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From Products Liability Law Daily, June 13, 2014

CSPA violations result in permanent injunction against toy distribution company

By Joe Bichl

A permanent injunction has been issued against a toy distribution company pursuant to a consent order in an action arising alleged violations of statutes and regulations governing the importation of toys and enforced by the Consumer Product Safety Commission, including section 19 of the Consumer Product Safety Act (CPSA), 15 U.S.C. §2068(a), and section 4 of the Federal Hazardous Substances Act (FHSA), 15 U.S.C. §1263. Defendants in the complaint include Toys Distribution Inc. dba TDI International, Paul Phuong, Lan My Lam, Loan Tuyet Thai, BLJ Apparel Inc., Luan Luu, S & J Merchandise Inc., Cuc T. Thai, All Season Sales, Inc. and Tom Liu (United States v. Toys Distribution, Inc., June 10, 2014, Wu, G.).

Background. Toys Distribution Inc., which is owned by Lan My Lam and Loan Tuyet Thai, is a manufacturer and retailer of consumer products. The consent order states that TDI violated the CPSA by importing, offering for sale, selling, and distributing in commerce children’s toys or child care articles that contain phthalates and products containing excessive lead and lead-containing paint. In addition, the order alleged that TDI violated the CPSA and FHSA by importing, distributing and selling toys and other articles intended for use by children under three years of age, which present a choking, aspiration, or ingestion hazard because of small parts. Finally, the order alleged that TDI imported, distributed and sold rattles that failed to meet the requirements of 16 C.F.R. part 1510, and are banned hazardous substances under 16 C.F.R. §1500.18(a)(15).

Consent order. According to the order, the toy distribution company and its owners are permanently enjoined from importing into the United States any toy or other consumer product intended primarily for children 12 years of age or younger until, through an independent person or entity, they create a comprehensive safety program with written operating procedures; conduct a product audit to determine which part of their inventory requires testing and certification; and retain an accredited third-party testing conformity assessment body to test the company’s children’s products for small parts, rattle requirements, lead paint and lead content, and phthalates.

The order states that the toy distribution company and its owners will be fined $1,000 a day for failure to comply with the consent order. The consent order does not constitute an admission of, or evidence of, the validity of any claim asserted in the order, or of any wrongdoing or fraudulent business practices.

The case number is CV 14-1364-GW(PLAx).

Attorneys: Patrick Raymond Runkle, US Dept. of Justice Civil Division, for USA. Jerry Wang (Law Offices of Jerry Wang) for All Season Sales Inc. and S & J Merchandise Inc. Timothy Vo (Law Offices of Timothy Vo) for BLJ Apparel Inc.

Companies: Toys Distribution, Inc.; All Season Sales Inc.; S & J Merchandise Inc.; BLJ Apparel Inc.

MainStory: TopStory SettlementAgreementsNews ChildrensProductsNews BabyProductsNews ProductTestingCertNews CaliforniaNews

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