Consumer Protection: Higher Penalties for Unsafe Products and Inflation Adjustment
This Act significantly increases the maximum civil penalties that can be imposed on companies selling unsafe or non-compliant consumer products. The change aims to enhance consumer safety by deterring businesses from introducing defective goods to the market through much higher fines. Furthermore, the law mandates an annual adjustment of these penalties based on inflation, ensuring their deterrent effect remains strong over time.
Key points
The maximum penalty for a single product safety violation increases from $100,000 to $250,000.
The previous cap on total penalties ($15,000,000) for a related series of violations is removed, allowing for potentially much higher financial consequences for companies.
Mandatory annual inflation adjustment (based on the Consumer Price Index) is introduced for maximum civil penalties to maintain their real value.
Strengthens the ability of the Consumer Product Safety Commission (CPSC) to enforce regulations and protect citizens from dangerous products.
Expired
Additional Information
Print number: 118_S_3667
Sponsor: Sen. Welch, Peter [D-VT]
Process start date: 2024-01-25