[Federal Register Volume 63, Number 33 (Thursday, February 19, 1998)]
[Notices]
[Pages 8438-8440]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-4087]
-----------------------------------------------------------------------
CONSUMER PRODUCT SAFETY COMMISSION
[CPSC Docket No. 98-C0006]
In the Matter of The Limited, 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
Flammable Fabrics Act.
-----------------------------------------------------------------------
SUMMARY: It is the policy of the Commission to publish settlements
which it provisionally accepts under the Flammable Fabrics Act in the
Federal Register in accordance with the terms of 16 CFR 1605.13(d).
Published below is a provisionally-accepted Settlement Agreement with
The Limited, Inc., a corporation, containing a civil penalty of
$200,000.
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 March 6, 1998.
ADDRESSES: Persons wishing to comment on this Settlement Agreement
should send written comments to the Comment 98-C0006, Office of the
Secretary, Consumer Product Safety Commission, Washington, D.C. 20207.
FOR FURTHER INFORMATION CONTACT: Howard Tarnoff, 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: February 11, 1998.
Sadye E. Dunn,
Secretary.
In the Matter of The Limited, Inc, a Corporation; Settlement Agreement
1. The Limited, Inc. and its subsidiary and/or affiliated companies
(hereinafter, ``The Limited'' or ``Respondent'') enters
[[Page 8439]]
into this Settlement Agreement (hereinafter, ``Agreement'') with the
staff of the Consumer Product Safety Commission, and agrees to the
entry of the Order incorporated herein. This Agreement and Order are
for the sole purpose of settling allegations of the staff that
respondent knowingly sold or offered for sale, in commerce, certain
sherpa fleece tops and pants, certain cropped-look sweaters, certain
pullover chenille sweaters, and certain peloush sweaters that failed to
comply with the Standard for the Flammability of Clothing Textiles
(hereinafter, ``Clothing Standard''), 16 CFR 1610.
I. The Parties
2. The ``staff '' is the staff of the Consumer Product Safety
Commission (hereinafter, ``Commission''), an independent regulatory
agency of the United States government established pursuant to section
4 of the Consumer Product Safety Act (CPSA), 15 U.S.C. 2053.
3. Respondent The Limited is a corporation organized and existing
under the laws of the State of Delaware with principal corporate
offices at Three Limited Parkway, P.O. Box 16000, Columbus, OH 43216.
II. Allegations of the Staff
A. Sherpa Fleece Tops and Pants
4. Between June 1994 and December 1994, Respondent sold or offered
for sale, in commerce, 409 style 1760 sherpa fleece tops, 394 style
1762 sherpa fleece tops, and 370 style 1018 sherpa fleece pants.
5. The garments identified in paragraph 4 above are subject to the
Clothing Standard, 16 CFR 1610, issued under section 4 of the Flammable
Fabrics Act (FFA), 15 U.S.C. 1193.
6. On December 9, 1994 and December 19, 1994, Respondent tested the
garments identified in paragraph 4 above for compliance with the
requirements of the Clothing Standard. On January 4, 1995, the staff
tested the garments identified in paragraph 4 above for compliance with
the requirements of the Clothing Standard. See 16 CFR Secs. 1610.3 and
1610.4. The test results showed that the garments violated the
requirements of the Clothing Standard and, therefore, were dangerously
flammable and unsuitable for clothing because of rapid and intense
burning.
7. Respondent knowingly sold or offered for sale, in commerce, the
garments identified in paragraph 4 above, in violation of section 3 of
the FFA, 15 U.S.C. 1192, for which a civil penalty may be imposed
pursuant to section 5(e)(1) of the FFA, 15 U.S.C. 1194(e)(1).
B. Cropped-look Sweaters
8. Between December 1994 and March 1995, Respondent sold or offered
for sale, in commerce, 3 rayon/nylon blend cropped-look sweaters.
9. The sweaters identified in paragraph 8 above are subject to the
Clothing Standard, 16 CFR Sec. 1610, issued under section 4 of the FFA,
15 U.S.C. 1193.
10. On December 11, 1995, the importer of the sweaters identified
in paragraph 8 tested the sweaters for compliance with the requirements
of the Clothing Standard. The test results showed that the sweaters
violated the requirements of the Clothing Standard, and, therefore,
were dangerously flammable and unsuitable for clothing because of rapid
and intense burning.
11. Respondent knowingly sold or offered for sale, in commerce, the
sweaters identified in paragraph 8 above, in violation of section 3 of
the FFA, 15 U.S.C. 1192, for which a civil penalty may be imposed
pursuant to section 5(e)(1) of the FFA, 15 U.S.C. 1194(e)(1).
C. Pullover Chenille Sweaters
12. In May 1996, Respondent imported 19,024 style 0124 rayon/nylon
blend pullover chenille sweaters.
13. Between October 14, 1996 and October 24, 1996, Respondent sold
or offered for sale, in commerce, the sweaters identified in paragraph
12 above.
14. The sweaters identified in paragraph 12 above are subject to
the Clothing Standard, 16 CFR Sec. 1610, issued under section 4 of the
FAA, 15 U.S.C. 1193.
15. On October 23, 1996, the staff tested the sweaters identified
in paragraph 12 above for compliance with the requirements of the
Clothing Standard. The test results showed that the sweaters violated
the requirements of the Clothing Standard, and, therefore, were
dangerously flammable and unsuitable for clothing because of rapid and
intense burning.
16. On November 4, 1996, the staff informed Respondent that the
sweaters identified in paragraph 12 above failed to comply with the
Clothing Standard and requested that The Limited review the rest of its
product line for other potential violations.
17. Respondent knowingly imported, sold, or offered for sale, in
commerce, the sweaters identified in paragraph 12 above, in violation
of section 3 of the FAA, 15 U.S.C. 1192, for which a civil penalty may
be imposed pursuant to section 5(e)(1) of the FFA, 15 U.S.C.
1194(e)(1).
D. Peloush Sweaters
18. In March 1996, Respondent imported 7,000 style 4431 rayon/nylon
blend peloush sweaters.
19. Between March 1996 and November 1996, Respondent sold or
offered for sale, in commerce, the sweaters identified in paragraph 18
above.
20. The sweaters identified in paragraph 18 above are subject to
the Clothing Standard, CFR Sec. 1610, issued under section 4 of the
FAA, 15 U.S.C. 1193.
21. On November 8, 1996 and November 11, 1996, Respondent tested
the sweaters identified in paragraph 18 above for compliance with the
requirements of the Clothing Standard. The test results showed that the
sweaters violated the requirements of the Clothing Standard, and,
therefore, were dangerously flammable and unsuitable for clothing
because of rapid and intense burning.
22. Respondent knowingly sold or offered for sale, in commerce, the
sweaters identified in paragraph 18 above, in violation of section 3 of
the FFA, 15 U.S.C. 1192, for which a civil penalty may be imposed
pursuant to section 5(e)(1) of the FFA, 15 U.S.C. 1194(e)(1).
III. Response of The Limited
23. The Limited denies the allegations of the staff set forth in
paragraphs 4 through 22 above that it knowingly sold or offered for
sale, in commerce, the garments identified in paragraph 4, 8, 12, and
18 above, in violation of section 3 of the FFA, 15 U.S.C. 1192. When
these allegations became known to The Limited it promptly removed the
garments from its inventory, even in instances where the flammability
test results were acceptable or inconclusive.
IV. Agreement of the Parties
24. The Commission has jurisdiction over this matter under the
Consumer Product Safety Act (CPSA), 15 U.S.C. 2051 et seq., the
Flammable Fabrics Act (FFA), 15 U.S.C. 1191 et seq., and the Federal
Trade Commission Act (FTCA), 15 U.S.C. 41 et seq.
25. This Agreement is entered into for settlement purposes only and
does not constitute an admission by Respondent or a determination by
the Commission that Respondent knowingly violated the FFA or the
Clothing Standard. This Agreement becomes effective only upon its final
acceptance by the Commission and service of the incorporated Order upon
Respondent.
[[Page 8440]]
26. The parties agree that this Agreement resolves the allegations
of the staff enumerated in Section II above, and the Commission will
not initiate any other criminal, civil, or administrative action
against Respondent or Respondent's officers or directors for those
alleged violations, based upon information currently known to the
staff.
27. Upon final acceptance of this Agreement by the Commission and
issuance of the Order, Respondent knowingly, voluntarily, and
completely waives any rights it may have in this matter (1) to an
administrative or judicial hearing, (2) to judicial review or other
challenge or contest of the validity of the Commission's actions, (3)
to a determination by the Commission as to whether Respondent failed to
comply with the FFA as alleged, (4) to a statement of findings of fact
and conclusions of law, and (5) to any claims under the Equal Access to
Justice Act.
28. The Commission may disclose the terms of this Agreement and
Order to the public consistent with Section 6(b) of the CPSA, 15 U.S.C.
2055(b).
29. Upon provisional acceptance of this Agreement and Order by the
Commission, this Agreement and Order shall be placed on the public
record and shall be published in the Federal Register in accordance
with the procedures set forth in 16 CFR 1605.13(d). If the Commission
does not receive any written request not to accept this Agreement and
Order within 15 days, this Agreement and Order shall be deemed finally
accepted on the 20th day after the date it is published in the Federal
Register, in accordance with 16 CFR 1605.13(e).
30. Upon final acceptance by the Commission of this Agreement and
Order, the Commission shall issue the attached Order, incorporated
herein by reference. This Agreement becomes effective after service of
the incorporated Order upon Respondent.
31. A violation of the attached Order shall subject Respondent to
appropriate legal action.
32. This Agreement may be used in interpreting the incorporated
Order, Agreements, understanding, representations, or interpretations
made outside of this Agreement may not be used to vary or contradict
its terms.
33. The provisions of this Agreement and Order shall apply to
Respondent, it successors an assigns, agents, representatives, and
employees, directly or through any corporation, subsidiary, division,
or other business entity, or through any agency, device or
instrumentality.
Dated: January 15, 1998.
Philip S. Renaud, II,
Vice President of Insurance, The Limited, Inc. Three Limited Parkway,
Columbus, OH 43230.
Dated: January 20, 1998.
Howard N. Tarnoff,
Trial Attorney, Division of Administrative Litigation, Office of
Compliance.
Eric L. Stone,
Director, Division of Administrative Litigation, Office of Compliance.
Alan H. Schoem,
Assistant Executive Director, Office of Compliance U.S. Consumer
Product Safety Commission, Washington, DC 20207.
In the Matter of The Limited, Inc. a Corporation; Order
Upon consideration of the Settlement Agreement entered into between
Respondent The Limited, Inc., and its subsidiary and/or affiliated
companies, and the staff of the Consumer Product Safety Commission; and
the Commission having jurisdiction over the subject matter and
Respondent; and it appearing that the Settlement Agreement and Order is
in the public interest.
I
It is ordered That the Settlement Agreement and Order be and hereby
is accepted.
II
It is further ordered That Respondent pay to the United States
Treasury a civil penalty of two hundred thousand dollars ($200,000)
within twenty (20) days after service upon Respondent of the Final
Order.
Provisionally accepted and Provisional Order issued on the 11th
day of February, 1998.
By Order of the Commission.
Sadye E. Dunn,
Secretary, Consumer Product Safety Commission.
[FR Doc. 98-4087 Filed 2-18-98; 8:45 am]
BILLING CODE 6355-01-M
