that there are a couple obvious issues here. First of all, it’s an odd message to a kid that just saw a parent being arrested to receive a book. Hey, kid, go read this book and try not to think about where we’re taking your folks. Not much solace in that, certainly compared to a teddy bear. A second objection is, here’s a shocker, not everyone speaks English. Giving a book in English to a traumatized child who does not speak English or has poor reading skills could even be seen as a kind of insult.

b. For a view from the scary people behind the law, check out: “Toxic Toy Law Criticized For ‘Lack Of Enforcement” (WBZ Boston). In this alarming article full of inaccuracies, fear of the unknown is given a great deal of unquestioning credibility. “‘They don’t really know if lead or phthalates are in their products, so we don’t know either,’ said [Environmental activist Laura Spark]. Her daughters have a playroom full of toys that she can only hope are free from lead and other toxic chemicals.” In other words, Ms. Sparks doubts everything about everyone, and feels free to spread this doubt among the populace. The grounds for this latest libel of the toy industry: HealthyStuff.org’s recent spot check of pet products, automobiles and women’s handbags.

HealthyStuff.org (formerly known as HealthyToys.org) has been the subject of criticism in the past for its shoddy field work. Among other things, the Wall Street Journal published an article entitled “Guerrilla Toy Testers Take Aim at Lead” on December 16, 2008 documenting their maligning of a toy company. Now the presence of “dangerous chemicals” in pet products is enough to convince a TV station that the entire children’s products industry can’t be trusted?

To compound the sense of fear, the article also completely misstates the Target fine, asserting that it was a “knowing” lead-in-paint violation, which is patently untrue. See my recent blogpost on Target.

c. For a glimpse of the future of litigation under the CPSIA, check out “Mattel Settles Suit Over Lead in China-Made Toys ” (WSJ). Mattel has already paid big settlements in California and Arizona, as well as a serious CPSC fine, and paid many millions more for the expense of its mega recall. It’s not enough, apparently: “Co-plaintiff lead counsel Whatley Drake & Kallas said in a statement the settlement provides ‘tens of millions of dollars in monetary relief as well as significant injunctive relief.’” That’ll teach ya!

While my heart does not bleed for Mattel (“The world’s largest toy maker previously recorded charges to reserve for the litigation. The company, based in El Segundo, Calif., said final settlement won’t be material to its operating results. . . . Mattel shares were up 2.9% to $19.41 in recent trading amid a broad market rally.”), this case is at the heart of one of the worst risks embedded in the CPSIA – the possible onslaught of litigation opened up by recalls under the new law.

This problem will continue to bite the children’s product industry HARD. My previous blogpost highlighted the snarling lawyers poised at the gate, eyeing us eagerly. Oh joy.

Read more here:
CPSIA – News Round-up

CPSIA – Too Much of a Good Thing? Nah!

The CPSC’s notorious Resale Roundup was greeted with more “acclaim” by Fox News this week. I don’t know whether to laugh or cry. Be sure to check out the article (“New Government Policy Imposes Strict Standards on Garage Sales Nationwide”), the slideshow (“Ridiculous Recalls?”) and the video . Each is worth your time. For those who are not familiar with this novel new program, the CPSC is fanning out to save you from “evil” resellers who might be foisting off recalled items on you. This includes spying on local garage sales, visiting your local resale shop and poking around on eBay and Craigslist.com. The CPSC has apparently given up on education and individual responsibility as a way to protect against harm – instead, they are redoubling their effort to be the Cop On The Beat, like it or not. In this case, they have chosen to make up a fake crisis, the resale of recalled items, to justify becoming an active protector of the public safety. To get the flavor of this article and the basic problem, here are a few quotes: 1. “The [strict CPSIA] standards were originally interpreted to apply only to new products, but now the CPSC says they apply to used items as well. ‘Those who resell recalled children’s products are not only breaking the law, they are putting children’s lives at risk,’ said CPSC Chairman Inez Tenenbaum. ‘Resale stores should make safety their business and check for recalled products and hazards to children.’” RW – Note that Ms. Tenenbaum justifies this massive incursion into people’s lives by the claim that recalled items “[put] children’s lives at risk”. While I concede SOME recalled items might in fact endanger children’s lives, please check out the slideshow for perspective on the mortal danger posed by many recalled items. Hmmm. A little hyperbole, perhaps? There are ways to deal with the limited problem of certain dangerous items circulating without resorting to the claim that there’s a Five Alarm Fire burning. 2. “CPSC spokesman Scott Wolfson says the fines are intended for large companies with serious infractions. ‘CPSC is an agency that has used its penalty powers over its 30-year history against companies,’ Wolfson told FOXNews.com. ‘CPSC is not seeking to pursue penalties against individuals hosting a garage sale or yard sale, we are encouraging them to take the right steps to not resell recalled products.’ But FOX News Legal Analyst Bob Massi says the law makes no distinction for families and small resellers. . . . Don Mays, senior director of product safety planning at the publisher of Consumer Reports, says the hefty penalties are necessary to have an impact. ‘The former civil penalty limit of $1.87 million was too small to be an effective deterrent to large companies who flagrantly violated the law,’ Mays told FOXNews.com. ‘Mattel and its subsidiary Fisher-Price, for example, recently paid a $2.3 million penalty for importing about 2 million toys that violated the CPSC 30-year-old lead paint ban — that amounts to just over one dollar per toy.’” RW – CPSC says they won’t hit you with big penalties, but the law permits it. The Fox video shows that people are afraid. It’s hard to trust a regulatory agency out looking for “bad guys” in your garage with a BIG stick and no checks, balances or controls on how it will use it. Yes, they claim to be all sweetness and light – but what happens if they change their minds? The consumer groups are all for hefty fines, as Mr. Mays confirms, and nowadays, they seem to be passing notes to Congress and to the CPSC. So, is it any surprise that many people are quite alarmed? Side note: Don’t worry, the CPSC says they won’t be coming into your home (yet): “Scott Wolfson, a spokesman for the agency, said it wouldn’t be dispatching bureaucratic storm troopers into private homes to see whether people were selling recalled products from their garages, yards or churches. ‘We’re not looking to come across as being heavy-handed,’ he said. ‘We want to make sure that everybody knows what the rules of engagement are to help spur greater compliance, so that enforcement becomes less of an issue. But we’re still going to enforce.’” Aha. Personally, I feel SO much better now. 3. “‘It is scary to think that there could be such hefty fines imposed on unsuspecting households,’ another garage sale organizer, Patti Lombardi, told FOXNews.com. ‘I think I speak for many people when I say that the government spends too much time interfering in the individual citizen’s personal life and this is almost bordering on the ridiculous … what if it opens up a Pandora’s box of litigation brought by the purchasers of items at garage sales?’” RW – Ms. Lombardi hits the nail on the head for the business community. We all KNOW that litigation will follow in the wake of this law. There is a reason why the trial bar-supported consumer groups are all so gung-ho on this law. Everything’s illegal now (check out your reporting requirements under Section 15(b) of the CPSIA – you have a generous 24 hours to report ANY violation of ANY term of ANY law, regulation or rule enforced by the CPSC (they don’t even publish a list, btw) – super!). Litigation by public attorney generals, State attorney generals and the Feds is expected by everyone. Given that it is inevitable that everyone will have violated something, and with the imputed knowledge standard of the CPSIA, probably deemed to have done so “intentionally”, the choice of when and who to sue will favor the government rather substantially. The law was written to terrorize – and mission accomplished, it has. 4. “‘If I’ve got a wirebound notebook, the lead content in that wire binding is now under scrutiny, even though the chance of ingesting lead in any amount from something like that is virtually non-existent, [TimetoPlayMag.com content director Chris Byrne] said. ‘It’s a level of political grandstanding to say ‘we’re taking care of everything,’ but the science clearly demonstrates that the transference is not really possible — I mean, a child who eats the wire binding from a notebook is going to have significantly worse health problems than lead.’” Perhaps you get the idea. I wonder if the CPSC and Congress will EVER get the idea.

More:
CPSIA – Too Much of a Good Thing? Nah!

CPSIA – Consider the Source (Part II)

From an article in today’s BNA entitled “Need for CPSIA Changes Debated”, “In an interview with BNA, Nancy Cowles, executive director of Kids in Danger, praised the commission’s July decision on fashion jewelry accessories. Cowles told BNA that lead is a severe toxin with no safe level. She added that while more common sense could be applied to determining which products are hazardous, consumers overall do not want products containing lead. “People will come up with other ways to put [jewelry] on children’s clothing that isn’t toxic. Whether the lead [in rhinestones] leaches out fully, it’s hard to know, but we don’t want lead in our children’s products. We will come up with other ways to decorate our clothes,” Cowles said.” There are other quotes from consumer groups in this article that set my blood ablaze, but I thought this one deserves special “heralding”. I should note that I have written about rhinestones extensively, and debunked the opinion expressed by the estimable Ms. Cowles thoroughly. [See my "Jewelry" tags.] You may wonder, why do I care so much about rhinestones. Our business does not use rhinestones, so what’s the big deal for me? Rhinestones is a poster child for the stupidity of the law. The impact of the CPSIA on rhinestones is the impact that is bedeviling the entire children’s product industry, from toys to books to shoes to bedding to what-have-you. If rhinestones go down, safe as they are, we all go down. If we can save rhinestones on a rational and fair basis, perhaps the rest of us will get fairer treatment. That said, I have a couple comments on Ms. Cowles’ remarks. First of all, she is fear mongering, not advocating for you and your children. She says rhinestones are “toxic” – I say “prove it”. The people behind the CPSIA are left with few options to save their precious law but to deceive the general public about health risks. The case on rhinestones is out there to be examined by Ms. Cowles. Why not attack rhinestones with data and analysis? Because no data or analysis exists to weaken the case FOR rhinestones. The “there’s no safe level of lead” mantra is faulty. We already consume plenty of lead in our air, our food and our water daily. The rationale that trace presence of lead in children’s products is somehow the health “tipping point” has never been proven and frankly cannot be asserted on a reasoned, scientific basis. The lead we consume in our normal daily activities dwarfs the lead you might ingest from casual contact with children’s products. If there really is “no safe level for lead”, then our wise Congress should attack the big sources of lead first, and leave the rest of us for later. Second, Ms. Cowles is sending a lot of people down the river with her casual condemnation of rhinestones. I would note that many industries use rhinestones in their products. The people who run those companies, are employed by those companies, are supported by income from those companies, trade with those companies or value those products in their lives, will ALL lose if the likes of Ms. Cowles get to run our society. Does that make ANY sense to ANYONE (besides Ms. Cowles)? I keep thinking of the prescription she offers for living a safe and wondrous life. She says we will (and should) find something else to decorate our products with. Perhaps Ms. Cowles decorates herself with the jewels from Pretty, Pretty Princess . That’s what she is suggesting, that we get used to plastic jewelry. Perhaps Ms. Cowles can live with getting gifts for her kids from a vending machine, but that’s not how I want to live. As I have noted before, inexpensive stones are a way for people to bedeck kids with jewelry inexpensively. Rhinestones are important to a lot of people, some of whom may not have the economic wherewithal to switch to diamonds and rubies. In addition, it’s an inexpensive way to let little kids have a bit of bling. If you are trying to make your little kids look special for social, cultural or religious reasons, I think Palladium earrings may be somewhat impractical for most people. Little kids to tend to outgrow their clothing and shoes quickly. Parents can’t really afford to buy and rebuy clothing and jewelry using precious stones as their kids grow, and may never warm up to Pretty, Pretty Princess jewelry. If this is the way it has to be, I think we should think more insightfully about who is writing the rules for our society. Increasingly, the recommendations of consumer advocates are ringing more and more hollow. How crazy has the world become? Consider this quote from the November 2008 “Trouble in Toyland” report issued by the Vermont PIRG: “Some children’s toys, jewelry and cosmetics may contain toxic chemicals, especially lead and toxic phthalates. . . . PHTHALATES AND OTHER CHEMICALS Avoid toys made of PVC plastic; which often contains phthalate softeners. Choose unpainted wooden or cloth toys instead.” Yes, PIRG wants us to use cloth toys and plain unpainted wooden toys to be “safe”. But how “safe” are these toys? The CPSC, after due consideration, has informed us in their new phthalates testing standard : “Examples of materials that do not normally contain phthalates and, therefore, might not require testing or certification are . . . Natural wood [and] Textiles made from natural fibers, such as cotton or wool . . . .” Uh-oh! PIRG is telling you to buy products that MIGHT contain phthalates! Ouch. [To be fair, I have no idea how phthalates would get in there, but heck, the CPSC says they MIGHT. They must know something I don't.] So PIRG has it wrong – we can’t even play with cloth toys or wood. What’s left? Rocks. Oh, no – rocks need to be tested for lead, phthalates and sharp points! Well, perhaps after the Residential Rock Roundup is wrapped up, we will all be safe to move into caves to play with our rocks. Ms. Cowles, get your own cave – you can’t play with my rocks.

View post:
CPSIA – Consider the Source (Part II)

CPSIA – A Rich Irony, Courtesy of the CPSC

As you probably know by now, Mattel won approval from the CPSC for its seven proprietary overseas labs to conduct official and certified safety tests under the CPSIA.

Read this article:
CPSIA – A Rich Irony, Courtesy of the CPSC

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