Kolcraft Enterprises, Inc., Provisional Acceptance of a Settlement Agreement and Order, 14080-14082 [2013-04909]
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14080
Federal Register / Vol. 78, No. 42 / Monday, March 4, 2013 / Notices
estimates that approximately 10% of
these responses will be from small
entities.
Estimated Time per Response: The
USPTO estimates that it will take the
public from 5 minutes (0.08 hours) to 6
hours to gather the necessary
information, prepare the appropriate
documents, and submit the information
required for this collection.
Estimated Total Annual Respondent
Burden Hours: 88 hours.
Estimated Total Annual Respondent
Cost Burden: $32,354. The USPTO
expects that the information in this
collection will be prepared by attorneys
and former employees, except for the
requests for employee indemnification,
which generally come from professional
and supervisory staff. Since many of the
former employees affected by this
collection are attorneys, the estimated
rate of $371 per hour for attorneys will
be used for former employees as well.
The USPTO estimates that the
respondent cost burden for attorneys
and former employees submitting the
information in this collection will be
$32,277 per year.
Using the estimate of $77 per hour for
professional and supervisory staff, the
USPTO expects that the respondent cost
burden for submitting requests for
employee indemnification will be $77
per year. Therefore, the USPTO
estimates that the total respondent cost
burden for this collection will be
approximately $32,354 per year.
Item
Estimated time
for response
Petition to Waive Rules ....................................................................................................
Service of Process ............................................................................................................
Forwarding Service ...........................................................................................................
Employee Testimony and Production of Documents in Legal Proceedings ....................
Forwarding Demands .......................................................................................................
Report of Unauthorized Testimony ...................................................................................
Report of Possible Indemnification Cases .......................................................................
Employee Indemnification .................................................................................................
Tort Claims .......................................................................................................................
Estimated annual
responses
Estimated annual
burden hours
30 minutes ........
5 minutes ..........
10 minutes ........
1 hour ...............
10 minutes ........
30 minutes ........
30 minutes ........
30 minutes ........
6 hours .............
5
243
7
23
10
1
3
1
6
3
19
1
23
2
1
2
1
36
299
88
sroberts on DSK5SPTVN1PROD with NOTICES
Totals .........................................................................................................................
Estimated Total Annual Non-hour
Respondent Cost Burden: $3,436. There
are no capital start-up, maintenance, or
recordkeeping costs associated with this
information collection. However, this
collection does have annual (non-hour)
costs in the form of filing fees and
postage costs.
This collection has filing fees
associated with the petition to waive or
suspend the legal process rules under 37
CFR 104.3. The USPTO estimates that
approximately 5 petitions will be filed
per year with a fee of $130, for a total
fee cost of $650. There are no other fees
associated with this information
collection.
Customers may incur postage costs
when submitting the information in this
collection to the USPTO by mail. The
USPTO estimates that the average firstclass postage for a mailed submission,
other than a Service of Process, will be
92 cents and that up to 56 of these
submissions will be mailed to the
USPTO per year, for a postage cost of
$52. The USPTO estimates that the
average postage for a Service of Process
will be $11.25 and that up to 243 of
these submissions will be mailed to the
USPTO per year, for a postage cost of
$2,734. The total estimated postage cost
for this collection is approximately
$2,786 per year.
The total annual (non-hour)
respondent cost burden for this
collection in the form of filing fees and
postage costs is estimated to be
approximately $3,436 per year.
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IV. Request for Comments
Comments submitted in response to
this notice will be summarized and/or
included in the request for OMB
approval. All comments will become a
matter of public record.
The USPTO is soliciting public
comments to:
(a) Evaluate whether the proposed
collection of information is necessary
for the proper performance of the
functions of the agency, including
whether the information will have
practical utility; (b) Evaluate the
accuracy of the agency’s estimate of the
burden of the proposed collection of
information, including the validity of
the methodology and assumptions used;
(c) Enhance the quality, utility, and
clarity of the information to be
collected; and (d) Minimize the burden
of the collection of information on those
who are to respond, including through
the use of appropriate automated,
electronic, mechanical, or other
technological collection techniques or
other forms of information technology,
e.g., permitting electronic submission of
responses.
Dated: February 27, 2013.
Susan K. Fawcett,
Records Officer, USPTO, Office of the Chief
Information Officer.
[FR Doc. 2013–04867 Filed 3–1–13; 8:45 am]
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CONSUMER PRODUCT SAFETY
COMMISSION
[CPSC Docket No. 13–C0004]
Kolcraft Enterprises, Inc., 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 Kolcraft
Enterprises, Inc., containing a civil
penalty of $400,000.00, within twenty
(20) days of service of the Commission’s
final Order accepting the Settlement
Agreement.
SUMMARY:
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 19,
2013.
ADDRESSES: Persons wishing to
comment on this Settlement Agreement
should send written comments to the
Comment 13–C0004, Office of the
Secretary, Consumer Product Safety
Commission, 4330 East West Highway,
Room 820, Bethesda, Maryland 20814–
4408.
DATES:
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Federal Register / Vol. 78, No. 42 / Monday, March 4, 2013 / Notices
FOR FURTHER INFORMATION CONTACT:
Richa Shyam Dasgupta, Trial Attorney,
Division of Compliance, Office of the
General Counsel, Consumer Product
Safety Commission, 4330 East West
Highway, Bethesda, Maryland 20814–
4408; telephone (301) 504–7798.
SUPPLEMENTARY INFORMATION: The text of
the Agreement and Order appears
below.
Dated: February 27, 2013.
Todd A. Stevenson,
Secretary.
Settlement Agreement and Order
1. In accordance with the Consumer
Product Safety Act (CPSA), 15 U.S.C.
2051–2089, (CPSA), and 16 CFR
1118.20, Kolcraft Enterprises, Inc.
(Kolcraft) and staff (staff) of the United
States Consumer Product Safety
Commission (Commission or CPSC)
hereby enter into this Settlement
Agreement (Agreement). The Agreement
and the 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, enforcement of the
CPSA.
3. Kolcraft is a privately-held
company, organized and existing under
the laws of the state of Delaware, with
its principal office located in Chicago,
IL.
4. Kolcraft is a small business as set
forth in the Small Business
Administration guidelines regarding
size of business.
sroberts on DSK5SPTVN1PROD with NOTICES
Staff Allegations
5. Between 2000 and 2009, Kolcraft
imported approximately 1 million play
yards (the ‘‘Play Yards’’) and distributed
them nationwide through major retailers
and Internet sales.
6. The Play Yards are ‘‘consumer
products’’ and, at all relevant times,
Kolcraft was a ‘‘manufacturer’’ of
‘‘consumer products,’’ of the subject
Play Yards, 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(3)(a)(5), (8),
and (11).
7. The Play Yards are defective
because the side rail of a Play Yard can
fail to latch properly, and when a child
pushes against the rail, the rail can
unlatch unexpectedly, posing a fall
hazard to children.
8. From 2000 through July 2009,
Kolcraft received approximately 350
reports of Play Yards collapsing
unexpectedly, including 21 incidents
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16:15 Mar 01, 2013
Jkt 229001
that resulted in injuries to young
children.
9. In July 2005, Kolcraft engaged
failure analysis experts to examine and
test the latching system on the Play
Yards. By August 2005, these experts
had identified the potential for false
latching.
10. During 2006, Kolcraft made
prospective improvements to the
warning labels, instruction sheets, and
the side-rail latch to eliminate false
latching in future production of the Play
Yards. None of these improvements
addressed the potential for false latching
that existed in the more than 880,000
Play Yards in commerce at the time.
11. Kolcraft waited until January 15,
2009, however, to report to the CPSC
regarding the Play Yards.
12. On July 8, 2009, Kolcraft, in
cooperation with the CPSC, announced
a recall of the Play Yards.
13. Well before January 15, 2009,
Kolcraft had obtained sufficient
information to reasonably support the
conclusion that the Play Yards
contained a defect that could create a
substantial product hazard, or created
an unreasonable risk of serious injury or
death; yet, Kolcraft 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 risk involving the Play Yards,
Kolcraft 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).
14. Pursuant to section 20 of the
CPSA, 15 U.S.C. 2069, Kolcraft 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 Kolcraft
15. The Firm denies staff’s allegations
that it knew that the Subject Products
contained a defect which could create a
substantial product hazard pursuant to
section 15(a) of the CPSA, 15 U.S.C.
2064(a), and further 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
16. Under the CPSA, the Commission
has jurisdiction over this matter and
over Kolcraft.
17. The parties enter this Agreement
for settlement purposes only. The
Agreement does not constitute an
admission by Kolcraft or a
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14081
determination by the Commission that
Kolcraft knowingly violated the CPSA.
18. In settlement of staff’s allegations,
Kolcraft shall pay a civil penalty in the
amount of four hundred thousand
dollars ($400,000.00) (Settlement
Amount). The civil penalty shall be paid
within twenty (20) calendar days of
service of the Commission’s final Order
accepting the Agreement. The payment
shall be made to the CPSC via:
www.pay.gov.
19. 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).
20. Upon the Commission’s final
acceptance of the Agreement and
issuance of the Order, Kolcraft
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 Kolcraft 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.
21. Kolcraft shall maintain and
enforce a system of internal controls and
procedures designed to ensure that: (i)
Information required to be disclosed by
Kolcraft to the Commission is recorded,
processed and reported in accordance
with applicable law; (ii) all reporting
made to the Commission is timely,
truthful, complete and accurate; and (iii)
prompt disclosure is made to Kolcraft’s
management of any significant
deficiencies or material weaknesses in
the design or operation of such internal
controls that are reasonably likely to
adversely affect in any material respect
Kolcraft’s ability to record, process and
report to the Commission in accordance
with applicable law.
22. Upon request of Staff, Kolcraft
shall provide written documentation of
such improvements, processes, and
controls, including, but not limited to,
the effective dates of such
improvements, processes, and controls.
Kolcraft shall cooperate fully and
truthfully with Staff and shall make
available all information, materials, and
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14082
Federal Register / Vol. 78, No. 42 / Monday, March 4, 2013 / Notices
personnel deemed necessary by Staff to
evaluate Kolcraft’s compliance with the
terms of the Agreement.
23. Kolcraft shall implement and
maintain a compliance program
designed to ensure compliance with the
safety statutes and regulations enforced
by the CPSC that, at a minimum,
contains the following elements (i)
written standards and policies; (ii) a
mechanism for confidential employee
reporting of compliance-related
questions or concerns to either a
compliance officer or to another senior
manager with authority to act as
necessary; (iii) effective communication
of company compliance-related policies
and procedures to all employees
through training programs or otherwise;
(iv) senior manager responsibility for
compliance; (v) board oversight of
compliance (if applicable); and (vi)
retention of all compliance-related
records for at least five (5) years and
availability of such records to CPSC
upon request.
24. The Commission may publicize
the terms of the Agreement and the final
Order.
25. The Agreement and the final
Order shall apply to, and be binding
upon, Kolcraft, and each of its
successors and/or assigns.
26. The Commission issues the final
Order under the provisions of the CPSA,
and a violation of the final Order may
subject Kolcraft, and each of its
successors and/or assigns, to
appropriate legal action.
27. The Agreement may be used in
interpreting the final 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 final 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.
28. If any provision of the Agreement
or the final Order is held to be illegal,
invalid, or unenforceable under present
or future laws effective during the terms
of the Agreement and the final Order,
such provision shall be fully severable.
The balance of the Agreement and the
final Order shall remain in full force
and effect, unless the Commission and
Kolcraft agree that severing the
provision materially affects the purpose
of the Agreement and final Order.
29. This Agreement may be signed in
counterparts.
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17:54 Mar 01, 2013
Jkt 229001
Dated: February 25, 2013.
Kolcraft Enterprises, Inc.
By: lllllllllllllllllll
Thomas Koltun,
President, Kolcraft Enterprises, Inc.
Dated: February 26, 2013.
By: lllllllllllllllllll
Erika Z. Jones, Esq.,
Counsel to Kolcraft Enterprises, Inc., Mayer
Brown LLP, Washington, DC
U.S. Consumer Product Safety Commission
Staff
Stephanie Tsacoumis,
General Counsel.
Mary B. Murphy,
Assistant General Counsel, Divisions of
Compliance and Import Surveillance.
Dated: February 27, 2013.
By: lllllllllllllllllll
Richa Shyam Dasgupta,
Trial Attorney, Division of Compliance,
Office of the General Counsel.
Order
Upon consideration of the Agreement
entered into between Kolcraft
Enterprises, Inc. (‘‘Kolcraft’’), and U.S.
Consumer Product Safety Commission
(Commission) staff, and the Commission
having jurisdiction over the subject
matter and over Kolcraft, and it
appearing that the Agreement and the
Order are in the public interest, it is
Ordered that the Agreement be, and
hereby, is accepted; and it is
Further ordered, that Kolcraft shall
pay a civil penalty in the total amount
of four hundred thousand dollars
($400,000.00), paid within twenty (20)
days of service of the Commission’s
Order upon counsel for Kolcraft. The
payments shall be made electronically
to the CPSC via: www.pay.gov. Upon the
failure of Kolcraft to make the foregoing
payment when due, interest on the
unpaid amount shall accrue and be paid
by Kolcraft at the federal legal rate of
interest set forth at 28 U.S.C. 1961(a)
and (b). If Kolcraft fails to make such
payment or to comply in full with any
other provision as set forth in the
Agreement, such conduct will be
considered a violation of this Agreement
and Order.
Provisionally accepted and provisional
Order issued on the 27th day of February
2013.
By order of the Commission.
Todd A. Stevenson,
Secretary, U.S. Consumer Product Safety
Commission.
[FR Doc. 2013–04909 Filed 3–1–13; 8:45 am]
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DEPARTMENT OF DEFENSE
Office of the Secretary
Renewal of Department of Defense
Federal Advisory Committees
DoD.
Renewal of Missouri River
(South Dakota) Task Force.
AGENCY:
ACTION:
Under the provisions of 10
U.S.C. 2166(e), the Federal Advisory
Committee Act of 1972 (5 U.S.C.
Appendix), the Government in the
Sunshine Act of 1976 (5 U.S.C. 552b),
and 41 CFR 102–3.50(a), the Department
of Defense gives notice that it is
renewing the charter for the Missouri
River (South Dakota) Task Force (‘‘the
Task Force’’).
FOR FURTHER INFORMATION CONTACT: Jim
Freeman, Advisory Committee
Management Officer for the Department
of Defense, 703–692–5952.
SUPPLEMENTARY INFORMATION: The Task
Force shall provide independent advice
and recommendations on a plan and
accompanying critical restoration
projects to reduce siltation of the
Missouri River in the State of South
Dakota and to meet the objectives of the
Pick-Sloan program. Specifically, the
Task Force shall:
a. Prepare and approve, by a majority
of the members, a plan for the use of the
funds made available under Public Law
106–541, to promote conservation
practices in the Missouri River
watershed, control and remove the
sediment from the Missouri River,
protect recreation on the Missouri River
from sedimentation, protect Indian and
non-Indian historical and cultural sites
along the Missouri River from erosion,
erosion control along the Missouri
River, or any combination of the
activities just described;
b. Develop and recommend to the
Secretary of the Army for
implementation critical restoration
projects meeting the goals of the plan;
and
c. Determine whether these critical
restoration projects primarily benefit the
Federal Government for purposes of
cost-sharing.
The Task Force shall report to the
Secretary of the Army. The Secretary of
the Army may act upon the Task Force’s
advice and recommendations. As
prescribed by Section 905(b) of the
Missouri River Restoration Act of 2000,
the Task Force shall be composed of not
more than 29 members. Specifically, the
Task Force membership shall be
composed of the Secretary of the Army
or designee, who shall serve as the
Chairperson; Secretary of Agriculture or
SUMMARY:
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]]>Agencies
[Federal Register Volume 78, Number 42 (Monday, March 4, 2013)]
[Notices]
[Pages 14080-14082]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2013-04909]
=======================================================================
-----------------------------------------------------------------------
CONSUMER PRODUCT SAFETY COMMISSION
[CPSC Docket No. 13-C0004]
Kolcraft Enterprises, Inc., 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
Kolcraft Enterprises, Inc., containing a civil penalty of $400,000.00,
within twenty (20) days of service of the Commission's final Order
accepting the Settlement Agreement.
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 19, 2013.
ADDRESSES: Persons wishing to comment on this Settlement Agreement
should send written comments to the Comment 13-C0004, Office of the
Secretary, Consumer Product Safety Commission, 4330 East West Highway,
Room 820, Bethesda, Maryland 20814-4408.
[[Page 14081]]
FOR FURTHER INFORMATION CONTACT: Richa Shyam Dasgupta, Trial Attorney,
Division of Compliance, Office of the General Counsel, Consumer Product
Safety Commission, 4330 East West Highway, Bethesda, Maryland 20814-
4408; telephone (301) 504-7798.
SUPPLEMENTARY INFORMATION: The text of the Agreement and Order appears
below.
Dated: February 27, 2013.
Todd A. Stevenson,
Secretary.
Settlement Agreement and Order
1. In accordance with the Consumer Product Safety Act (CPSA), 15
U.S.C. 2051-2089, (CPSA), and 16 CFR 1118.20, Kolcraft Enterprises,
Inc. (Kolcraft) and staff (staff) of the United States Consumer Product
Safety Commission (Commission or CPSC) hereby enter into this
Settlement Agreement (Agreement). The Agreement and the 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,
enforcement of the CPSA.
3. Kolcraft is a privately-held company, organized and existing
under the laws of the state of Delaware, with its principal office
located in Chicago, IL.
4. Kolcraft is a small business as set forth in the Small Business
Administration guidelines regarding size of business.
Staff Allegations
5. Between 2000 and 2009, Kolcraft imported approximately 1 million
play yards (the ``Play Yards'') and distributed them nationwide through
major retailers and Internet sales.
6. The Play Yards are ``consumer products'' and, at all relevant
times, Kolcraft was a ``manufacturer'' of ``consumer products,'' of the
subject Play Yards, 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(3)(a)(5), (8), and (11).
7. The Play Yards are defective because the side rail of a Play
Yard can fail to latch properly, and when a child pushes against the
rail, the rail can unlatch unexpectedly, posing a fall hazard to
children.
8. From 2000 through July 2009, Kolcraft received approximately 350
reports of Play Yards collapsing unexpectedly, including 21 incidents
that resulted in injuries to young children.
9. In July 2005, Kolcraft engaged failure analysis experts to
examine and test the latching system on the Play Yards. By August 2005,
these experts had identified the potential for false latching.
10. During 2006, Kolcraft made prospective improvements to the
warning labels, instruction sheets, and the side-rail latch to
eliminate false latching in future production of the Play Yards. None
of these improvements addressed the potential for false latching that
existed in the more than 880,000 Play Yards in commerce at the time.
11. Kolcraft waited until January 15, 2009, however, to report to
the CPSC regarding the Play Yards.
12. On July 8, 2009, Kolcraft, in cooperation with the CPSC,
announced a recall of the Play Yards.
13. Well before January 15, 2009, Kolcraft had obtained sufficient
information to reasonably support the conclusion that the Play Yards
contained a defect that could create a substantial product hazard, or
created an unreasonable risk of serious injury or death; yet, Kolcraft
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 risk involving the Play Yards, Kolcraft 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).
14. Pursuant to section 20 of the CPSA, 15 U.S.C. 2069, Kolcraft 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 Kolcraft
15. The Firm denies staff's allegations that it knew that the
Subject Products contained a defect which could create a substantial
product hazard pursuant to section 15(a) of the CPSA, 15 U.S.C.
2064(a), and further 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
16. Under the CPSA, the Commission has jurisdiction over this
matter and over Kolcraft.
17. The parties enter this Agreement for settlement purposes only.
The Agreement does not constitute an admission by Kolcraft or a
determination by the Commission that Kolcraft knowingly violated the
CPSA.
18. In settlement of staff's allegations, Kolcraft shall pay a
civil penalty in the amount of four hundred thousand dollars
($400,000.00) (Settlement Amount). The civil penalty shall be paid
within twenty (20) calendar days of service of the Commission's final
Order accepting the Agreement. The payment shall be made to the CPSC
via: www.pay.gov.
19. 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).
20. Upon the Commission's final acceptance of the Agreement and
issuance of the Order, Kolcraft 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 Kolcraft 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.
21. Kolcraft shall maintain and enforce a system of internal
controls and procedures designed to ensure that: (i) Information
required to be disclosed by Kolcraft to the Commission is recorded,
processed and reported in accordance with applicable law; (ii) all
reporting made to the Commission is timely, truthful, complete and
accurate; and (iii) prompt disclosure is made to Kolcraft's management
of any significant deficiencies or material weaknesses in the design or
operation of such internal controls that are reasonably likely to
adversely affect in any material respect Kolcraft's ability to record,
process and report to the Commission in accordance with applicable law.
22. Upon request of Staff, Kolcraft shall provide written
documentation of such improvements, processes, and controls, including,
but not limited to, the effective dates of such improvements,
processes, and controls. Kolcraft shall cooperate fully and truthfully
with Staff and shall make available all information, materials, and
[[Page 14082]]
personnel deemed necessary by Staff to evaluate Kolcraft's compliance
with the terms of the Agreement.
23. Kolcraft shall implement and maintain a compliance program
designed to ensure compliance with the safety statutes and regulations
enforced by the CPSC that, at a minimum, contains the following
elements (i) written standards and policies; (ii) a mechanism for
confidential employee reporting of compliance-related questions or
concerns to either a compliance officer or to another senior manager
with authority to act as necessary; (iii) effective communication of
company compliance-related policies and procedures to all employees
through training programs or otherwise; (iv) senior manager
responsibility for compliance; (v) board oversight of compliance (if
applicable); and (vi) retention of all compliance-related records for
at least five (5) years and availability of such records to CPSC upon
request.
24. The Commission may publicize the terms of the Agreement and the
final Order.
25. The Agreement and the final Order shall apply to, and be
binding upon, Kolcraft, and each of its successors and/or assigns.
26. The Commission issues the final Order under the provisions of
the CPSA, and a violation of the final Order may subject Kolcraft, and
each of its successors and/or assigns, to appropriate legal action.
27. The Agreement may be used in interpreting the final 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 final 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.
28. If any provision of the Agreement or the final Order is held to
be illegal, invalid, or unenforceable under present or future laws
effective during the terms of the Agreement and the final Order, such
provision shall be fully severable. The balance of the Agreement and
the final Order shall remain in full force and effect, unless the
Commission and Kolcraft agree that severing the provision materially
affects the purpose of the Agreement and final Order.
29. This Agreement may be signed in counterparts.
Dated: February 25, 2013.
Kolcraft Enterprises, Inc.
By:--------------------------------------------------------------------
Thomas Koltun,
President, Kolcraft Enterprises, Inc.
Dated: February 26, 2013.
By:--------------------------------------------------------------------
Erika Z. Jones, Esq.,
Counsel to Kolcraft Enterprises, Inc., Mayer Brown LLP, Washington,
DC
U.S. Consumer Product Safety Commission Staff
Stephanie Tsacoumis,
General Counsel.
Mary B. Murphy,
Assistant General Counsel, Divisions of Compliance and Import
Surveillance.
Dated: February 27, 2013.
By:--------------------------------------------------------------------
Richa Shyam Dasgupta,
Trial Attorney, Division of Compliance, Office of the General
Counsel.
Order
Upon consideration of the Agreement entered into between Kolcraft
Enterprises, Inc. (``Kolcraft''), and U.S. Consumer Product Safety
Commission (Commission) staff, and the Commission having jurisdiction
over the subject matter and over Kolcraft, and it appearing that the
Agreement and the Order are in the public interest, it is
Ordered that the Agreement be, and hereby, is accepted; and it is
Further ordered, that Kolcraft shall pay a civil penalty in the
total amount of four hundred thousand dollars ($400,000.00), paid
within twenty (20) days of service of the Commission's Order upon
counsel for Kolcraft. The payments shall be made electronically to the
CPSC via: www.pay.gov. Upon the failure of Kolcraft to make the
foregoing payment when due, interest on the unpaid amount shall accrue
and be paid by Kolcraft at the federal legal rate of interest set forth
at 28 U.S.C. 1961(a) and (b). If Kolcraft fails to make such payment or
to comply in full with any other provision as set forth in the
Agreement, such conduct will be considered a violation of this
Agreement and Order.
Provisionally accepted and provisional Order issued on the 27th
day of February 2013.
By order of the Commission.
Todd A. Stevenson,
Secretary, U.S. Consumer Product Safety Commission.
[FR Doc. 2013-04909 Filed 3-1-13; 8:45 am]
BILLING CODE 6355-01-P
