60 Day Notice 2025-00707

3.1 Terramar agrees, promises, and represents that after the Effective Date Terramar shall either not “Distribute into the State of California," directly sell in California, or manufacture for sale in California the Covered Product in a formulation that exceeds an exposure of 0.5 micrograms of Lead based on a single serving per day, or provide a Proposition 65 compliant warning for such products sold in California if they exceed these levels as set forth in the following paragraphs. For purposes of assessing compliance with this reformulation level, the exposure shall be calculated by multiplying the recommended serving size of the Covered Products by the concentration of Lead in the Covered Products. As used in this Settlement Agreement, the term "Distributing into the State of California" shall mean to directly ship the Covered Products into California for sale in California or to sell the Covered Products to a distributor that TerraMar Imports knows or has reason to know will sell the Covered Products in California. 3.2 For any Covered Products that exceed the levels of the Listed Chemicals set forth above that are manufactured for distribution and/or sale into California after the Effective Date, Terramar must provide a Proposition 65 compliant warning for the Covered Products as set forth in Proposition 65 and its implementing regulations and/or asset forth below. The warning shall be consistent with Title 27 California Code of Regulations, § 25607.2. The warning shall be provided for cancer and birth defects, or other reproductive harm. Any warning provided pursuant to this section shall be affixed to the packaging of, or directly on, the Covered Products, and be prominently placed with such conspicuousness as compared with other words, statements, designs, or devices as to render it reasonably likely to be read and understood by an ordinary individual under customary conditions before purchase or use. The warning must be set off from other surrounding information and enclosed in a box. Where the packaging of the Covered Product includes “consumer information” as defined by California Code of Regulations title 27 §25600.1(c) in a language other than English, the warning must also be provided in that language in addition to English. Should Terramar sell or distribute any Covered Products through the internet, the warning will be posted in the manner provided for with respect to internet sales, as provided for in 27 CCR sections 25601 and 25602, as they may be subsequently amended, for sales to consumers in California. Parties agree that it shall not be a violation of the settlement agreement for Terramar to provide a clear and reasonable warning otherwise acceptable under Prop 65. The Parties agree that the use of the following warning language shall constitute compliance with Proposition 65 with respect to alleged Listed Chemicals in the Covered Products manufactured and placed into the steam of commerce by Terramar after the Effective Date: [California Prop. 65] WARNING: Consuming this product can expose you to chemicals including Lead, which are known to the State of California to cause cancer and birth defects or other reproductive harm. For more information go to www.P65Wamings.ca.gov/food. 3.2 In the event that the Office of Environmental Health Hazard Assessment promulgates one or more regulations requiring or permitting warning text and/or methods of transmission different than those set forth above, TerraMar Imports shall be entitled to use, at its discretion, such other warning text and/or method of transmission without being deemed in breach of this Settlement Agreement. The requirements of Section 3 shall not apply to Covered Products that are already in the stream of commerce as of the Effective Date, which Product is expressly subject to the releases provided in Section 2.