[Federal Register: January 26, 1999 (Volume 64, Number 16)]
[Notices]
[Page 3932-3933]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr26ja99-65]
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CONSUMER PRODUCT SAFETY COMMISSION
[CPSC Docket No. 99-1]
Cadet Manufacturing Company; Complaint
AGENCY: Consumer Product Safety Commission.
ACTION: Publication of a complaint under the Consumer Product Safety
Act.
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SUMMARY: Under provisions of its Rules of Practice for Adjudicative
Proceeding (16 CFR Part 1025), the Consumer Product Safety Commission
must publish in the Federal Register Complaints which it issues.
Published below is a Complaint in the matter of Cadet Manufacturing
Company.
SUPPLEMENTARY INFORMATION: The text of the Complaint appears below.
Dated: January 21, 1999.
Sadye E. Dunn,
Secretary.
In the Matter of Cadet Manufacturing Company, 2500 W. Fourth
Plain Boulevard, Vancouver, Washington 98660, a Domestic
Corporation.
COMPLAINT
Nature of Proceedings
1. This is an administrative enforcement proceeding pursuant to
section 15 of the Consumer Product Safety Act (``CPSA''), as amended,
15 U.S.C. 2064, for public notification and remedial action to protect
the public from substantial risks of injury presented by certain
electric in-wall heaters manufactured by Cadet Manufacturing Company of
Vancouver, Washington. This proceeding is governed by the Rules of
Practice for Adjudicative Proceedings before the Consumer Product
Safety Commission, 16 CFR Part 1025.
Jurisdiction
2. This proceeding is instituted pursuant to the authority
contained in sections 15(c), (d), and (f) of the CPSA, 15 U.S.C.
2064(c), (d), and (f).
Parties
3. Complaint Counsel is the staff of the Legal Division, Office of
Compliance, Consumer Product Safety Commission, an independent federal
regulatory commission established pursuant to section 4 of the CPSA, 15
U.S.C. 2053.
4. Respondent Cadet Manufacturing Company (``Cadet'') is a domestic
corporation last organized and existing under the laws of the State of
Washington, since 1993, with its principal place of business located at
2500 W. Fourth Plain Boulevard, Vancouver, Washington 98660.
5. Cadet manufactures electric heaters for use in or around a
permanent or temporary household or residence; and is, therefore, a
``manufacturer'' of ``consumer product[s],'' as those terms are defined
in sections 3(a) (1) and (4) of the CPSA, 15 U.S.C. 2052(a) (1) and
(4).
Consumer Products
6. Since 1978, Cadet has manufactured and distributed in commerce
electric in-wall heaters for use in homes and residences under the
brand names ``Cadet'' and ``Encore,'' all models and variants within
each model of the series FW (models FW-051, FW-101, FW-122, FW-202, FW-
202, and FW-751), manufactured between 1978 and 1989; series FX (Models
FX-051, FX-052, FX-071, FX-072, FX-101, FX-102, FX-151, FX-122, FX-152,
FX-202, and FX-242), manufactured between 1984 and 1995; series LX
(models LX-242, LX-242, LX-302, LX-302, LX-402, LX-402, and LX-482),
manufactured between 1984 and 1995; series TK (models TK-051, TK-071,
TK-072, TK-101, TK-102, TK-151, and TK-152), manufactured between 1986
and 1998; series ZA (models ZA-051, ZA-052, ZA-071, ZA-072, ZA-101, ZA-
102, ZA-122, ZA-151, ZA-152, ZA-202, ZA-242, manufactured between 1984
and 1995); first generation series Z (models Z-072, Z-101, Z-102, Z-
152, Z-202, and Z-208), manufactured between 1993 and 1997; and/or all
series and models of the same or functionally identical heaters
[[Page 3933]]
manufactured and distributed by Cadet under the Encore brand
(hereinafter collectively, the ``heaters''). Each of the heaters is,
therefore, a ``consumer product'' ``distributed in commerce'' within
the meaning of sections 3(a)(1) and (11) of the CPSA, 15 U.S.C.
2052(a)(1), and (11), respectively.
7. Each of the heaters consists of a motor-driven fan, a heating
element, and an over-temperature limit control switch (``OTC'') housed
in a metal box that is intended to be installed in a wall or under
cabinets. The heater is connected to the main electric power supply in
the home or residence. When energized with electric current, the fan of
the heater pulls room air over the heating element, and pushes the
heated air back into the room.
Product Defect
8. The heaters within series FW, FX, LX, TK, ZA, and/or the same or
functionally identical Encore brand heaters, are defective because
their design causes the heaters to overheat, fail, and catch fire; and/
or allow lint, dirt, or debris within the heaters to catch fire. The
heater design can also cause the heaters to spew flames and/or burning
or molten particles, or eject sparks into the living space of a home or
residence, or energize the heaters creating a risk of electric shock.
9. The heaters within the series FW, FX, LX, TK, ZA heaters, and/or
same or functionally identical Encore brand heaters, are defective
because they were manufactured or assembled with inadequate or faulty
components, electrical connections, and/or contacts, which cause the
components, electrical connections, and/or contacts to fail, overheat,
and catch fire; and/or allow lint, dirt, or debris within the heaters
to catch fire. These defects can also cause the heaters to spew flames
and/or burning or molten particles, or eject sparks into the living
space of a home or residence.
10. The heaters within the first generation Z series, and/or the
same or functionally identical Encore heaters are defective in design
or manufacture because the heater element can overheat, explode, and
spew molten metal particles into the living space of a home or
residence.
Substantial Product Hazards and Risks of Injury
11. The design defects in the series FW, FX, LX, TK, ZA heaters,
and/or the same or functionally identical Encore brand heaters,
identified in paragraph 8 above are prevalent within those heaters.
12. The manufacturing or assembly defects in the series FW, FX, LX,
TK, ZA heaters, and/or the same or functionally identical Encore brand
heaters, identified in paragraph 9 above are prevalent within those
heaters.
13. The design or manufacturing defects in the first generation
series Z heaters, and/or the same or functionally identical Encore
brand heaters, identified in paragraph 10 above are prevalent within
those heaters.
14. The defects identified and described in paragraphs 8 through 10
above have caused or contributed to serious thermal burns and death,
and are likely to cause serious electric shock injury and death.
15. The staff knows of at least 183 instances of electrical fire or
malfunction involving the heaters: 85 units of series FX; 18 units of
series FW; 2 units of series LX; 49 units of series ZA; 2 units of
series TK; and 27 units of series Z (first generation); including 131
heaters that allegedly smoked, sparked, caught fire, emitted flame,
and/or ejected burning particles or molten metal particles as the
result of the defects identified and described in paragraphs 8 through
10 above. These incidents have resulted in three deaths and two burn
injuries.
16. Between 1978 and 1998, Cadet manufactured approximately
1,800,000 potentially defective heaters that present the hazards and
risks of injury described in paragraphs 14 and 15 above.
17. It is likely that the series FX, FW, LX, TK, first generation
Z, ZA heaters, and/or the same or functionally identical Encore brand
heaters, will continue to fail in the same way and to present the same
hazards and risks of injury as a result of the defects described in
paragraphs 8 through 10 above, if public notice and remedial actions
are not taken to eliminate or reduce the risk of injury presented by
the heaters. Each of the heaters, therefore, presents a ``substantial
product hazard'' within the meaning of sections 15(a)(2) of the CPSA,
15 U.S.C. 2064(a)(2), by reason of the substantial risk of injury or
death alleged in paragraphs 11 through 17 above.
Relief Sought
Complaint Counsel requests the Commission to issue the following
relief.
A. Determine that the heaters present a substantial product hazard
within the meaning of section 15(a)(2), 15 U.S.C. 2064(a)(2).
B. Determine that public notification under section 15(c) of the
CPSA, 15 U.S.C. 2064(c), is required to protect the public adequately
from the risks of injury presented by the heaters.
C. Order Cadet, under section 15(c) of the CPSA, 15 U.S.C. 2064(c),
to give such notice as is reasonably necessary to protect the public.
D. Order Cadet, under section 15(d) of the CPSA, 15 U.S.C. 2064(d),
to cease manufacturing for sale, offering for sale, and distributing in
commerce the defective heaters.
E. Order Cadet under section 15(d) of the CPSA, 15 U.S.C. 2064(d),
to elect one of the following remedial actions:
1. Repair each heater in such a manner that it is free of defect
and works in a proper and safe manner.
2. Replace each heater with a new heater, free of any defect, that
works in a proper and safe manner.
3. Refund the purchase price of each heater, including the costs of
materials, labor, and profit.
F. Order Cadet to submit a corrective action plan satisfactory to
the Commission that requires Cadet to undertake public notice and
remedial actions in accordance with paragraphs C, D, and E above,
pursuant to section 15(d) of the CPSA, 15 U.S.C. 2064(d).
G. Order Cadet for a period of five (5) years after issuance of the
Final Order in this matter, to notify the Commission at least sixty
(60) days prior to any change in its business (such as incorporation,
dissolution, assignment, sale, or petition for bankruptcy) that results
in, or is intended to result in, the emergence of a successor
corporation, going out of business, or any other change that might
affect compliance obligations under a Final Order issued by the
Commission in this matter.
H. Grant such other and further relief as the Commission may deem
necessary.
Issued by Order of the Commission.
Dated: January 14, 1999.
Alan H. Schoem,
Assistant Executive Director, Office of Compliance, Consumer Product
Safety Commission, Washington, DC 20207, Tel: (301) 504-0621, ext.
1349.
Eric L. Stone,
Director, Legal Division, Office of Compliance, Consumer Product Safety
Commission, Washington, DC 20207, Tel: (301) 504-06261, ext. 1350.
Earl A. Gershenow,
Howard N. Tarnoff,
Trial Attorneys, Complaint Counsel, Legal Division, Office of
Compliance, Consumer Product Safety Commission, Washington, DC 20207,
Tel: (301) 504-9626, ext. 1343.
Hand Delivery Address: 4330 East West Highway, Room 613, Bethesda,
Maryland 20814.
[FR Doc. 99-1779 Filed 1-25-99; 8:45 am]
BILLING CODE 6350-01-P