Economy Watch Live Updates on the Financial Crisis | MORE » | Business Home »

Correction to This Article
The article misidentified a company that conducted a May 2007 recall. It was Stateside Powersports, not Stateside Motorsports.

The article incorrectly said that the Consumer Product Safety Commission denied a petition to ban children from riding ATVs. The petition proposed banning the sale of adult ATVs to children.

Page 2 of 2   <      

Stuck in Neutral

Discussion Policy
Comments that include profanity or personal attacks or other inappropriate comments or material will be removed from the site. Additionally, entries that are unsigned or contain "signatures" by someone other than the actual author will be removed. Finally, we will take steps to block users who violate any of our posting standards, terms of use or privacy policies or any other policies governing this site. Please review the full rules governing commentaries and discussions. You are fully responsible for the content that you post.

But Jeff Boudreaux, general manager for SunL, said in an interview this month that the SVIA was wrong in finding that his company's ATV was dangerous. Though the report said it lacked brakes and other features, he said that the vehicle met voluntary standards and that the one tested may not have been assembled properly. Boudreaux also said he would recall the ATV if the agency could prove to him that it failed to meet safety standards. He said he asked a year ago to examine the ATV the CPSC tested and hasn't heard back from the agency.

CPSC spokesman Scott Wolfson declined to discuss in detail the cases of the four imported ATVs citing pending administrative and legal matters. "We are considering our legal options at this time," he said, "and we certainly are paying very close attention to the safety of youth riders on ATVs."

Jason Tsai, president of the Meerkat 50 importer, Kazuma Pacific of Stafford, Tex., said that after the CPSC first told him of problems with the Chinese-made vehicle in December, he ordered changes to the vehicle, which was made for children as young as 6. According to the report commissioned by SVIA, the Meerkat lacked front brakes and adequate suspension, and reached top speeds that exceeded industry-accepted limits for young riders. The voluntary standard for an ATV's maximum speed for children 6 through 12 is 15 mph.

While the new Meerkats were being made in China, Tsai refused to order a recall or stop selling the ATV. He said he knew of no safety problems with the Meerkat after having sold more than 100,000 in the United States since 2000.

Tsai, in an e-mail to The Washington Post, said that because there have been no reported deaths or injuries related to the Meerkat, "how could it be a severe hazardous product?"

When confronted with a firm that does not want to cooperate, the CPSC faces constraints. Under the Consumer Product Safety Act, it cannot release information about products for 30 days without getting comment from the manufacturer. If the manufacturer does not like what the agency intends to disclose, then by law it can take the CPSC to court. In practice, that can translate into delays while every word of a recall news release is negotiated.

By law, businesses can also choose whether to repair or replace a product, or offer a refund, which can result in hazardous products sometimes remaining on the market. Most recently, dangerous cribs remained in homes and stores even after the deaths of three infants. The manufacturer, Simplicity, had three recalls in two years, and in each case, the company chose to offer repair kits or new instructions rather than replace the cribs.

If the agency believes a mandatory recall is in order, it can file an administrative lawsuit or ask the Justice Department to file suit. In the late 1990s, the CPSC used such suits to force recalls of defective heaters, sprinklers and toasters.

The agency could not take Kazuma to court this summer because it did not have enough commissioners to approve a suit. A seat on the three-seat commission has been vacant since Hal Stratton stepped down in July 2006. With two commissioners, there could be no quorum, unless a member is appointed by the president.

The CPSC could do little but issue the June press release warning Meerkat owners their ATV was too dangerous to use.

In August, Congress passed legislation that allowed two members to constitute a quorum for six months. But with its authority to sue restored, the agency has yet to use it, Tsai said.

That has led some consumer advocates to question the will of the politically appointed commissioners to use the enforcement powers they have. The CPSC has not filed an administrative lawsuit to force a recall since Ann Brown, a Clinton appointee, stepped down as chairman in 2001.

"Given the weakness of the agency, for them not to use some of the stronger tools they have is incredibly problematic," said Rachel Weintraub of the Consumer Federation of America. "As consumers what we need is for the regulated industry to know that there's a cop on the beat."

Going to court to force a recall has its costs too, the CPSC's Wolfson said.

"What the agency is concerned about is taking a legal action in a situation where there hasn't been a recall and a child dies while we're in court," he said.

Tsai said he agreed to a recall in September but in an e-mail last week, he appeared to have changed his mind. "I will never agree to do the recall," he said, because agreeing "means I agree with CPSC's [accusation] that Meerkat 50 is a severe hazardous product."


<       2


© 2007 The Washington Post Company