Posts Tagged ‘March 19’

Top Dealer To Challenge CPSC Lead Content Rule

March 14, 2009

*****EDITOR’S NOTE: Malcolm Smith has changed the time of his protest to 4 p.m. rather than 6 a.m. to accommodate those who want to attend. From his website kidslove2ride.wordpress.com “Due to numerous requests from Malcolm’s supporters far and wide, we have changed the timing of the event.”


Malcolm Smith To Sell ATVs Next Thursday In Protest

Fines Could Be $100,000 Per Violation

Well, the battle for the right to sell kid’s ATVs and motorcycles continues to heat up, and it could come to a boil next week.

California motorcycle dealer and industry icon Malcolm Smith says he plans to sell kid’s ATVs and motorcycles to consumers next Thursday (6 am PST, March 19, 2009) in protest against a federal law that limits the amount of lead that can be contained in products made for children 12 and younger.

The sales could be expensive. The law calls for fines up to $100,000 per violation and a maximum of $15 million for a series of related violations. Jail time also is called for.

malcolmsmith_2008jpg-copy34And, according to one attorney who is very familiar with the law, there are also criminal penalties of up to five years in jail for a willful violation of the law.

The so called “lead content” provision is part of the Consumer Product Safety Improvement Act (CPSIA) passed last year. The law is enforced by the Consumer Product Safety Commission (CPSC).

The CPSIA and related rules developed by the CPSC ban the sale of ATVs and dirt bikes designed for children, ages 12 and younger. The ban became effective Feb. 10, 2009.

By one estimate developed by the Motorcycle Industry Council (MIC), the ban could cost the powersports industry as much as $1 billion this year.

Dealernews magazine, a leading industry business publication, estimates that the unsold inventory of machines and related parts, accessories and apparel that dealers have pulled off their showrooms and dumped in storage areas totals more than $100 million.

Smith’s planned protest is the latest step in the battle for the right to sell these small machines to youths.

The CPSC last week, in effect, tightened the restriction when it ruled that, under the law as written, products for children can’t contain ANY lead absorption into the human body, nor have ANY adverse impact on public health and safety, a seeming departure from the limit of 600 parts per million specified by the law.

Most machines have accessible components that contain some lead, especially those made with alloys such as aluminum and copper—valve stems, brakes, engine parts, for example.

This tough standard makes it virtually impossible for powersports companies to gain any exceptions, ones that Congressional leaders say are available under the law. Sen. Amy Klobuchar (D-Minn), a leading proponent of the CPSIA, told me that the agency has the authority to grant exceptions for ATVs and motorcycles.

The CPSC claims it can’t do that, and our industry is caught in the middle.

(more…)

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