17640 Federal Register / Vol. 74, No. 72 / Thursday, April 16, 2009 / Notices 

FOR FURTHER INFORMATION CONTACT: 

Linda Glatz, Division of Policy and 

Planning, Office of Information 

Technology and Technology Services, 

Consumer Product Safety Commission, 

4330 East West Highway, Bethesda, MD 

20814; telephone: (301) 504–7671 or by 

e-mail to lglatz@cpsc.gov. 

SUPPLEMENTARY INFORMATION: In the 

Federal Register of March 11, 2009, 74 

FR 10475, the agency announced that 

the proposed information collection had 

been submitted to OMB for review and 

clearance under 44 U.S.C. 3507. An 

agency may not conduct or sponsor, and 

a person is not required to respond to, 

a collection of information unless it 

displays a currently valid OMB control 

number. OMB has now approved the 

information collection and has assigned 

OMB control number 3041–0138. The 

approval expires on March 31, 2012. A 

copy of the supporting statement for this 

information collection is available on 

the Internet at http://www.reginfo.gov/ 

public/do/PRAMain. 

Dated: April 10, 2009. 

Todd A. Stevenson, 

Secretary, Consumer Product Safety 

Commission. 

[FR Doc. E9–8721 Filed 4–15–09; 8:45 am] 

BILLING CODE 6355–01–P 

CONSUMER PRODUCT SAFETY 

COMMISSION 

[CPSC Docket No. 09–C0014] 

Kidz World, Inc., d/b/a High Energy 

USA, Provisional Acceptance of a 

Settlement Agreement and Order 

AGENCY: Consumer Product Safety 

Commission. 

ACTION: Notice. 

SUMMARY: It is the policy of the 

Commission to publish settlements 

which it provisionally accepts under the 

Consumer Product Safety Act in the 

Federal Register in accordance with the 

terms of 16 CFR 1118.20(e). Published 

below is a provisionally-accepted 

Settlement Agreement with Kidz World, 

Inc., d/b/a High Energy USA, containing 

a civil penalty of $25,000.00. 

DATES: Any interested person may ask 

the Commission not to accept this 

agreement or otherwise comment on its 

contents by filing a written request with 

the Office of the Secretary by May 1, 

2009. 

ADDRESSES: Persons wishing to 

comment on this Settlement Agreement 

should send written comments to the 

Comment 09–C0014, Office of the 

Secretary, Consumer Product Safety 

Commission, 4330 East West Highway, 

Room 502, Bethesda, Maryland 20814– 

4408. 

FOR FURTHER INFORMATION CONTACT: 

Dennis C. Kacoyanis, Trial Attorney, 

Division of Compliance, Office of the 

General Counsel, Consumer Product 

Safety Commission, 4330 East West 

Highway, Bethesda, Maryland 20814– 

4408; telephone (301) 504–7587. 

SUPPLEMENTARY INFORMATION: The text of 

the Agreement and Order appears 

below. 

Dated: April 9, 2009. 

Todd A. Stevenson, 

Secretary. 

Settlement Agreement 

1. In accordance with 16 CFR 1118.20, 

Kidz World, Inc., d/b/a High Energy 

USA (‘‘Kidz World’’) and the staff 

(‘‘Staff’’) of the United States Consumer 

Product Safety Commission 

(‘‘Commission’’) enter into this 

Settlement Agreement (‘‘Agreement’’). 

The Agreement and the incorporated 

attached Order (‘‘Order’’) settle the 

Staff’s allegations set forth below. 

Parties 

2. The Commission is an independent 

federal regulatory agency established 

pursuant to, and responsible for the 

enforcement of the Consumer Product 

Safety Act, 15 U.S.C. 2051–2089 

(‘‘CPSA’’). 

3. Kidz World is a corporation 

organized and existing under the laws of 

the State of New York, with its principal 

offices located in New York, NY. Kidz 

World is an importer of apparel. 

Staff Allegations 

4. From September 2007 to October 

2007, Kidz World imported and/or sold 

to U.S. retailers about 5,000 boy’s 

hooded sweatshirts with drawstrings 

(‘‘Drawstring Sweatshirts’’). 

5. The Drawstring Sweatshirts are 

‘‘consumer product[s],’’ and, at all times 

relevant hereto, Kidz World was a 

‘‘manufacturer’’ of those consumer 

products, which were ‘‘distributed in 

commerce,’’ as those terms are defined 

in CPSA sections 3(a), (5), (8), and (11), 

15 U.S.C. 2052(a), (5), (8), and (11). 

6. In February 1996, the Staff issued 

the Guidelines for Drawstrings on 

Children’s Upper Outerwear 

(‘‘Guidelines’’) to help prevent children 

from strangling or entangling on neck 

and waist drawstrings. The Guidelines 

state that drawstrings can cause, and 

have caused, injuries and deaths when 

they catch on items such as playground 

equipment, bus doors, or cribs. In the 

Guidelines, the Staff recommends that 

there be no hood and neck drawstrings 

in children’s upper outerwear sized 2T 

to 12. 

7. In June 1997, ASTM adopted a 

voluntary standard, ASTM F1816–97, 

that incorporated the Guidelines. The 

Guidelines state that firms should be 

aware of the hazards and should be sure 

garments they sell conform to the 

voluntary standard. 

8. On May 19, 2006, the Commission 

posted on its Web site a letter from the 

Commission’s Director of the Office of 

Compliance to manufacturers, 

importers, and retailers of children’s 

upper outerwear. The letter urges them 

to make certain that all children’s upper 

outerwear sold in the United States 

complies with ASTM F1816–97. The 

letter states that the Staff considers 

children’s upper outerwear with 

drawstrings at the hood or neck area to 

be defective and to present a substantial 

risk of injury to young children under 

Federal Hazardous Substances Act 

(‘‘FHSA’’) section 15(c), 15 U.S.C. 

1274(c). The letter also notes the CPSA’s 

section 15(b) reporting requirements. 

9. Kidz World reported to the 

Commission there had been no 

incidents or injuries involving 

Drawstring Sweatshirts. 

10. Kidz World’s importation and 

distribution in commerce of the 

Drawstring Sweatshirts did not meet the 

Guidelines or ASTM F1816–97, failed to 

comport with the Staff’s May 2006 

defect notice, and posed a strangulation 

hazard to children. 

11. On March 28, 2008, the 

Commission and Kidz World 

announced a recall of the Drawstring 

Sweatshirts. The recall informed 

consumers that they should 

immediately remove the drawstrings to 

eliminate the hazard. 

12. Kidz World had presumed and 

actual knowledge that the Drawstring 

Sweatshirts distributed in commerce 

posed a strangulation hazard and 

presented a substantial risk of injury to 

children under FHSA section 15(c)(1), 

15 U.S.C. 1274(c)(1). Kidz World had 

obtained information that reasonably 

supported the conclusion that the 

Drawstring Sweatshirts contained a 

defect that could create a substantial 

product hazard or that they created an 

unreasonable risk of serious injury or 

death. CPSA sections 15(b)(3) and (4), 

15 U.S.C. 2064(b)(3) and (4), required 

Kidz World to immediately inform the 

Commission of the defect and risk. 

13. Kidz World knowingly failed to 

immediately inform the Commission 

about the Drawstring Sweatshirts as 

required by CPSA sections 15(b)(3) and 

(4), 15 U.S.C. 2064(b)(3) and (4), and as 

the term ‘‘knowingly’’ is defined in 

CPSA section 20(d), 15 U.S.C. 2069(d). 

mstockstill on PROD1PC66 with NOTICES

Federal Register / Vol. 74, No. 72 / Thursday, April 16, 2009 / Notices 17641 

This failure violated CPSA section 

19(a)(4), 15 U.S.C. 2068(a)(4). Pursuant 

to CPSA section 20, 15 U.S.C. 2069, this 

failure subjected Kidz World to civil 

penalties. 

Kidz World Response 

14. Kidz World denies the Staff’s 

allegations that Kidz World violated the 

CPSA. 

Agreement of the Parties 

15. Under the CPSA, the Commission 

has jurisdiction over this matter and 

over Kidz World. 

16. The parties enter into the 

Agreement for settlement purposes only. 

The Agreement does not constitute an 

admission by Kidz World, or a 

determination by the Commission, that 

Kidz World has knowingly violated the 

CPSA. 

17. In settlement of the Staff’s 

allegations, Kidz World shall pay a civil 

penalty in the amount of twenty-five 

thousand dollars ($25,000.00) in three 

(3) installments as follows: The first 

installment payment of $8,334.00 shall 

be paid within twenty (20) calendar 

days of service of the Commission’s 

final Order accepting the Agreement; 

the second installment payment of 

$8,333.00 shall be paid within one (1) 

year of service of the Commission’s final 

Order accepting the Agreement; and the 

third installment of $8,333.00 shall be 

paid within two (2) years of service of 

the Commission’s final Order accepting 

the Agreement. Each installment 

payment shall be by check payable to 

the order of the United States Treasury. 

18. Upon provisional acceptance of 

the Agreement, the Agreement shall be 

placed on the public record and 

published in the Federal Register in 

accordance with the procedures set 

forth in 16 CFR 1118.20(e). In 

accordance with 16 CFR 1118.20(f), if 

the Commission does not receive any 

written request not to accept the 

Agreement within fifteen (15) calendar 

days, the Agreement shall be deemed 

finally accepted on the sixteenth (16th) 

calendar day after the date it is 

published in the Federal Register. 

19. Upon the Commission’s final 

acceptance of the Agreement and 

issuance of the final Order, Kidz World 

knowingly, voluntarily, and completely 

waives any rights it may have regarding 

the Staff’s allegations to the following: 

(1) An administrative or judicial 

hearing; (2) judicial review or other 

challenge or contest of the validity of 

the Order or of the Commission’s 

actions; (3) a determination by the 

Commission of whether Kidz World 

failed to comply with the CPSA and its 

underlying regulations; (4) a statement 

of findings of fact and conclusions of 

law; and (5) any claims under the Equal 

Access to Justice Act. 

20. The Commission may publicize 

the terms of the Agreement and the 

Order. 

21. The Agreement and the Order 

shall apply to, and be binding upon, 

Kidz World and each of its successors 

and assigns. 

22. The Commission issues the Order 

under the provisions of the CPSA, and 

violation of the Order may subject Kidz 

World to appropriate legal action. 

23. The Agreement may be used in 

interpreting the Order. Understandings, 

agreements, representations, or 

interpretations apart from those 

contained in the Agreement and the 

Order may not be used to vary or 

contradict their terms. The Agreement 

shall not be waived, amended, 

modified, or otherwise altered without 

written agreement thereto executed by 

the party against whom such waiver, 

amendment, modification, or alteration 

is sought to be enforced. 

24. If any provision of the Agreement 

and the Order is held to be illegal, 

invalid, or unenforceable under present 

or future laws effective during the terms 

of the Agreement and the Order, such 

provision shall be fully severable. The 

balance of the Agreement and the Order 

shall remain in full force and effect, 

unless the Commission and Kidz World 

agree that severing the provision 

materially affects the purpose of the 

Agreement and the Order. 

Kidz World, Inc., d/b/a High Energy USA. 

Dated: December 29, 2008. 

By: 

Victor Hara, 

President, Kidz World, Inc., d/b/a High 

Energy USA, Empire State Building, 350 5th 

Avenue, Suite 5005, New York, NY 10118. 

Dated: January 7, 2009. 

By: 

Dennis R. McCoy, 

Esquire, Counsel for Respondent Kidz World, 

Inc., d/b/a High Energy USA, Hiscock & 

Barclay, 1100 M & T Center, 3 Fountain 

Plaza, Buffalo, NY 14203. 

U.S. Consumer Product Safety Commission. 

Cheryl A. Falvey, 

General Counsel. 

Ronald G. Yelenik, 

Assistant General Counsel, Office of the 

General Counsel. 

Dated: January 7, 2009 

By: 

Dennis C. Kacoyanis, 

Trial Attorney, Division of Compliance, 

Office of the General Counsel. 

Order 

Upon consideration of the Settlement 

Agreement entered into between Kidz 

World, Inc., d/b/a High Energy USA 

(‘‘Kidz World’’) and the U.S. Consumer 

Product Safety Commission 

(‘‘Commission’’) staff, and the 

Commission having jurisdiction over 

the subject matter and over Kidz World, 

and it appearing that the Settlement 

Agreement and the Order are in the 

public interest, it is 

Ordered, that the Settlement 

Agreement be, and hereby is, accepted; 

and it is 

Further ordered, Kidz World shall pay 

a civil penalty in the amount of twentyfive thousand dollars ($25,000.00) in 

three (3) installments as follows: The 

first installment payment of $8,334.00 

shall be paid within twenty (20) 

calendar days of service of the 

Commission’s final Order accepting the 

Agreement; the second installment 

payment of $8,333.00 shall be paid 

within one (1) year of service of the 

Commission’s final Order accepting the 

Agreement; and the third installment of 

$8,333.00 shall be paid within two (2) 

years of service of the Commission’s 

final Order accepting the Agreement. 

Each installment payment shall be by 

check payable to the order of the United 

States Treasury. 

Upon the failure of Kidz World to 

make the foregoing payment when due, 

interest on the unpaid amount shall 

accrue and be paid by Kidz World at the 

federal legal rate of interest set forth at 

28 U.S.C. 1961(a) and (b). 

Provisionally accepted and provisional 

Order issued on the 8th April, 2009. 

By Order of the Commission. 

Todd A. Stevenson, 

Secretary, U.S. Consumer Product Safety 

Commission. 

[FR Doc. E9–8688 Filed 4–15–09; 8:45 am] 

BILLING CODE 6355–01–P 

CONSUMER PRODUCT SAFETY 

COMMISSION 

[CPSC Docket No. 09–C0013] 

Coolibar, Inc., Provisional Acceptance 

of a Settlement Agreement and Order 

AGENCY: Consumer Product Safety 

Commission. 

ACTION: Notice. 

SUMMARY: It is the policy of the 

Commission to publish settlements 

which it provisionally accepts under the 

Consumer Product Safety Act in the 

Federal Register in accordance with the 

terms of 16 CFR 1118.20(e). Published 

below is a provisionally accepted 

Settlement Agreement with Coolibar, 

Inc., containing a civil penalty of 

$25,000.00. 

mstockstill on PROD1PC66 with NOTICES