99-1779. Cadet Manufacturing Company; Complaint  

  • [Federal Register Volume 64, Number 16 (Tuesday, January 26, 1999)]
    [Notices]
    [Pages 3932-3933]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 99-1779]
    
    
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    CONSUMER PRODUCT SAFETY COMMISSION
    
    [CPSC Docket No. 99-1]
    
    
    Cadet Manufacturing Company; Complaint
    
    AGENCY: Consumer Product Safety Commission.
    
    ACTION: Publication of a complaint under the Consumer Product Safety 
    Act.
    
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    SUMMARY: Under provisions of its Rules of Practice for Adjudicative 
    Proceeding (16 CFR Part 1025), the Consumer Product Safety Commission 
    must publish in the Federal Register Complaints which it issues. 
    Published below is a Complaint in the matter of Cadet Manufacturing 
    Company.
    
    SUPPLEMENTARY INFORMATION: The text of the Complaint appears below.
    
        Dated: January 21, 1999.
    
    Sadye E. Dunn,
    Secretary.
    
        In the Matter of Cadet Manufacturing Company, 2500 W. Fourth 
    Plain Boulevard, Vancouver, Washington 98660, a Domestic 
    Corporation.
    
    COMPLAINT
    
    Nature of Proceedings
    
        1. This is an administrative enforcement proceeding pursuant to 
    section 15 of the Consumer Product Safety Act (``CPSA''), as amended, 
    15 U.S.C. 2064, for public notification and remedial action to protect 
    the public from substantial risks of injury presented by certain 
    electric in-wall heaters manufactured by Cadet Manufacturing Company of 
    Vancouver, Washington. This proceeding is governed by the Rules of 
    Practice for Adjudicative Proceedings before the Consumer Product 
    Safety Commission, 16 CFR Part 1025.
    
    Jurisdiction
    
        2. This proceeding is instituted pursuant to the authority 
    contained in sections 15(c), (d), and (f) of the CPSA, 15 U.S.C. 
    2064(c), (d), and (f).
    
    Parties
    
        3. Complaint Counsel is the staff of the Legal Division, Office of 
    Compliance, Consumer Product Safety Commission, an independent federal 
    regulatory commission established pursuant to section 4 of the CPSA, 15 
    U.S.C. 2053.
        4. Respondent Cadet Manufacturing Company (``Cadet'') is a domestic 
    corporation last organized and existing under the laws of the State of 
    Washington, since 1993, with its principal place of business located at 
    2500 W. Fourth Plain Boulevard, Vancouver, Washington 98660.
        5. Cadet manufactures electric heaters for use in or around a 
    permanent or temporary household or residence; and is, therefore, a 
    ``manufacturer'' of ``consumer product[s],'' as those terms are defined 
    in sections 3(a) (1) and (4) of the CPSA, 15 U.S.C. 2052(a) (1) and 
    (4).
    
    Consumer Products
    
        6. Since 1978, Cadet has manufactured and distributed in commerce 
    electric in-wall heaters for use in homes and residences under the 
    brand names ``Cadet'' and ``Encore,'' all models and variants within 
    each model of the series FW (models FW-051, FW-101, FW-122, FW-202, FW-
    202, and FW-751), manufactured between 1978 and 1989; series FX (Models 
    FX-051, FX-052, FX-071, FX-072, FX-101, FX-102, FX-151, FX-122, FX-152, 
    FX-202, and FX-242), manufactured between 1984 and 1995; series LX 
    (models LX-242, LX-242, LX-302, LX-302, LX-402, LX-402, and LX-482), 
    manufactured between 1984 and 1995; series TK (models TK-051, TK-071, 
    TK-072, TK-101, TK-102, TK-151, and TK-152), manufactured between 1986 
    and 1998; series ZA (models ZA-051, ZA-052, ZA-071, ZA-072, ZA-101, ZA-
    102, ZA-122, ZA-151, ZA-152, ZA-202, ZA-242, manufactured between 1984 
    and 1995); first generation series Z (models Z-072, Z-101, Z-102, Z-
    152, Z-202, and Z-208), manufactured between 1993 and 1997; and/or all 
    series and models of the same or functionally identical heaters
    
    [[Page 3933]]
    
    manufactured and distributed by Cadet under the Encore brand 
    (hereinafter collectively, the ``heaters''). Each of the heaters is, 
    therefore, a ``consumer product'' ``distributed in commerce'' within 
    the meaning of sections 3(a)(1) and (11) of the CPSA, 15 U.S.C. 
    2052(a)(1), and (11), respectively.
        7. Each of the heaters consists of a motor-driven fan, a heating 
    element, and an over-temperature limit control switch (``OTC'') housed 
    in a metal box that is intended to be installed in a wall or under 
    cabinets. The heater is connected to the main electric power supply in 
    the home or residence. When energized with electric current, the fan of 
    the heater pulls room air over the heating element, and pushes the 
    heated air back into the room.
    
    Product Defect
    
        8. The heaters within series FW, FX, LX, TK, ZA, and/or the same or 
    functionally identical Encore brand heaters, are defective because 
    their design causes the heaters to overheat, fail, and catch fire; and/
    or allow lint, dirt, or debris within the heaters to catch fire. The 
    heater design can also cause the heaters to spew flames and/or burning 
    or molten particles, or eject sparks into the living space of a home or 
    residence, or energize the heaters creating a risk of electric shock.
        9. The heaters within the series FW, FX, LX, TK, ZA heaters, and/or 
    same or functionally identical Encore brand heaters, are defective 
    because they were manufactured or assembled with inadequate or faulty 
    components, electrical connections, and/or contacts, which cause the 
    components, electrical connections, and/or contacts to fail, overheat, 
    and catch fire; and/or allow lint, dirt, or debris within the heaters 
    to catch fire. These defects can also cause the heaters to spew flames 
    and/or burning or molten particles, or eject sparks into the living 
    space of a home or residence.
        10. The heaters within the first generation Z series, and/or the 
    same or functionally identical Encore heaters are defective in design 
    or manufacture because the heater element can overheat, explode, and 
    spew molten metal particles into the living space of a home or 
    residence.
    
    Substantial Product Hazards and Risks of Injury
    
        11. The design defects in the series FW, FX, LX, TK, ZA heaters, 
    and/or the same or functionally identical Encore brand heaters, 
    identified in paragraph 8 above are prevalent within those heaters.
        12. The manufacturing or assembly defects in the series FW, FX, LX, 
    TK, ZA heaters, and/or the same or functionally identical Encore brand 
    heaters, identified in paragraph 9 above are prevalent within those 
    heaters.
        13. The design or manufacturing defects in the first generation 
    series Z heaters, and/or the same or functionally identical Encore 
    brand heaters, identified in paragraph 10 above are prevalent within 
    those heaters.
        14. The defects identified and described in paragraphs 8 through 10 
    above have caused or contributed to serious thermal burns and death, 
    and are likely to cause serious electric shock injury and death.
        15. The staff knows of at least 183 instances of electrical fire or 
    malfunction involving the heaters: 85 units of series FX; 18 units of 
    series FW; 2 units of series LX; 49 units of series ZA; 2 units of 
    series TK; and 27 units of series Z (first generation); including 131 
    heaters that allegedly smoked, sparked, caught fire, emitted flame, 
    and/or ejected burning particles or molten metal particles as the 
    result of the defects identified and described in paragraphs 8 through 
    10 above. These incidents have resulted in three deaths and two burn 
    injuries.
        16. Between 1978 and 1998, Cadet manufactured approximately 
    1,800,000 potentially defective heaters that present the hazards and 
    risks of injury described in paragraphs 14 and 15 above.
        17. It is likely that the series FX, FW, LX, TK, first generation 
    Z, ZA heaters, and/or the same or functionally identical Encore brand 
    heaters, will continue to fail in the same way and to present the same 
    hazards and risks of injury as a result of the defects described in 
    paragraphs 8 through 10 above, if public notice and remedial actions 
    are not taken to eliminate or reduce the risk of injury presented by 
    the heaters. Each of the heaters, therefore, presents a ``substantial 
    product hazard'' within the meaning of sections 15(a)(2) of the CPSA, 
    15 U.S.C. 2064(a)(2), by reason of the substantial risk of injury or 
    death alleged in paragraphs 11 through 17 above.
    
    Relief Sought
    
        Complaint Counsel requests the Commission to issue the following 
    relief.
        A. Determine that the heaters present a substantial product hazard 
    within the meaning of section 15(a)(2), 15 U.S.C. 2064(a)(2).
        B. Determine that public notification under section 15(c) of the 
    CPSA, 15 U.S.C. 2064(c), is required to protect the public adequately 
    from the risks of injury presented by the heaters.
        C. Order Cadet, under section 15(c) of the CPSA, 15 U.S.C. 2064(c), 
    to give such notice as is reasonably necessary to protect the public.
        D. Order Cadet, under section 15(d) of the CPSA, 15 U.S.C. 2064(d), 
    to cease manufacturing for sale, offering for sale, and distributing in 
    commerce the defective heaters.
        E. Order Cadet under section 15(d) of the CPSA, 15 U.S.C. 2064(d), 
    to elect one of the following remedial actions:
        1. Repair each heater in such a manner that it is free of defect 
    and works in a proper and safe manner.
        2. Replace each heater with a new heater, free of any defect, that 
    works in a proper and safe manner.
        3. Refund the purchase price of each heater, including the costs of 
    materials, labor, and profit.
        F. Order Cadet to submit a corrective action plan satisfactory to 
    the Commission that requires Cadet to undertake public notice and 
    remedial actions in accordance with paragraphs C, D, and E above, 
    pursuant to section 15(d) of the CPSA, 15 U.S.C. 2064(d).
        G. Order Cadet for a period of five (5) years after issuance of the 
    Final Order in this matter, to notify the Commission at least sixty 
    (60) days prior to any change in its business (such as incorporation, 
    dissolution, assignment, sale, or petition for bankruptcy) that results 
    in, or is intended to result in, the emergence of a successor 
    corporation, going out of business, or any other change that might 
    affect compliance obligations under a Final Order issued by the 
    Commission in this matter.
        H. Grant such other and further relief as the Commission may deem 
    necessary.
    
        Issued by Order of the Commission.
    
        Dated: January 14, 1999.
    Alan H. Schoem,
    Assistant Executive Director, Office of Compliance, Consumer Product 
    Safety Commission, Washington, DC 20207, Tel: (301) 504-0621, ext. 
    1349.
    Eric L. Stone,
    Director, Legal Division, Office of Compliance, Consumer Product Safety 
    Commission, Washington, DC 20207, Tel: (301) 504-06261, ext. 1350.
    Earl A. Gershenow,
    Howard N. Tarnoff,
    Trial Attorneys, Complaint Counsel, Legal Division, Office of 
    Compliance, Consumer Product Safety Commission, Washington, DC 20207, 
    Tel: (301) 504-9626, ext. 1343.
    Hand Delivery Address: 4330 East West Highway, Room 613, Bethesda, 
    Maryland 20814.
    [FR Doc. 99-1779 Filed 1-25-99; 8:45 am]
    BILLING CODE 6350-01-P
    
    
    

Document Information

Published:
01/26/1999
Department:
Consumer Product Safety Commission
Entry Type:
Notice
Action:
Publication of a complaint under the Consumer Product Safety Act.
Document Number:
99-1779
Pages:
3932-3933 (2 pages)
Docket Numbers:
CPSC Docket No. 99-1
PDF File:
99-1779.pdf