Supply Chain Risk Management

Recently, a federal judge sitting in the Eastern District of California (Sacramento), for the first time, refused to require a manufacturer to place a Prop 65 warning on its product based on a finding that the requirement would violate the company’s First Amendment rights. We have been following…

As this space has addressed before (see here and here), the California Transparency in Supply Chain Act (Civ. Code section 1714.43), enacted in 2010, requires large retailers and manufacturers (those with worldwide sales in excess of $100 million) doing business in California to disclose on their websites their…

A recent Federal Court decision on the issue of whether to grant a preliminary injunction in the ongoing saga of the appropriateness of adding the pesticide Glyphosate to the CA Prop 65 list (see prior posts, here and here) has become the grist for the “Fake News” phenomenon.…

Much of the recent discussion regarding Prop 65 has been focused on the regulatory changes going into effect in August of 2018. And that makes sense since there will be significant changes to the warnings, responsibility, and labeling obligations on product websites. There is, however, other activity that…

California’s Safe Drinking Water & Toxic Enforcement Act of 1986 (affectionately known as “Proposition 65”) has long been the subject of discussion, both pro and con. Much of the conversation is on various issues surrounding the enforcement of Proposition 65 (for example, see a prior post here). In…

Our colleagues in Mintz Levin’s Intellectual Property Practice, Aarti Shah and James Wodarski, recently authored an expert analysis piece in Law360 that examined the use of the U.S. International Trade Commission (ITC) to combat a rising tide of counterfeits and knockoffs in all kinds of consumer product industries.…

“…Clowns to the right of me, jokers to the left, here I am…”

Last month, the California Office of Environmental Health Hazard Assessment (“OEHHA”) adopted new Proposition 65 warning regulations. Much of the discussions regarding these new regulations have centered on the warning requirements that become effective, after an approximately two-year phase-in period, in August 2018.

On May 17, 2016, the U.S. Department of Agriculture (“USDA”) announced that it is allowing an additional 200,000 short tons of cane sugar imports to meet food manufacturers’ increasing demand for non-genetically modified sugar products. In its news release, the agency explained that

Last week, FDA finalized new food safety regulations seeking to ensure the sanitary transport of human and animal food, as required under the Food Safety Modernization Act (FSMA). The final Sanitary Transportation of Human and Animal Food Rule will affect shippers, loaders, carriers, and receivers of food transported…

There have been many twists and turns over the past four years concerning the CPSC’s regulation of certain high powered, rare-earth magnet sets and its litigation against various entities selling these magnets. In the latest chapter of the magnets saga, a federal court in Colorado has permanently enjoined…

We recently blogged about a new wave of class action litigation related to California’s Transparency in Supply Chains Act. In December, Nestlé USA won the dismissal of a complaint against it alleging that the company was “obligated to inform consumers that some proportion of its cat food products…

The first round goes to the industry: on December 9, 2015, the Central District of California dismissed the complaint in Barber v. Nestle USA, a key bellwether case in a new wave of class action litigation related to California’s Transparency in Supply Chains Act. The Barber plaintiffs’ theory…

So what is the CPSC’s “fast track recall” program and what is the benefit of participating in it? What is a “stop sale notice” and why does the CPSC generally request it for fast track recalls? What else is required by the CPSC in order to participate in…

As many readers of this blog know, the start of 2011 saw the enactment of a massive bill aimed at overhauling the nation’s food safety system to become more preventive instead of reactive to safety problems and illness outbreaks. Among the numerous significant new regulations, requirements, and programs…

In a recent post, we detailed lawsuits filed by corn exporters, farmers, and other stakeholders against Syngenta Corp. regarding its marketing of corn which contains genetically modified (“GMO”) traits that have not been approved for export to countries such as China. On December 11, 2014, the Judicial Panel…

On October 14, the Government Accountability Office (GAO) published a report entitled “Consumer Product Safety Commission: Challenges and Options for Responding to New and Emerging Risks.” The report analyzes the timeliness of the Consumer Product Safety Commission’s (CPSC) response to “new and emerging” safety risks from new or…

On September 19, 2014, FDA announced potential changes to four rules that the agency proposed in 2013 to implement the Food Safety and Modernization Act (“FSMA”). FSMA was signed into law in January 2011 in response to many reported incidents of food-borne illness during the 2000s.

On June 10, 2014 the federal government proposed to expand the coverage of the rule designed to weed out counterfeit electronic parts in products sold to the Government. The new rule, if adopted in the form proposed, would expand coverage of the anti-counterfeit parts rule in three significant…

Recently, we have informed our readers of product safety legislative and regulatory initiatives, including green chemistry programs, driven at the state level. One of these important state regulatory initiatives is California’s Green Chemistry Initiative. California’s “Safer Consumer Products” regulations seek to reduce toxic chemicals in consumer products by…

Last week, the U.S. Department of Justice (“DOJ”) filed suit in federal court against four California companies and six individuals for importing products that violate the Federal Hazardous Substances Act (“FHSA”) and the Consumer Product Safety Act (“CPSA”). The individuals and companies — Toy Distribution, Inc., S&J Merchandise,…

At the end of December, Dimmeys, a large Australian discount department store, was fined approximately $3 million dollars by an Australian court for violating Australia’s federal product safety laws for the fifth time. The retailer’s supplier, Starite Distributors, was fined $600,000, and the owner of Dimmeys has been…

We have previously blogged about the sometimes difficult decision that companies face when classifying their products as “children’s” or “general-use” products and the uncertainty of predicting whether the Consumer Product Safety Commission (“CPSC”) will agree with their classification. Although companies who sell personalized products have different business models,…

The U.S. Consumer Product Safety Commission (CPSC) announced recently that it stopped 4.8 million units of products at multiple ports of entry that violated product safety rules or were deemed to be hazardous. The units were seized during the Commission’s last fiscal year (October 2011 to September 2012).…

Contract clauses impacting risk assumption and risk transfer which are integral to the capturing of recall costs are often relegated to the “boiler plate” section of many Supply Agreements or are preprinted on the reverse side of POs that are often not sent by PDF or fax.

A unanimous U.S. Consumer Product Safety Commission (“CPSC”) announced that Ross Stores Inc. (“Ross”), a national discount retailer, agreed to pay a $3.9 million civil penalty to settle allegations that it failed to report its continued sale of banned children’s upper outerwear containing drawstrings. In addition to paying…