Legal Issues for Ebayers and Other Secondhanders

Resale Roundup Targets Sales of Recalled Goods

Sep 1, 2009 Cyndi Allison

The U.S. Consumer Product Safety Commission is working to prevent the sale of recalled products by private individuals, groups, and through online auctions.

The market for secondhand goods is hot during times of economic uncertainty, but the federal government plans to put a damper on the sale of products with listed recalls. The new initiative by the United States Product Safety Commission is called Resale Roundup and applies to private sellers who sell goods at yard or garage sales, online merchants like those at eBay and craigslist, church and other groups who have rummage sales, and companies like Goodwill and the Salvation Army.

It’s the Law – No Recalled Goods Can Be Sold

Selling recalled goods is illegal. The Consumer Product Safety Improvement Act, which bans the sale of dangerous products on the secondhand market, went into effect in February of 2009 under President George W. Bush. The act followed the recall of toys made in China and colored with lead paint the summer prior. Mattel Inc. recalled more than 1.5 million Fisher Price infant toys tainted with the paint; however, such toys continue to show up on the secondhand market.

Some sellers are not aware of the new laws and do not know that recalls can be checked online at CPSC. In fact, a study done a decade ago indicated that 70% of resale shops carried some dangerous recalled products. Ignorance of the law is, of course, not a defense for breaking the law, so sellers are required to be diligent in doing research when selling personal or consignment items.

Which Products are Deemed Dangerous for Resale?

Virtually any product type can land on the recall list, and some should make the list but do not. For example, any infant or toddler car seat involved in an automobile crash should be destroyed. For this reason, it is not a good idea to purchase a car seat secondhand, since it’s impossible to know the history of the item.

Some products are considered more dangerous than others, and the CPSC has compiled a list of the Eleven Most Dangerous Items for 2009 including:

  • Playskool Travel-Lite Play Yards (portable crib) - March 10, 1993
  • Baby Trend Home and Roam (portable crib) - Dec. 19, 1994
  • Evenflo Happy Camper Play Yards (portable crib) - June 25, 1997
  • Baby Express Portable Cribs and Play Yards - Feb. 28, 2001
  • Magnetix Magnetic Building Sets - March 31, 2006
  • Polly Pocket dolls with magnets - Nov. 21, 2006
  • Easy-Bake Ovens - July 19, 2007
  • Simplicity Drop Side Cribs - Sept. 21, 2007
  • Simplicity Bassinets - Aug. 27, 2008
  • Hill Sportswear hooded drawstring sweatshirts - Feb. 12, 2009
  • Evenflo Envision high chairs - April 2, 2009

Items listed above have resulted in the death of infants and children, so the specific models should be destroyed rather than being sold to others who may not be aware of the dangers.

Will the Government Be Beating Down Your Door or Policing Your Yard Sale?

The new initiative to get recalled goods off the market involves an educational program and collaboration with major companies involved in selling secondhand goods. For example, the government is working with eBay to prevent recalled items from being listed and to flag items sold that are dangerous. Buyers can then be notified with information about the product dangers. In addition, CPSC offers an online Handbook for Resale Stores and Product Resellers which is also available in hard copy by calling 800-638-2772.

For private individuals, the burden is on the seller to double check merchandise and to dispose of recalled goods. Consumers should, however, research products before making purchases and should keep track of government recalls. In some cases, an item may hit the secondhand circuit prior to a recall, and some goods will simply slip through the cracks with tragic consequences.

The copyright of the article Legal Issues for Ebayers and Other Secondhanders in Small/Home Business is owned by Cyndi Allison. Permission to republish Legal Issues for Ebayers and Other Secondhanders in print or online must be granted by the author in writing.
Recalled Goods are Illegal to Sell, ladyheart Recalled Goods are Illegal to Sell
Check Items Bought at Flea Markets, Cyndi Allison Check Items Bought at Flea Markets
 
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