Spectrum Brands has been ordered to pay $1.9 million in civil penalties related to defective carafes sold with Black + Decker SpaceMaker coffeemakers.
According to the U.S. Department of Justice, the penalties stem from the company failing to timely report the defective carafes and for continuing to distribute the carafes following a recall.
The penalty, imposed by U.S. District Judge William Conley, follows a 2016 court ruling that Spectrum and its former subsidiary, Applica Consumer Products Inc., violated the Consumer Product Safety Act by waiting years to inform the Consumer Product Safety Commission (CPSC) of customer reports about handles that suddenly broke or separated from carafes of hot coffee.
The court noted that between 2008 and 2012, Spectrum received approximately 1,600 reports of broken SpaceMaker carafe handles, with about 66 consumers referencing burns from spilled coffee, and three others referencing cuts from broken carafe glass. The court noted that one consumer reported to the company in 2009 that she sought medical attention after hot coffee burned her stomach.
In addition to the $1.9 million in civil penalties, the court entered a permanent injunction against the company. The court ordered Spectrum to maintain systems and internal controls to ensure future compliance with the Consumer Product Safety Act. The court further ordered Spectrum to provide copies of its rulings to officers and managers at the company. Under the terms of the injunction, Spectrum must report back to the court in six months to verify the company has made improvements to avoid repeating the CPSA violations.
