Settlement Date:
10/03/2024
Case Name:
Consumer Advocacy Group, Inc. v. Walmart, Inc., et al
Court Name:
Los Angeles County Superior Court
Plaintiff:
Consumer Advocacy Group, Inc.
Injunctive Relief:
3.1 After the Effective Date, Defendants shall not sell in California, offer for sale in California, or ship for sale in California any Covered Products unless the level of Lead and the level of Cadmium do not exceed the levels (“reformulation level(s)”) specified below unless Proposition 65 compliant warnings are displayed as set forth in the following paragraphs. 3.1.1 Lead: an exposure of no more than 0.5 micrograms of Lead based on a single serving per day. 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. 3.1.2 Cadmium: an exposure of no more than 4.1 micrograms of Cadmium based on a single serving per day. 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 Cadmium in the Covered Products. 3.2 For any Covered Products that exceeds their respective reformulation levels of Listed Chemicals that are manufactured for distribution and/or sale into California after the Effective Date, Defendants must provide a Proposition 65 compliant warning for the Covered Products as permitted by Proposition 65 and its implementing regulations or as set forth below. This obligation shall not apply for any Covered Products for which labels were ordered or placed prior to the Effective Date. For determination of the reformulation level, the detections shall not be averaged. 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 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, enclosed in a box. Where the packaging of the Covered Product or a sign referring to 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 Defendant sell or distribute any Covered Product 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. The Parties agree that the following warning language shall constitute compliance with Proposition 65 with respect to the alleged Lead and Cadmium in the Covered Products placed into the steam of commerce by Defendant after the Effective Date: For Covered Products that contain Lead: WARNING: Consuming this product can expose you to Lead, a chemical known to the State of California to cause cancer and birth defects or other reproductive harm. For more information go to www.P65Warnings.ca.gov/food.
For Covered Products that contain Cadmium: WARNING: Consuming this product can expose you to Cadmium, a chemical known to the State of California to cause cancer and birth defects or other reproductive harm. For more information go to www.P65Warnings.ca.gov/food 3.3 For any Covered Products still existing in the Defendants’ physical custody as of the Effective Date, Defendants shall place a Proposition 65 compliant warning on them, unless the Covered Products do not exceed the reformulation level. Any warning provided pursuant to this section shall comply with the warning requirements under Section 3.2 above. 3.4 Changes in the law and regulations applicable to Proposition 65, including changes resulting from federal and/or state court rulings, occurring after this date may be incorporated into the terms of this Consent Judgment, pursuant to the modification provisions set forth in Section 7.
*Non-Contingent Civil Penalty:
$ 11,440.00
Attorney(s) Fees and Costs:
$ 160,000.00
Payment in Lieu of Penalty:
$ 8,560.00 (Defendant Kreassive LLC shall make a separate payment, in the amount of eight thousand five hundred and sixty dollars ($8,560.00) as an additional settlement payment to “Consumer Advocacy Group, Inc.” pursuant to Health & Safety Code § 25249.7(b) and California Code of Regulations, Title 11 § 3203(d). Defendant Kreassive LLC will issue a separate check to CAG for the Additional Settlement Payment. CAG will use this payment as follows, eighty percent (80%) for fees of investigation, purchasing and testing for Proposition 65 listed chemicals in various products, and for expert fees for evaluating exposures through various mediums, including but not limited to consumer product, occupational, and environmental exposures to Proposition 65 listed chemicals, and the cost of hiring consulting and retaining experts who assist with the extensive scientific analysis necessary for those files in litigation and to offset the costs of future litigation enforcing Proposition 65 but excluding attorney fees; twenty percent (20%) for administrative costs incurred during investigation and litigation to reduce the public’s exposure to Proposition 65 listed chemicals by notifying those persons and/or entities believed to be responsible for such exposures and attempting to persuade those persons and/or entities to reformulate their products or the source of exposure to completely eliminate or lower the level of Proposition 65 listed chemicals including but not limited to costs of documentation and tracking of products investigated, storage of products, website enhancement and maintenance, computer and software maintenance, investigative equipment, CAG’s member’s time for work done on investigations, office supplies, mailing supplies and postage. Within 30 days of a request from the Attorney General, CAG shall provide to the Attorney General copies of documentation demonstrating how the above funds have been spent. CAG shall be solely responsible for ensuring the proper expenditure of such additional settlement payment)
Total Payments:
$ 180,000.00
Will settlement be submitted to court?
Contact Organization:
Yeroushalmi & Yeroushalmi Law Firm
City, State, Zip:
Beverly Hills, CA 90212
Phone Number:
(310) 623-1926
