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Retailers and Manufacturers Quickly Adopt Online Network to Address CPSIA Compliance
Date:5/26/2010

Exchange popularity increases as Consumer Product Safety Commission approves methods to assess up to $100,000 per-violation penalties

Alexandria, VA (Vocus) May 26, 2010 -- More than ten major retailers, representing over $150 billion in chain drug sales, have joined the Certificate Exchange Network (CEN) offered by the National Association of Chain Drug Stores (NACDS) and RollStream. The CEN is an online network where retailers and manufacturers can securely post or link to existing product safety certificates to demonstrate compliance with the Consumer Product Safety Improvement Act of 2008 (CPSIA).

The CPSIA of 2008 imposes new document sharing requirements regarding product safety testing certificates on certain consumer products. Products covered under the legislation must have paper or electronic certificates of conformance that indicate the products have been tested, do not exceed specific substance levels, and in some cases have been packaged following U.S. Consumer Product Safety Commission (CPSC) guidelines. These products are wide-ranging, and ultimately will include everything from toys to printer cartridges, bandages, over-the-counter medications and prescription medications.

“The Certificate Exchange Network can mean the difference between knowing where the most up-to-date certificates are located when they are needed, and not,” said Rick Cognetti, Vice President, Retail Merchandising at Kinney Drugs. “So working with Kinney Drug trading partners in the network to avoid governmental fines makes perfect sense.”

On March 16, 2010, the CPSC voted to approve a final rule interpreting factors to be considered when seeking a civil penalty amount for knowing violations of CPSC laws. As a result of the CPSIA, the maximum penalty for each violation of the Consumer Product Safety Act (CPSA), the Federal Hazardous Substances Act (FHSA),
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