[Federal Register Volume 63, Number 57 (Wednesday, March 25, 1998)]
[Notices]
[Pages 14428-14429]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-7672]


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CONSUMER PRODUCT SAFETY COMMISSION

[CPSC Docket No. 98-C0008]


In The Matter of Safety 1st, Inc., a Corporation; Provisional 
Acceptance of a Settlement Agreement and Order

AGENCY: Consumer Product Safety Commission.

ACTION: Provisional acceptance of a settlement agreement under the 
Consumer Product Safety Act.

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SUMMARY: It is the policy of the Commission to publish settlements 
which it provisionally accepts under the Consumer Product Safety Act in 
the Federal Register in accordance with the terms of 16 CFR 1118.20. 
Published below is a provisionally-accepted Settlement Agreement with 
Safety 1st, Inc., a corporation, containing a civil penalty of 
$175,000.

DATES: Any interested person may ask the Commission not to accept this 
agreement or otherwise comment on its contents by filing a written 
request with the Office of the Secretary by April 9, 1998.

ADDRESSES: Persons wishing to comment on this Settlement Agreement 
should send written comments to the Comment 98-C0008, Office of the 
Secretary, Consumer Product Safety Commission, Washington, D.C. 20207.

FOR FURTHER INFORMATION CONTACT: William J. Moore, Jr., Trial Attorney, 
Office of Compliance and Enforcement, Consumer Product Safety 
Commission, Washington, D.C., 20207; telephone (301) 504-0626.

SUPPLEMENTARY INFORMATION: The text of the Agreement and Order appears 
below.

    Dated: March 18, 1998.
Sadye E. Dunn,
Secretary.
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CONSUMER PRODUCT SAFETY COMMISSION

Settlement Agreement And Order

    1. Safety 1st, Inc. (``Safety 1st'') a corporation, enters into 
this Settlement Agreement and Order with the staff (``the staff'') of 
the Consumer Product Safety Commission (``the Commission'') in 
accordance with 16 CFR 1118.20 of the Commission's Procedures for 
Investigations, Inspections, and Inquiries under the Consumer Product 
Safety Act (``CPSC'').

I. The Parties

    2. The Consumer Product Safety Commission is an independent federal

[[Page 14429]]

regulatory agency responsible for the enforcement of the Consumer 
Product Safety Act, 15 U.S.C. 2051-2084.
    3. Safety 1st is a corporation organized and existing under the 
laws of the State of Massachusetts. Its principal offices are located 
at 210 Boylston Street, Chestnut Hill, MA 02167.

II. Staff Allegations

    4. Between April 1994 and December 1994 Safety 1st manufactured and 
distributed approximately 191,000 portable Safety 1st Safe Keeper Bed 
Rails and Flashlight model 177 (hereinafter, ``Bed Rail'') in the 
United States. Safety 1st is, therefore, a manufacturer, distributor 
and a private labeler of the Bed Rail in commerce.
    5. The Bed Rail is a portable household device intended to keep 
young children from falling out of bed. The Bed Rail is a consumer 
product.
    6. The plastic support arm(s) of the Bed Rail may break or separate 
from the rest of the guard rail when children users move against them 
allowing children to become stuck between rail and bed or to fall out 
of bed. In addition, a sharp edge along the hard plastic seams of the 
bed rail may cause cuts and abrasions to children.
    In 1994 and 1995, Safety 1st admits to receiving 25 injury 
complaints from consumers describing such Bed Rail incidents. Some of 
the reported incidents have caused fractures, bruises, lacerations to 
the face, head, back, chest and otherwise, and one concussion.
    7. Safety 1st obtained information which reasonably supported the 
conclusion that its Bed Rail contained defects which could create a 
substantial product hazard but failed to report that information to the 
Commission in a timely manner as required by section 15(b) of the CPSA, 
15 U.S.C. 2064(b).

III. Response of Safety 1st

    8. Safety 1st denies the allegations of the staff that the 
Safekeeper Bed Rail and Flashlight contains any defect which could 
create a substantial product hazard pursuant to section 15(a) of the 
CPSA, 15 U.S.C. 2064(a), and further denies that it violated the 
reporting requirements of section 15(b) of the CPSA, 15 U.S.C. 2064(b).
    9. Safety 1st filed a report as required by Section 15(b) of the 
CPSC, 15 U.S.C. 2064(b). Such report contained a disclaimer as to 
product defect and risk of a substantial product hazard. The separation 
of the support arms from the bed rail resulted from a failure of the 
installer to properly assemble the bed rail.
    10. Safety 1st also contends that the incidents reported did not 
involve a serious risk of injury to the intended user age group for the 
bed rail.

IV. Agreement of The Parties

    11. The Commission has jurisdiction over this matter under the 
Consumer Product Safety Act (CPSA), 15 U.S.C. 2051 et seq. 
    12. Safety 1st knowingly, voluntarily and completely waives any 
rights it may have (1) to an administrative or judicial hearing with 
respect to the staff allegations cited herein, (2) to judicial review 
or other challenge or contest of the validity of the Commission's 
Order, (3) to a determination by the Commission as to whether a 
violation of section 15(b) of the CPSA, 15 U.S.C. 2064(b), has 
occurred, and (4) to a statement of findings of fact and conclusion of 
law with regard to the staff allegations.
    13. Upon provisional acceptance of this Settlement Agreement and 
Order by the Commission, this Settlement Agreement and Order shall be 
placed on the public record and shall be published in the Federal 
Register in accordance with 16 C.F.R. 1118.20.
    14. The Settlement Agreement and Order becomes effective upon final 
acceptance by the Commission and its service upon Safety 1st.
    15. Upon final acceptance of this Settlement Agreement by the 
Commission, the Commission will issue a press release to advise the 
public of the civil penalty Settlement Agreement and Order.
    16. Safety 1st agrees to entry of the attached Order, which is 
incorporated herein by reference, and to be bound by its terms.
    17. This Settlement Agreement and Order are entered into for 
settlement purposes only and shall not constitute an admission or 
determination arising from the allegations that the guard rails contain 
a defect which could create a substantial product hazard.
    18. This Settlement Agreement is binding upon Safety 1st and the 
assigns or successors of Safety 1st.
    19. Agreements, understandings, representations, or interpretations 
made outside this Settlement Agreement and Order may not be used to 
vary or to contradict its terms.

    Dated: March 9, 1998.
Michael Lerner,
Chief Executive Officer, Safety 1st, Inc.

    Dated: March 5, 1998.
Alan H. Schoem,
Assistant Executive Director, Office of Compliance, The Consumer 
Product Safety Commission.
Eric L. Stone,
Director, Legal Division, Office of Compliance, The Consumer Product 
Safety Commission.
William J. Moore, Jr.,
Attorney, Legal Division, Office of Compliance, Litigation, Office of 
Compliance, The Consumer Product Safety Commission.

Order

    Upon consideration of the Settlement Agreement entered into between 
Respondent, Safety 1st, Inc., a corporation, and the staff of the 
Consumer Product Safety Commission; and the Commission having 
jurisdiction over the subject matter and Safety 1st, Inc., and it 
appearing that the Settlement Agreement and Order is in the public 
interest, it is
    Ordered, that the Settlement Agreement be and hereby is accepted; 
and it is
    Further ordered, that upon final acceptance of the Settlement 
Agreement and Order, Safety 1st, Inc. shall pay the Commission a civil 
penalty in the amount of one hundred seventy five thousand and no/100 
dollars ($175,000.00), within ten (10) days after service of this Final 
Order upon the Respondent, Safety 1st, Inc.
    Provisionally accepted and Provisional Order issued on the 18th day 
of March, 1998.

    By order of the commission.
Sadye E. Dunn,
Secretary, Consumer Product Safety Commission.
[FR Doc. 98-7672 Filed 3-24-98; 8:45 am]
BILLING CODE 6355-01-M