Sec. 3. Increased notification about recalls by companies participating in recalls
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Section 15(d)(1) of the Consumer Product Safety Act ( 15 U.S.C. 2064(d)(1) ) is amended— by striking may order and inserting shall order ; by striking any distributor and inserting any distributor, importer, ; and by striking by subsection
(c)and and inserting the following: by subsection (c), and may order the manufacturer or any distributor, importer, or retailer of such product . Section 15(d) of such Act ( 15 U.S.C. 2064(d) ) is further amended— by redesignating paragraph
(3)as paragraph (4); by inserting after paragraph
(2)the following new paragraph: The Commission may not approve an action plan submitted pursuant to paragraph
(2)unless such action plan provides that the person submitting the action plan has performed or will perform the following: Not later than the expiration of the 365-day period starting on the date the Commission approves the action plan, spending on advertising the recall of the product subject to the order, using methods including those determined by the Commission for conducting recalls, an amount equal to the greater of— at least 25 percent of the dollar amount spent by such person in the 12-month period during which such person spent the greatest amount on traditional marketing (not including marketing through the Internet) of the product; plus at least the total dollar amount spent by such person marketing the product through the Internet; or if the product was part of a product bundle, at least 5 percent of the dollar amount spent by such person marketing the subscription service under which the product bundle was sold. Submitting to the Commission such evidence the Commission determines adequate to show that such person has complied with the requirements in subparagraph (A). Posting in a clear and conspicuous manner the notice required by paragraph
(1)on any Internet website maintained by such person until the participation rate in the recall that is the subject of the notice is at least 95 percent. Posting to each social media account maintained by such person the notice required by paragraph (1), or a description of such notice and a link to such notice, at least 5 times each calendar month for the 12 months after the Commission has approved the action plan. ; and by adding at the end the following new paragraph: In this subsection, the term product bundle means a single product comprised of two or more products that is sold to consumers under a subscription service that does not permit the consumer to select every product comprising the single product. . Paragraph
(4)of section 15(d) of such Act ( 15 U.S.C. 2064(d) ) (as redesignated by section 3(b)(1)(A) of this Act) is amended by adding at the end the following new subparagraph: If the Commission revokes its approval of the action plan, the running of the 365-day period in paragraph (3)(A) shall be tolled. If the Commission approves an alternative action plan to the action plan for which approval was revoked, the time period for completing the expenditures as required by paragraph (3)(A) for such alternative action plan shall not exceed the number of days that did not elapse under such 365-day period. . Section 15(f) of such Act ( 15 U.S.C. 2064(f) ) is amended— in paragraph (1)— by striking Any settlement and inserting Subject to paragraph (2), any settlement ; and by striking unless the settlement offer is clearly frivolous or duplicative of offers previously made ; by redesignating paragraph
(2)as paragraph (4); and by inserting after paragraph
(1)the following new paragraphs: A settlement offer described in paragraph
(1)may not be transmitted if such offer— is clearly frivolous; is duplicative of offers previously made; or does not obligate the manufacturer, distributor, importer, or retailer that is a party to such offer to perform the actions in subparagraphs
(A)and
(B)of subsection (k)(1). At the outset of a hearing under this subsection, the Commission shall recommend that a manufacturer, distributor, importer, or retailer that is or becomes a party to a settlement offer perform the actions described in subsection (d)(3)(A). . Section 15 of such Act ( 15 U.S.C. 2064 ) is amended by adding at the end the following new subsection: Any voluntary corrective action taken by a manufacturer, distributor, importer, or retailer in consultation with the Commission relating to a product described in subsection
(b)may be determined by the Commission as a sufficient remedial measure only if, as part of such voluntary corrective action— such manufacturer, distributor, importer, or retailer provides the notice required by subsection (c); and such notice is posted in the manner required by subparagraphs
(C)and
(D)of subsection (d)(3). When a manufacturer, distributor, importer, or retailer informs the Commission that it will take voluntary corrective action in consultation with the Commission, the Commission shall recommend that such manufacturer, distributor, importer, or retailer perform the actions described in subsection (d)(3)(A) as part of the voluntary corrective action. .
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Sec. 3
Increased notification about recalls by companies participating in recalls
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