Page:United States Statutes at Large Volume 86.djvu/1263

 86

STAT.]

PUBLIC LAW 92-573-OCT. 27, 1972

1221

NOTIFICATION A N D REPAIR, R E P L A C E M E N T, OR R E F U N D

SEC. 15. (a) For purposes of this section, the term "substantial product hazard" means— (1) a failure to comply with an applicable consumer product safety rule which creates a substantial risk of injury to the public, or (2) a product defect which (because of the pattern of defect, the number of defective products distributed in commerce, the severity of the risk, or otherwise) creates a substantial risk of injury to the public. (b) Every manufacturer of a consumer product distributed in commerce, and every distributor and retailer of such product, who obtains information which reasonably supports the conclusion that such product— (1) fails to comply with an applicable consumer product safety rule; or (2) contains a defect which could create a substantial product hazard described in subsection (a)(2), shall immediately inform the Commission of such failure to comply or of such defect, unless such manufacturer, distributor, or retailer has actual knowledge that the Commission has been adequately informed of such defect or failure to comply. (c) If the Commission determines (after affording interested persons, including consumers and consumer organizations, an opportunity for a hearing in accordance with subsection (f) of this section) that a product distributed in commerce presents a substantial product hazard and that notification is required in order to adequately protect the public from such substantial product hazard, the Commission may order the manufacturer or any distributor or retailer of the product to take any one or more of the following actions: (1) To give public notice of the defect or failure to comply. (2) To mail notice to each person who is a manufacturer, distributor, or retailer of such product. (3) To mail notice to every person to whom the person required to give notice knows such product was delivered or sold. Any such order shall specify the form and content of any notice required to be given under such order. (d) If the Commission determines (after affording interested parties, including consumers and consumer organizations, an opportunity for a hearing in accordance with subsection (f)) that a product distributed in commerce presents a substantial product hazard and that action under this subsection is in the public interest, it may order the manufacturer or any distributor or retailer of such product to take whichever of the following actions the person to whom the order is directed elects: (1) To bring such product into conformity with the requirements of the applicable consumer product safety rule or to repair the defect in such product. (2) To replace such product with a like or equivalent product which complies with the applicable consumer product safety rule or which does not contain the defect. (3) To refund the purchase price of such product (less a reasonable allowance for use, if such product has been in the possession of a consumer for one year or more (A) at the time of public notice under subsection (c), or (B) at the time the consumer receives actual notice of the defect or noncompliance, whichever first occurs).

"Substantial product h a z a r d. "

None omplianc e.

�