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Statement of Chair Alexander Hoehn-Saric on $9M Settlement Agreement with BJ’s Wholesale Club

September 29, 2023

I voted with my fellow Commissioners to approve a proposed civil penalty settlement with BJ’s
Wholesale Club (BJs) for allegedly violating the Consumer Product Safety Act (CPSA). If finally
adopted, this settlement would require BJ’s to pay a fine of $9 million and take other remedial
actions designed to protect consumers in the future.

Section 15(b) of the CPSA requires a retailer that obtains information which reasonably
supports the conclusion that its product contains a defect that could create a substantial
product hazard or unreasonable risk of serious injury or death to immediately inform the
Commission about that risk. In this case, BJ’s did not report to the Commission when they
learned of a death from the product in 2017. BJ’s did not report even when it notified its own
customers to stop using the product due to safety concerns. Our action sends a loud and clear
warning to companies who continue to sell dangerous products despite knowing that they can
cause serious injury or death.

In Fiscal Year 2022, the Consumer Product Safety Commission (CPSC) assessed $32 million in
civil penalty payments to the U.S. Treasury. For Fiscal Year 2023, CPSC’s final assessments
surpassed that number, totaling more than $52 million. This is no small feat. These penalties,
like today’s settlement announcement, demonstrate CPSC’s commitment to hold companies
accountable when they put the public at risk and consumers should look forward to a safer
marketplace for all. I thank CPSC’s staff for their hard work, diligence, and commitment to
improving public safety.

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