US Agency Holds Amazon Accountable for Hazardous Third-Party Products

Editorial TeamEditorial Team
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August 5th, 2024
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12:41 PM

Amazon has been deemed responsible for the sale of hazardous third-party products on its platform by a U.S. government agency. The Consumer Product Safety Commission (CPSC) has mandated the e-commerce giant to propose measures to inform consumers and facilitate the return or destruction of these products.

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The CPSC's directive encompasses over 400,000 items, including defective carbon monoxide detectors, hairdryers lacking electrocution protection, and children's sleepwear that fails to meet flammability standards.

The agency stated on Tuesday, "Amazon failed to notify the public about these hazardous products and did not take adequate steps to encourage its customers to return or destroy them, thereby leaving consumers at substantial risk of injury." The CPSC identified Amazon as a "distributor" of these defective products, noting that the company stores and dispatches them. In response, Amazon has announced its intention to appeal the order and present its case in court.

In a related development, the U.S. Food and Drug Administration (FDA) issued a warning letter to Amazon last week concerning its distribution of potent chemical peel products that violate the Federal Food, Drug, and Cosmetic Act. The FDA highlighted that these products pose significant public health risks, including skin burns, wounds, swelling, and scarring. A similar notice was issued to Walmart (WMT.N), although the retailer has not responded to requests for comment. Amazon has also refrained from commenting on this issue. The CPSC had previously sued Amazon in July 2021, compelling the company to recall hundreds of thousands of hazardous products sold on its platform. Amazon responded by removing the "vast majority" of such items from its store and refunding customers. However, the company maintains that it merely provides logistics services to independent merchants and does not serve as a distributor. In a recent warning, the agency cautioned consumers against using toy magnets from the Chinese seller Doraemon, which were available on Amazon.com, following reports of seven deaths from ingestion.