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Is It Your Best Effort?

When you have a recall, you had better be able to document that…

12/4/2017 | Jeff Jacobs, The Brand Protector

If we’ve spoken at all about recalls, then you know my theory on needing one is that it’s “not if, but when.” Product safety is NEVER an issue of being 100 percent safe—there is no such thing in the manufacture of promotional products. You can’t stop someone from parking a scrap cart that blocks a fire escape for hundreds of workers in a factory halfway around the world. But you can do a risk assessment on literally every item you discuss with your clients. How much risk to their brand is your client willing to tolerate? Have you done everything you can with your supplier to mitigate the remaining risk? There are categories of product, like those that are appealing to children, that come with more inherent risk than others. The sure way to avoid that risk is to not source from categories with the highest risks. But that’s not a reality in today’s competitive market. So, as a trusted vendor partner, you need to make your best efforts to deliver safe products to your clients, and document those efforts every step of the way. You never know when you might end up in court, or the target of a lawsuit.

Probably the highest profile discussion of what constitutes a “best effort” is underway right now. Last month, Ikea relaunched a recall of more than 17 million chests and dressers after the death of an eighth child from a tip-over accident. CEO Lars Petersson said Ikea wants to increase awareness of the recall campaign for several types of chest and dressers that can fall over if not properly anchored. The death of a child in California in May, found trapped underneath an Ikea Malm brand dresser, has raised questions about whether Ikea has effectively spread the word about the recall. That recall, which is still the largest ever, was first announced in June 2016. You most likely will never have to deal with a recall this large, or this deadly, but you can see how important it is to put your best safety effort forward from the beginning, and document it. IKEA and the Consumer Product Safety Commission have been asking customers since last June to take immediate action to either secure the dressers, or to return them.

Petersson said Ikea has had an "extensive communication" campaign through social media, its website and television and print ads. The company emailed 13 million people about the recall two months ago and is offering full refunds for anyone who no longer wants the chest and dressers manufactured between January 2002 and June 2016. Those with recalled furniture made prior to 2002 are eligible to receive a partial store credit. Customers can bring the furniture to a store, or Ikea will pick it up. Although some sentiment on the Ikea efforts post-2016 recall reflect that the brand might not have done all it could, as quickly as it could, there is no doubt that is much that goes into a full on recall effort and much onus on a brand to get the word out.

Let’s think about you, and your clients, and how a recall might impact them. Even with all of the effort, expense, and documentation, in the event of a recall, it is entirely likely you or your clients, or both of you, could find that there are attorneys waiting in the wings for you as well. Alan Feldman, one of the lawyers representing the family of the toddler who died in California, said Ikea's recall has been ineffective and the recent announcement will not change that. Rather than distributing wall-mounting kits to people, Feldman said Ikea needs to get "these dangerous dressers out of kids' bedrooms." According to Feldman, the family never received any additional information about the dresser from Ikea, even though they bought it directly from the retailer. The family also registered their email and home address after the purchase, so as to join a customer loyalty program. "It sounded to me like the same lame, ineffective recall that we've had since the children were killed," Feldman said. He and his team of lawyers represented the families of three other children who died when Ikea dressers fell on them. Ikea reached a $50 million settlement with those families last December.

You could see how IKEA might think they have done all they can. After all, there is significant documentation of the effort and expense since June of 2016 to get both the word, and unsafe dressers, out. Of course, no settlement can bring back eight children killed in horrible accidents, but still the drumbeat of legal rhetoric will continue on. While you probably won’t face this kind of extreme media focus and market pressure on your sourced products, the attention to detail and documentation of safety efforts is a good business practice—all day, every day. Because your need to undertake a recall is truly a matter of when, not if.

Jeff Jacobs has been an expert in building brands and brand stewardship for 40 years, working in commercial television, Hollywood film and home video, publishing, and promotional brand merchandise. He’s a staunch advocate of consumer product safety and has a deep passion and belief regarding the issues surrounding compliance and corporate social responsibility. He retired as executive director of Quality Certification Alliance, the only non-profit dedicated to helping suppliers provide safe and compliant promotional products. Before that, he was director of brand merchandise for Michelin. You can find him still advising Global 500 Brands on promo product initiatives, working as a volunteer Guardian ad Litem, traveling the world with his lovely wife, or enjoying a cigar at his favorite local cigar shop. Follow Jeff on Twitter, or reach out to him at jacobs.jeffreyp@gmail.com.

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