Perfect Fitness, Provisional Acceptance of a Settlement Agreement and Order, 49751-49753 [2011-20463]
Download as PDF
Federal Register / Vol. 76, No. 155 / Thursday, August 11, 2011 / Notices
or stocks for subsistence use. There are
no relevant subsistence uses of marine
mammals in the study area (deep,
offshore waters of the central-western
Bering Sea) that implicate MMPA
section 101(a)(5)(D).
srobinson on DSK4SPTVN1PROD with NOTICES
Endangered Species Act
Of the species of marine mammals
that may occur in the survey area,
several are listed as endangered under
the ESA, including the North Pacific
right, humpback, sei, fin, blue, and
sperm whales, as well as the western
stock of Steller sea lions. The eastern
stock of Steller sea lions is listed as
threatened. Under section 7 of the ESA,
USGS initiated formal consultation with
the NMFS, Office of Protected
Resources, Endangered Species
Division, on this seismic survey.
NMFS’s Office of Protected Resources,
Permits, Conservation and Education
Division, also initiated formal
consultation under section 7 of the ESA
with NMFS’s Office of Protected
Resources, Endangered Species
Division, to obtain a Biological Opinion
(BiOp) evaluating the effects of issuing
the IHA on threatened and endangered
marine mammals and, if appropriate,
authorizing incidental take. In August
2011, NMFS issued a BiOp and
concluded that the action and issuance
of the IHA are not likely to jeopardize
the continued existence of the North
Pacific right, humpback, sei, fin, blue,
and sperm whales, and Steller sea lions.
The BiOp also concluded that
designated critical habitat for these
species does not occur in the action area
and would not be affected by the survey.
USGS must comply with the Relevant
Terms and Conditions of the Incidental
Take Statement (ITS) corresponding to
NMFS’s BiOp issued to both USGS and
NMFS’s Office of Protected Resources.
USGS must also comply with the
mitigation and monitoring requirements
included in the IHA in order to be
exempt under the ITS in the BiOp from
the prohibition on take of listed
endangered marine mammal species
otherwise prohibited by section 9 of the
ESA.
NEPA
With its complete application, USGS
provided NMFS an EA analyzing the
direct, indirect, and cumulative
environmental impacts of the specified
activities on marine mammals including
those listed as threatened or endangered
under the ESA. The EA, prepared by
LGL on behalf of USGS, is entitled
‘‘Environmental Assessment of a Marine
Geophysical Survey by the R/V Marcus
G. Langseth in the central-western
Bering Sea, August 2011.’’ After NMFS
VerDate Mar<15>2010
15:59 Aug 10, 2011
Jkt 223001
reviewed and evaluated the USGS EA
for consistency with the regulations
published by the Council of
Environmental Quality (CEQ) and
NOAA Administrative Order 216–6,
Environmental Review Procedures for
Implementing the National
Environmental Policy Act, NMFS
adopted the USGS EA and issued a
Finding of No Significant Impact
(FONSI).
Authorization
NMFS has issued an IHA to USGS for
the take, by Level B harassment, of
small numbers of marine mammals
incidental to conducting a marine
geophysical survey in the centralwestern Bering Sea, August 2011,
provided the previously mentioned
mitigation, monitoring, and reporting
requirements are incorporated.
Dated: August 5, 2011.
James H. Lecky,
Director, Office of Protected Resources,
National Marine Fisheries Service.
[FR Doc. 2011–20461 Filed 8–10–11; 8:45 am]
BILLING CODE 3510–22–P
CONSUMER PRODUCT SAFETY
COMMISSION
[CPSC Docket No. 11–C0009]
Perfect Fitness, Provisional
Acceptance of a Settlement Agreement
and Order
Consumer Product Safety
Commission.
ACTION: Notice.
AGENCY:
It is the policy of the
Commission to publish settlements
which it provisionally accepts under the
Consumer Product Safety Act in the
Federal Register in accordance with the
terms of 16 CFR 1118.20(e). Published
below is a provisionally-accepted
Settlement Agreement with Perfect
Fitness, containing a civil penalty of
$425,000.00.
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 August 26,
2011.
ADDRESSES: Persons wishing to
comment on this Settlement Agreement
should send written comments to the
Comment 11–C0009, Office of the
Secretary, Consumer Product Safety
Commission, 4330 East West Highway,
Room 820, Bethesda, Maryland 20814–
4408.
FOR FURTHER INFORMATION CONTACT:
Jennifer C. Argabright, Trial Attorney,
SUMMARY:
PO 00000
Frm 00027
Fmt 4703
Sfmt 4703
49751
Division of Compliance, Office of the
General Counsel, Consumer Product
Safety Commission, 4330 East West
Highway, Bethesda, Maryland 20814–
4408; telephone (301) 504–7808.
SUPPLEMENTARY INFORMATION: The text of
the Agreement and Order appears
below.
Dated: August 8, 2011.
Todd A. Stevenson,
Secretary.
United States of America Consumer
Product Safety Commission
Settlement Agreement
1. In accordance with 16 CFR 1118.20,
Perfect Fitness and staff (‘‘Staff’’) of the
United States Consumer Product Safety
Commission (‘‘Commission’’) hereby
enter into this Settlement Agreement
(‘‘Agreement’’) under the Consumer
Product Safety Act (‘‘CPSA’’). The
Agreement and the incorporated
attached Order resolve Staff’s
allegations set forth below.
The Parties
2. Staff is the staff of the Commission,
an independent federal regulatory
agency established pursuant to, and
responsible for, the enforcement of the
CPSA, 15 U.S.C. 2051–2089.
3. Perfect Fitness is a privately-held
Limited Liability Company, organized
and existing under the laws of the State
of California, with its principal
corporate office located at 1750
Bridgeway, Suite A100, Sausalito,
California 94965.
Staff Allegations
4. Between January 2008 and August
2008, Perfect Fitness manufactured and
distributed approximately ten thousand
(10,000) ‘‘Perfect Pullup’’ exercise
equipment (‘‘Subject Products’’).
Retailers continued to sell the Subject
Products until they were recalled on
February 17, 2011. The Subject Products
sold for approximately $80–$100
through major sporting goods stores,
online retailers, and through direct
television marketing.
5. The Subject Products are
‘‘consumer products’’ and, at all
relevant times, Perfect Fitness was a
‘‘manufacturer’’ of these consumer
products, which were ‘‘distribute[d] in
commerce,’’ as those terms are defined
or used in sections 3(a)(5), (8), and (11)
of the CPSA, 15 U.S.C. 2052(a)(5), (8),
and (11).
6. The Subject Products are defective
because the handle can break during
use, resulting in consumers falling to
the floor.
7. Perfect Fitness received its first
complaint involving handle breakage in
E:\FR\FM\11AUN1.SGM
11AUN1
srobinson on DSK4SPTVN1PROD with NOTICES
49752
Federal Register / Vol. 76, No. 155 / Thursday, August 11, 2011 / Notices
May 2008. In response, Perfect Fitness
initiated an internal review. The
internal review revealed that an unusual
number of purchasers were returning or
requesting replacement Subject
Products. Some purchasers of the
returned products indicated that the
handles had broken during use.
8. In June 2008, Perfect Fitness began
re-testing the handle design. The firm
preliminarily concluded that the handle
design was defective because the
material used to make the handles was
not strong enough to withstand the
pressure load needed to perform
properly.
9. In July 2008, Perfect Fitness
redesigned the Subject Products in an
effort to correct the design defect.
10. By August 2008, Perfect Fitness
received additional confirmation
through a testing agency that the
original design would experience
handle failure at an average load of
158.3 pounds. The testing agency
additionally confirmed that the
redesigned handles would be able to
withstand a higher pressure load
without handle breakage.
11. On August 1, 2008, Perfect Fitness
began production of the redesigned
Subject Product, and discontinued
distribution of the Subject Products
without notifying the Commission of the
problems associated with handle
breakage.
12. By the end of August 2008, Perfect
Fitness received at least eleven (11)
more reports of handles breaking,
resulting in injuries to consumers.
13. On March 30, 2010, Perfect
Fitness posted a notice on its Web site
indicating that consumers could replace
the Subject Products free of charge. In
communications with consumers,
representatives of Perfect Fitness
represented that the original handles
were ‘‘inferior’’ and could result in an
‘‘accident.’’ By this date, Perfect Fitness
was aware of at least twenty-three (23)
incidents of handle breakage causing
injury.
14. Despite knowledge of the
information set forth in paragraphs 5–
13, Perfect Fitness did not report to the
Commission until December 20, 2010.
By that time, Perfect Fitness was aware
of at least forty-five (45) specific
complaints of injury due to handle
breakage and had received over two
thousand (2,000) requests for
replacement of the Subject Product.
15. Although Perfect Fitness had
obtained sufficient information to
reasonably support the conclusion that
the Subject Product contained a defect
which could create a substantial
product hazard, or created an
unreasonable risk of serious injury or
VerDate Mar<15>2010
15:59 Aug 10, 2011
Jkt 223001
death, Perfect Fitness failed to inform
the Commission immediately of such
defect or risk, as required by sections
15(b)(3) and (4) of the CPSA, 15 U.S.C.
§ 2064(b)(3) and (4). In failing to inform
the Commission immediately of the
defect or advising that the defect
involved the Subject Product, Perfect
Fitness knowingly violated section
19(a)(4) of the CPSA, 15 U.S.C.
2068(a)(4), as the term ‘‘knowingly’’ is
defined in section 20(d) of the CPSA, 15
U.S.C. 2069(d).
16. Pursuant to section 20 of the
CPSA, 15 U.S.C. 2069, Perfect Fitness is
subject to civil penalties for its knowing
failure to report, as required under
section 15(b) of the CPSA, 15 U.S.C.
2064(b).
Response of Perfect Fitness
17. Perfect Fitness denies the
allegations of Staff that the Subject
Products contain a defect which could
create a substantial product hazard or
create an unreasonable risk of serious
injury or death, and denies that it
knowingly violated the reporting
requirements of Section 15(b) of the
CPSA, 15 U.S.C. 2064(b).
Agreement of the Parties
18. Under the CPSA, the Commission
has jurisdiction over this matter and
over Perfect Fitness.
19. In settlement of Staff’s allegations,
Perfect Fitness shall pay a civil penalty
in the amount of four hundred twentyfive thousand dollars ($425,000.00)
within twenty (20) calendar days of
receiving service of the Commission’s
final Order accepting the Agreement.
The payment shall be made
electronically to the CPSC via https://
www.pay.gov.
20. The parties enter into this
Agreement for settlement purposes only.
The Agreement does not constitute an
admission by Perfect Fitness or a
determination by the Commission that
Perfect Fitness violated the CPSA’s
reporting requirements.
21. Upon provisional acceptance of
the Agreement by the Commission, the
Agreement shall be placed on the public
record and published in the Federal
Register in accordance with the
procedures set forth in 16 CFR
1118.20(e). If the Commission does not
receive any written request not to accept
the Agreement within fifteen (15)
calendar days, the Agreement shall be
deemed finally accepted on the 16th
calendar day after the date it is
published in the Federal Register, in
accordance with 16 CFR 1118.20(f).
22. Upon the Commission’s final
acceptance of the Agreement and
issuance of the final Order, Perfect
PO 00000
Frm 00028
Fmt 4703
Sfmt 4703
Fitness knowingly, voluntarily, and
completely waives any rights it may
have in this matter to the following: (a)
An administrative or judicial hearing;
(b) judicial review or other challenge or
contest of the Commission’s actions; (c)
a determination by the Commission of
whether Perfect Fitness failed to comply
with the CPSA and the underlying
regulations; (d) a statement of findings
of fact and conclusions of law; and (e)
any claims under the Equal Access to
Justice Act.
23. The Commission may publicize
the terms of the Agreement and the
Order.
24. The Agreement and the Order
shall apply to, and be binding upon,
Perfect Fitness and each of its
successors and/or assigns until the
obligations described in Paragraph 19
have been fulfilled to the satisfaction of
the Commission.
25. The Commission issues the Order
under the provisions of the CPSA, and
a violation of the Order may subject
Perfect Fitness and each of its
successors and/or assigns to appropriate
legal action until the obligations
described in Paragraph 19 have been
fulfilled to the satisfaction of the
Commission.
26. The Agreement may be used in
interpreting the Order. Understandings,
agreements, representations, or
interpretations apart from those
contained in the Agreement and the
Order may not be used to vary or
contradict the terms or the Agreement
and the Order. The Agreement shall not
be waived, amended, modified, or
otherwise altered without written
agreement thereto, executed by the party
against whom such waiver, amendment,
modification, or alteration is sought to
be enforced.
27. If any provision of the Agreement
or the Order is held to be illegal,
invalid, or unenforceable under present
or future laws effective during the terms
of the Agreement and the Order, such
provision shall be fully severable. The
balance of the Agreement and the Order
shall remain in full force and effect,
unless the Commission and Perfect
Fitness agree that severing the provision
materially affects the purpose of the
Agreement and Order.
Perfect Fitness LLC
Dated: July 28, 2011
By: lllllllllllllllllll
Alden Mills, Chief Executive Officer
Perfect Fitness
1750 Bridgeway
Suite A100
Sausalito, California 94965
Dated: July 28, 2011
By: lllllllllllllllllll
Mark Friedman, President
E:\FR\FM\11AUN1.SGM
11AUN1
49753
Federal Register / Vol. 76, No. 155 / Thursday, August 11, 2011 / Notices
Perfect Fitness
1750 Bridgeway
Suite A100
Sausalito, California 94965
Dated: July 29, 2011
By: lllllllllllllllllll
Paul Rubin, Esq.
Patton Boggs LLP
2550 M Street, NW.,
Washington, DC 20037
Counsel for Perfect Fitness
Office of the Secretary
Strategic Environmental Research and
Development Program Scientific
Advisory Board Meeting
Department of Defense.
Notice.
AGENCY:
ACTION:
This Notice is published in
accordance with Section 10(a)(2) of the
Federal Advisory Committee Act (Pub.
L. 92–463). The topic of the meeting on
Cheryl A. Falvey, General Counsel
October 12–13, 2011 is to review new
Mary B. Murphy, Assistant General Counsel
start research and development projects
Dated: August 4, 2011
By: lllllllllllllllllll requesting Strategic Environmental
Research and Development Program
Jennifer C. Argabright, Trial Attorney
(SERDP) funds in excess of $1M. This
Division of Compliance
meeting is open to the public. Any
Office of the General Counsel
interested person may attend, appear
United States of America
before, or file statements with the
Scientific Advisory Board at the time
Consumer Product Safety Commission
and in the manner permitted by the
Board.
Order
U.S. CONSUMER PRODUCT SAFETY
COMMISSION STAFF
srobinson on DSK4SPTVN1PROD with NOTICES
Upon consideration of the Settlement
Agreement entered into between Perfect
Fitness and the U.S. Consumer Product
Safety Commission (‘‘Commission’’)
staff, and the Commission having
jurisdiction over the subject matter and
over Perfect Fitness, and it appearing
that the Settlement Agreement and the
Order are in the public interest, it is
Ordered that the Settlement
Agreement be, and is, hereby, accepted;
and it is
Further ordered, that Perfect Fitness
shall pay a civil penalty in the amount
of four hundred and twenty-five
thousand dollars ($425,000.00) within
twenty (20) days of service of the
Commission’s final Order accepting the
Settlement Agreement upon counsel for
Perfect Fitness identified in the
Settlement Agreement. The payment
shall be made electronically to the CPSC
via https://www.pay.gov. Upon the
failure of Perfect Fitness to make the
foregoing payment when due, interest
on the unpaid amount shall accrue and
be paid by Perfect Fitness at the federal
legal rate of interest set forth at
28 U.S.C. 1961(a) and (b).
Provisionally accepted and provisional
Order issued on the 8th day of August, 2011.
By Order of the Commission.
Todd A. Stevenson, Secretary
U.S. Consumer Product Safety Commission
[FR Doc. 2011–20463 Filed 8–10–11; 8:45 am]
BILLING CODE 6355–01–P
VerDate Mar<15>2010
15:59 Aug 10, 2011
Jkt 223001
You may submit comments,
identified by docket number and title,
by any of the following methods:
• Federal Rulemaking Portal: https://
www.regulations.gov. Follow the
instructions for submitting comments.
• Mail: Federal Docket Management
System Office, 1160 Defense Pentagon,
Washington, DC 20301–1160.
Instructions: All submissions received
must include the agency name and
docket number for this Federal Register
document. The general policy for
comments and other submissions from
members of the public is to make these
submissions available for public
viewing on the Internet at https://
www.regulations.gov as they are
received without change, including any
personal identifiers or contact
information.
ADDRESSES:
DEPARTMENT OF DEFENSE
SUMMARY:
Wednesday, October 12, 2011
from 9 a.m. to 5 p.m. & Thursday,
October 13, from 9 a.m. to 5 p.m.
ADDRESSES: SERDP Office Conference
Center, 901 North Stuart Street, Suite
804, Arlington, VA 22203.
FOR FURTHER INFORMATION CONTACT: Mr.
Jonathan Bunger, SERDP Office, 901
North Stuart Street, Suite 303,
Arlington, VA or by telephone at (703)
696–2126.
DATES:
Ms.
Cindy Allard, Chief, OSD/JS Privacy
Office, Freedom of Information
Directorate, Washington Headquarters
Services, 1155 Defense Pentagon,
Washington, DC 20301–1155, or by
phone at (703) 588–6830.
FOR FURTHER INFORMATION CONTACT:
Privacy Act of 1974; System of
Records
The Office
of the Secretary of Defense notices for
systems of records subject to the Privacy
Act of 1974 (5 U.S.C. 552a), as amended,
have been published in the Federal
Register and are available from the
address in FOR FURTHER INFORMATION
CONTACT.
The proposed system report, as
required by 5 U.S.C. 552a(r) of the
Privacy Act of 1974, as amended, was
submitted on August 5, 2011, to the
House Committee on Oversight and
Government Reform, the Senate
Committee on Governmental Affairs,
and the Office of Management and
Budget (OMB) pursuant to paragraph 4c
of Appendix I to OMB Circular No. A–
130, ‘‘Federal Agency Responsibilities
for Maintaining Records About
Individuals,’’ dated February 8, 1996
(February 20, 1996, 61 FR 6427).
AGENCY:
Office of the Secretary,
Department of Defense.
ACTION: Notice to alter a system of
records.
Dated: August 5, 2011.
Aaron Siegel,
Alternate OSD Federal Register Liaison
Officer, Department of Defense.
The Office of the Secretary of
Defense proposes to alter a system of
records in its inventory of record
systems subject to the Privacy Act of
1974 (5 U.S.C. 552a), as amended.
DATES: This proposed action would be
effective without further notice on
September 9, 2011 unless comments are
received which result in a contrary
determination.
DHA 14
Dated: August 8, 2011.
Aaron Siegel,
Alternate OSD Federal Register Liaison
Officer, Department of Defense.
[FR Doc. 2011–20398 Filed 8–10–11; 8:45 am]
BILLING CODE 5001–06–P
DEPARTMENT OF DEFENSE
Office of the Secretary
[Docket ID DOD–2011–OS–0089]
SUMMARY:
PO 00000
Frm 00029
Fmt 4703
Sfmt 4703
SUPPLEMENTARY INFORMATION:
SYSTEM NAME:
Computer/Electronics
Accommodations Program for People
with Disabilities (June 21, 2006, 71 FR
35632).
CHANGES:
*
E:\FR\FM\11AUN1.SGM
*
*
11AUN1
*
*
Agencies
[Federal Register Volume 76, Number 155 (Thursday, August 11, 2011)]
[Notices]
[Pages 49751-49753]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2011-20463]
=======================================================================
-----------------------------------------------------------------------
CONSUMER PRODUCT SAFETY COMMISSION
[CPSC Docket No. 11-C0009]
Perfect Fitness, Provisional Acceptance of a Settlement Agreement
and Order
AGENCY: Consumer Product Safety Commission.
ACTION: Notice.
-----------------------------------------------------------------------
SUMMARY: It is the policy of the Commission to publish settlements
which it provisionally accepts under the Consumer Product Safety Act in
the Federal Register in accordance with the terms of 16 CFR 1118.20(e).
Published below is a provisionally-accepted Settlement Agreement with
Perfect Fitness, containing a civil penalty of $425,000.00.
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 August 26, 2011.
ADDRESSES: Persons wishing to comment on this Settlement Agreement
should send written comments to the Comment 11-C0009, Office of the
Secretary, Consumer Product Safety Commission, 4330 East West Highway,
Room 820, Bethesda, Maryland 20814-4408.
FOR FURTHER INFORMATION CONTACT: Jennifer C. Argabright, Trial
Attorney, Division of Compliance, Office of the General Counsel,
Consumer Product Safety Commission, 4330 East West Highway, Bethesda,
Maryland 20814-4408; telephone (301) 504-7808.
SUPPLEMENTARY INFORMATION: The text of the Agreement and Order appears
below.
Dated: August 8, 2011.
Todd A. Stevenson,
Secretary.
United States of America Consumer Product Safety Commission
Settlement Agreement
1. In accordance with 16 CFR 1118.20, Perfect Fitness and staff
(``Staff'') of the United States Consumer Product Safety Commission
(``Commission'') hereby enter into this Settlement Agreement
(``Agreement'') under the Consumer Product Safety Act (``CPSA''). The
Agreement and the incorporated attached Order resolve Staff's
allegations set forth below.
The Parties
2. Staff is the staff of the Commission, an independent federal
regulatory agency established pursuant to, and responsible for, the
enforcement of the CPSA, 15 U.S.C. 2051-2089.
3. Perfect Fitness is a privately-held Limited Liability Company,
organized and existing under the laws of the State of California, with
its principal corporate office located at 1750 Bridgeway, Suite A100,
Sausalito, California 94965.
Staff Allegations
4. Between January 2008 and August 2008, Perfect Fitness
manufactured and distributed approximately ten thousand (10,000)
``Perfect Pullup'' exercise equipment (``Subject Products''). Retailers
continued to sell the Subject Products until they were recalled on
February 17, 2011. The Subject Products sold for approximately $80-$100
through major sporting goods stores, online retailers, and through
direct television marketing.
5. The Subject Products are ``consumer products'' and, at all
relevant times, Perfect Fitness was a ``manufacturer'' of these
consumer products, which were ``distribute[d] in commerce,'' as those
terms are defined or used in sections 3(a)(5), (8), and (11) of the
CPSA, 15 U.S.C. 2052(a)(5), (8), and (11).
6. The Subject Products are defective because the handle can break
during use, resulting in consumers falling to the floor.
7. Perfect Fitness received its first complaint involving handle
breakage in
[[Page 49752]]
May 2008. In response, Perfect Fitness initiated an internal review.
The internal review revealed that an unusual number of purchasers were
returning or requesting replacement Subject Products. Some purchasers
of the returned products indicated that the handles had broken during
use.
8. In June 2008, Perfect Fitness began re-testing the handle
design. The firm preliminarily concluded that the handle design was
defective because the material used to make the handles was not strong
enough to withstand the pressure load needed to perform properly.
9. In July 2008, Perfect Fitness redesigned the Subject Products in
an effort to correct the design defect.
10. By August 2008, Perfect Fitness received additional
confirmation through a testing agency that the original design would
experience handle failure at an average load of 158.3 pounds. The
testing agency additionally confirmed that the redesigned handles would
be able to withstand a higher pressure load without handle breakage.
11. On August 1, 2008, Perfect Fitness began production of the
redesigned Subject Product, and discontinued distribution of the
Subject Products without notifying the Commission of the problems
associated with handle breakage.
12. By the end of August 2008, Perfect Fitness received at least
eleven (11) more reports of handles breaking, resulting in injuries to
consumers.
13. On March 30, 2010, Perfect Fitness posted a notice on its Web
site indicating that consumers could replace the Subject Products free
of charge. In communications with consumers, representatives of Perfect
Fitness represented that the original handles were ``inferior'' and
could result in an ``accident.'' By this date, Perfect Fitness was
aware of at least twenty-three (23) incidents of handle breakage
causing injury.
14. Despite knowledge of the information set forth in paragraphs 5-
13, Perfect Fitness did not report to the Commission until December 20,
2010. By that time, Perfect Fitness was aware of at least forty-five
(45) specific complaints of injury due to handle breakage and had
received over two thousand (2,000) requests for replacement of the
Subject Product.
15. Although Perfect Fitness had obtained sufficient information to
reasonably support the conclusion that the Subject Product contained a
defect which could create a substantial product hazard, or created an
unreasonable risk of serious injury or death, Perfect Fitness failed to
inform the Commission immediately of such defect or risk, as required
by sections 15(b)(3) and (4) of the CPSA, 15 U.S.C. Sec. 2064(b)(3)
and (4). In failing to inform the Commission immediately of the defect
or advising that the defect involved the Subject Product, Perfect
Fitness knowingly violated section 19(a)(4) of the CPSA, 15 U.S.C.
2068(a)(4), as the term ``knowingly'' is defined in section 20(d) of
the CPSA, 15 U.S.C. 2069(d).
16. Pursuant to section 20 of the CPSA, 15 U.S.C. 2069, Perfect
Fitness is subject to civil penalties for its knowing failure to
report, as required under section 15(b) of the CPSA, 15 U.S.C. 2064(b).
Response of Perfect Fitness
17. Perfect Fitness denies the allegations of Staff that the
Subject Products contain a defect which could create a substantial
product hazard or create an unreasonable risk of serious injury or
death, and denies that it knowingly violated the reporting requirements
of Section 15(b) of the CPSA, 15 U.S.C. 2064(b).
Agreement of the Parties
18. Under the CPSA, the Commission has jurisdiction over this
matter and over Perfect Fitness.
19. In settlement of Staff's allegations, Perfect Fitness shall pay
a civil penalty in the amount of four hundred twenty-five thousand
dollars ($425,000.00) within twenty (20) calendar days of receiving
service of the Commission's final Order accepting the Agreement. The
payment shall be made electronically to the CPSC via https://www.pay.gov.
20. The parties enter into this Agreement for settlement purposes
only. The Agreement does not constitute an admission by Perfect Fitness
or a determination by the Commission that Perfect Fitness violated the
CPSA's reporting requirements.
21. Upon provisional acceptance of the Agreement by the Commission,
the Agreement shall be placed on the public record and published in the
Federal Register in accordance with the procedures set forth in 16 CFR
1118.20(e). If the Commission does not receive any written request not
to accept the Agreement within fifteen (15) calendar days, the
Agreement shall be deemed finally accepted on the 16th calendar day
after the date it is published in the Federal Register, in accordance
with 16 CFR 1118.20(f).
22. Upon the Commission's final acceptance of the Agreement and
issuance of the final Order, Perfect Fitness knowingly, voluntarily,
and completely waives any rights it may have in this matter to the
following: (a) An administrative or judicial hearing; (b) judicial
review or other challenge or contest of the Commission's actions; (c) a
determination by the Commission of whether Perfect Fitness failed to
comply with the CPSA and the underlying regulations; (d) a statement of
findings of fact and conclusions of law; and (e) any claims under the
Equal Access to Justice Act.
23. The Commission may publicize the terms of the Agreement and the
Order.
24. The Agreement and the Order shall apply to, and be binding
upon, Perfect Fitness and each of its successors and/or assigns until
the obligations described in Paragraph 19 have been fulfilled to the
satisfaction of the Commission.
25. The Commission issues the Order under the provisions of the
CPSA, and a violation of the Order may subject Perfect Fitness and each
of its successors and/or assigns to appropriate legal action until the
obligations described in Paragraph 19 have been fulfilled to the
satisfaction of the Commission.
26. The Agreement may be used in interpreting the Order.
Understandings, agreements, representations, or interpretations apart
from those contained in the Agreement and the Order may not be used to
vary or contradict the terms or the Agreement and the Order. The
Agreement shall not be waived, amended, modified, or otherwise altered
without written agreement thereto, executed by the party against whom
such waiver, amendment, modification, or alteration is sought to be
enforced.
27. If any provision of the Agreement or the Order is held to be
illegal, invalid, or unenforceable under present or future laws
effective during the terms of the Agreement and the Order, such
provision shall be fully severable. The balance of the Agreement and
the Order shall remain in full force and effect, unless the Commission
and Perfect Fitness agree that severing the provision materially
affects the purpose of the Agreement and Order.
Perfect Fitness LLC
Dated: July 28, 2011
By:--------------------------------------------------------------------
Alden Mills, Chief Executive Officer
Perfect Fitness
1750 Bridgeway
Suite A100
Sausalito, California 94965
Dated: July 28, 2011
By:--------------------------------------------------------------------
Mark Friedman, President
[[Page 49753]]
Perfect Fitness
1750 Bridgeway
Suite A100
Sausalito, California 94965
Dated: July 29, 2011
By:--------------------------------------------------------------------
Paul Rubin, Esq.
Patton Boggs LLP
2550 M Street, NW.,
Washington, DC 20037
Counsel for Perfect Fitness
U.S. CONSUMER PRODUCT SAFETY COMMISSION STAFF
Cheryl A. Falvey, General Counsel
Mary B. Murphy, Assistant General Counsel
Dated: August 4, 2011
By:--------------------------------------------------------------------
Jennifer C. Argabright, Trial Attorney
Division of Compliance
Office of the General Counsel
United States of America
Consumer Product Safety Commission
Order
Upon consideration of the Settlement Agreement entered into between
Perfect Fitness and the U.S. Consumer Product Safety Commission
(``Commission'') staff, and the Commission having jurisdiction over the
subject matter and over Perfect Fitness, and it appearing that the
Settlement Agreement and the Order are in the public interest, it is
Ordered that the Settlement Agreement be, and is, hereby, accepted;
and it is
Further ordered, that Perfect Fitness shall pay a civil penalty in
the amount of four hundred and twenty-five thousand dollars
($425,000.00) within twenty (20) days of service of the Commission's
final Order accepting the Settlement Agreement upon counsel for Perfect
Fitness identified in the Settlement Agreement. The payment shall be
made electronically to the CPSC via https://www.pay.gov. Upon the
failure of Perfect Fitness to make the foregoing payment when due,
interest on the unpaid amount shall accrue and be paid by Perfect
Fitness at the federal legal rate of interest set forth at 28 U.S.C.
1961(a) and (b).
Provisionally accepted and provisional Order issued on the 8th
day of August, 2011.
By Order of the Commission.
Todd A. Stevenson, Secretary
U.S. Consumer Product Safety Commission
[FR Doc. 2011-20463 Filed 8-10-11; 8:45 am]
BILLING CODE 6355-01-P