Welcome!

News Feed Item

Ross Stores Agrees to $3.9 Million Civil Penalty, Internal Compliance Improvements for Failure to Report Drawstrings in Children's Upper Outerwear

WASHINGTON, June 21, 2013 /PRNewswire-USNewswire/ -- The U.S. Consumer Product Safety Commission (CPSC) announced today that Ross Stores Inc., of Pleasanton, Calif., has agreed to pay a $3.9 million civil penalty.  The penalty agreement has been accepted provisionally by the Commission in a 3-0 vote.

(Logo: http://photos.prnewswire.com/prnh/20030904/USCSCLOGO)

The settlement resolves CPSC staff's charges that from January 2009 to February 2012, Ross knowingly failed to report to CPSC immediately, as required by federal law, that it sold or held for sale, about 23,000 children's upper outerwear garments with drawstrings at the neck or waist.  In February 1996, CPSC issued guidelines (which were incorporated into a consensus industry voluntary standard in 1997) to help prevent children from strangling or getting entangled on neck and waist drawstrings in upper garments, such as sweatshirts and jackets.  

In May 2006, the Commission posted a letter on its website which stated that staff considered children's upper outerwear with drawstrings at the hood or neck to be defective and present a substantial risk of injury to young children. In July 2011, based on the 1996 CPSC guidelines and the 1997 voluntary standard, CPSC issued a final rule which designates the hazards presented by drawstrings in children's upper outerwear as substantial product hazards.     

Ross's distribution of some children's garments occurred during the same period of time as CPSC's investigation and negotiation of a 2009 civil penalty.  The $500,000 penalty that Ross paid in 2009 was to settle staff charges that it failed to report four series of children's upper outerwear drawstring garments distributed between 2006 and 2008.  Ross's distribution of the other garments in this matter occurred either partially or entirely after the effective date of CPSC's Final Rule. There have been no reported injuries associated with the recalled garments.

In addition to paying a monetary penalty, Ross has agreed to implement and maintain a compliance program designed to ensure compliance with the reporting requirements of Section 15(b) of the Consumer Product Safety Act and the Final Rule.  Ross also agreed to enhance its existing compliance policies by ensuring that its ongoing program contains written standards and policies, a mechanism for confidential employee reporting of compliance-related questions or concerns, and appropriate communication of company compliance policies to all employees through training programs. Ross has designed and implemented a system of internal controls and procedures to ensure that the firm's reporting to the Commission is timely, truthful, complete, accurate, and in accordance with applicable law.  The company will also take steps to ensure that prompt disclosure is made to management of any significant deficiencies or material weaknesses in the design or operation of such internal controls.

The Commission, in cooperation with Ross and/or other firms that manufactured, imported, or distributed the Garments, announced recalls of the garments listed below between March 2010 and May 2012:

Manufacturer/Importer/Distributor/Retailer

Product

Link to Recall

Children's Apparel Network, Ltd.

Girls' hooded sweater with neck drawstrings

View Recall

Byer California

Girls' cargo pocket jacket with neck and waist drawstrings

View Recall

Puma North America Inc.

Youth training jacket with waist drawstrings

View Recall

LA Fashion Hub Inc.

Girls' winter jacket with neck drawstrings

View Recall

Umbro

Boys' jacket with waist drawstrings

View Recall

Hot Chocolate

Boys' jogging suit with waist drawstrings

View Recall

Bonded Apparel

Boys' Hooded jacket with neck drawstrings

View Recall

Me Jane Louise Paris Ltd

Girls' fur hood bubble fleece with waist drawstrings and Fur hooded bubble jacket with waist drawstrings

View Recall

LANY Group LLC

Girls' terry hooded sweatshirt with neck drawstrings

View Recall

YMI Jeanswear

Girls' hooded sweatshirt with neck drawstrings

View Recall

Federal law requires manufacturers, distributors, and retailers to report to CPSC immediately (within 24 hours) after obtaining information reasonably supporting the conclusion that a product contains a defect which could create a substantial product hazard, creates an unreasonable risk of serious injury or death, or fails to comply with any consumer product safety rule or any other rule, regulation, standard, or ban enforced by CPSC.

In agreeing to the settlement, Ross denies staff charges that it knowingly failed to inform the Commission about the garments, as required by CPSA §15(b). 

Statement by Chairman Inez Tenenbaum

Media Contact
Please use the phone numbers below for all media requests.
Phone: (301) 504-7908
Spanish: (301) 504-7800

SOURCE U.S. Consumer Product Safety Commission

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
The IoT is changing the way enterprises conduct business. In his session at @ThingsExpo, Eric Hoffman, Vice President at EastBanc Technologies, discuss how businesses can gain an edge over competitors by empowering consumers to take control through IoT. We'll cite examples such as a Washington, D.C.-based sports club that leveraged IoT and the cloud to develop a comprehensive booking system. He'll also highlight how IoT can revitalize and restore outdated business models, making them profitable...
In his session at 18th Cloud Expo, Bruce Swann, Senior Product Marketing Manager at Adobe, will discuss how the Adobe Marketing Cloud can help marketers embrace opportunities for personalized, relevant and real-time customer engagement across offline (direct mail, point of sale, call center) and digital (email, website, SMS, mobile apps, social networks, connected objects). Bruce Swann has more than 15 years of experience working with digital marketing disciplines like web analytics, social med...
SYS-CON Events announced today that Super Micro Computer, Inc., a global leader in Embedded and IoT solutions, will exhibit at SYS-CON's 18th International Cloud Expo®, which will take place on June 7-9, 2016, at the Javits Center in New York City, NY. Supermicro (NASDAQ: SMCI), the leading innovator in high-performance, high-efficiency server technology, is a premier provider of advanced server Building Block Solutions® for Data Center, Cloud Computing, Enterprise IT, Hadoop/Big Data, HPC and ...
IoT generates lots of temporal data. But how do you unlock its value? How do you coordinate the diverse moving parts that must come together when developing your IoT product? What are the key challenges addressed by Data as a Service? How does cloud computing underlie and connect the notions of Digital and DevOps What is the impact of the API economy? What is the business imperative for Cognitive Computing? Get all these questions and hundreds more like them answered at the 18th Cloud Expo...
SYS-CON Events announced today the Docker Meets Kubernetes – Intro into the Kubernetes World, being held June 9, 2016, in conjunction with 18th Cloud Expo | @ThingsExpo, at the Javits Center in New York, NY. Register for 'Docker Meets Kubernetes Workshop' Here! This workshop led by Sebastian Scheele, co-founder of Loodse, introduces participants to Kubernetes (container orchestration). Through a combination of instructor-led presentations, demonstrations, and hands-on labs, participants learn ...
How will your company move to the cloud while ensuring a solid security posture? Organizations from small to large are increasingly adopting cloud solutions to deliver essential business services at a much lower cost. According to cyber security experts, the frequency and severity of cyber-attacks are on the rise, causing alarm to businesses and customers across a variety of industries. To defend against exploits like these, a company must adopt a comprehensive security defense strategy that is ...
SYS-CON Events announced today that ContentMX, the marketing technology and services company with a singular mission to increase engagement and drive more conversations for enterprise, channel and SMB technology marketers, has been named “Sponsor & Exhibitor Lounge Sponsor” of SYS-CON's 18th Cloud Expo, which will take place on June 7-9, 2016, at the Javits Center in New York City, New York. “CloudExpo is a great opportunity to start a conversation with new prospects, but what happens after the...
In his session at 18th Cloud Expo, Andrew Cole, Director of Solutions Engineering at Peak 10, will discuss how the newest technology advances are reducing the cost and complexity of traditional business continuity and disaster recovery solutions. Attendees will: Learn why having a full disaster recovery strategy is more important now than ever before Explore the key drivers of a successful disaster recovery solution Achieve measurable operational and business value from a disaster recovery ...
SYS-CON Events announced today the How to Create Angular 2 Clients for the Cloud Workshop, being held June 7, 2016, in conjunction with 18th Cloud Expo | @ThingsExpo, at the Javits Center in New York, NY. Angular 2 is a complete re-write of the popular framework AngularJS. Programming in Angular 2 is greatly simplified. Now it’s a component-based well-performing framework. The immersive one-day workshop led by Yakov Fain, a Java Champion and a co-founder of the IT consultancy Farata Systems and...
Customer experience has become a competitive differentiator for companies, and it’s imperative that brands seamlessly connect the customer journey across all platforms. With the continued explosion of IoT, join us for a look at how to build a winning digital foundation in the connected era – today and in the future. In his session at @ThingsExpo, Chris Nguyen, Group Product Marketing Manager at Adobe, will discuss how to successfully leverage mobile, rapidly deploy content, capture real-time d...
SYS-CON Events announced today that Hanu Software will exhibit at SYS-CON's 18th International Cloud Expo®, which will take place on June 7-9, 2016, at the Javits Center in New York City, NY. Leveraging best-in-class people, processes, and technologies, Hanu provides high-quality, high-value software development and business process outsourcing services to independent software vendors (ISVs) and enterprises.
The cloud era has reached the stage where it is no longer a question of whether a company should migrate, but when. Enterprises have embraced the outsourcing of where their various applications are stored and who manages them, saving significant investment along the way. Plus, the cloud has become a defining competitive edge. Companies that fail to successfully adapt risk failure. The media, of course, continues to extol the virtues of the cloud, including how easy it is to get there. Migrating...
SYS-CON Events announced today that BMC Software has been named "Siver Sponsor" of SYS-CON's 18th Cloud Expo, which will take place on June 7-9, 2015 at the Javits Center in New York, New York. BMC is a global leader in innovative software solutions that help businesses transform into digital enterprises for the ultimate competitive advantage. BMC Digital Enterprise Management is a set of innovative IT solutions designed to make digital business fast, seamless, and optimized from mainframe to mo...
As organizations shift towards IT-as-a-service models, the need for managing and protecting data residing across physical, virtual, and now cloud environments grows with it. Commvault can ensure protection, access and E-Discovery of your data – whether in a private cloud, a Service Provider delivered public cloud, or a hybrid cloud environment – across the heterogeneous enterprise. In his general session at 18th Cloud Expo, Randy De Meno, Chief Technologist - Windows Products and Microsoft Part...
What a difference a year makes. Organizations aren’t just talking about IoT possibilities, it is now baked into their core business strategy. With IoT, billions of devices generating data from different companies on different networks around the globe need to interact. From efficiency to better customer insights to completely new business models, IoT will turn traditional business models upside down. In the new customer-centric age, the key to success is delivering critical services and apps wit...