The Reject Shop admits supplying non-compliant toy, cosmetic product

The Reject Shop has given the Australian Competition and Consumer Commission court-enforceable undertakings after selling a children's toy product which exceeded permissible lead levels and a cosmetic product which did not comply with the mandatory product information standard.

"As part of regular marketplace monitoring activities, ACCC staff bought a children's figurines toy, the Knights Playset, supplied by The Reject Shop", ACCC Chairman, Mr Graeme Samuel, said today.  "On testing, it was found that the toys' paint had lead migration levels greater than 90 milligrams per kilogram.

"A consumer protection notice effectively banning children's toys containing accessible materials with a lead migration of more than 90 milligrams per kilogram was introduced on 17 September 2007.  Section 65C of the Trade Practices Act 1974 prohibits a corporation from supplying goods that breach product safety standards and consumer protection notices.

"The toys were sold in Western Australia, Victoria, NSW, Queensland and South Australia.

"The Reject Shop also supplied a product described as Universal Wipes, a moist tissue wipe product in a plastic container.  The product ingredients were not listed on the container, nor available at the point of sale.

"Consumer information standards require that cosmetic ingredients for cosmetic products be listed at the point of sale.  This is usually done by placing a list of ingredients in descending order by mass or volume on the product, or the products packaging.  Section 65D of the Act prohibits a corporation from supplying goods that do not comply with the requirements of a prescribed consumer product information standard.

"After contact from the ACCC, The Reject Shop ceased supply and directed its stores to remove the Knights Playset from sale, and conducted a voluntary recall of the product via a posting on the Product Recalls Australia website, www.recalls.gov.au.

"The Reject Shop also supplied stickers listing the ingredients of the Universal Wipes product for its outlets to place on the product."

The Reject Shop has undertaken to the ACCC that it will:

• ensure that its products comply with the relevant mandatory consumer product safety and information standards
• publish a notice in The Australian newspaper regarding the excess lead in the Knights Playset and offering consumers a full refund, and
•  establish, implement and maintain a trade practices law compliance program for three years, and provide reports about the program to the ACCC.

 "An excessive amount of lead in children's toys is a serious issue that the ACCC will closely monitor," Mr Samuel said today. "In addition, the mandatory consumer information standard for cosmetics ensures consumers are given sufficient information about the ingredients of cosmetics, which is especially important for people with allergies.

"The ACCC will continue to survey and monitor the market closely and enforce the Act where it finds the public is placed at risk through non-compliance with mandatory safety standards and banning orders."