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<ns0:Id>20250AB__246299INT</ns0:Id>
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<ns0:Action>
<ns0:ActionText>INTRODUCED</ns0:ActionText>
<ns0:ActionDate>2026-02-20</ns0:ActionDate>
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<ns0:SessionYear>2025</ns0:SessionYear>
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<ns0:AuthorText authorType="LEAD_AUTHOR">Introduced by Assembly Member Pellerin</ns0:AuthorText>
<ns0:Authors>
<ns0:Legislator>
<ns0:Contribution>LEAD_AUTHOR</ns0:Contribution>
<ns0:House>ASSEMBLY</ns0:House>
<ns0:Name>Pellerin</ns0:Name>
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<ns0:Title> An act to amend Sections 108042, 108046, and 108050 of the Health and Safety Code, relating to public safety. </ns0:Title>
<ns0:RelatingClause>public safety</ns0:RelatingClause>
<ns0:GeneralSubject>
<ns0:Subject>Unsafe products: disposal: penalties.</ns0:Subject>
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<html:p>Existing law, the Product Recall Safety and Protection Act, provides for the establishment and enforcement of various product safety standards for consumer products, and prohibits a commercial dealer, manufacturer, importer, distributor, wholesaler, or retailer from placing into the stream of commerce a product that is unsafe, knowing that the product is unsafe. For purposes of the act, a manufacturer is any person who makes, and places into the stream of commerce, a product.</html:p>
<html:p>This bill would instead state that a manufacturer is a person who manufactures a product and who owns or is the licensee of the brand or trademark under which the product is sold, as specified.</html:p>
<html:p>Under the act, a manufacturer is required to provide for the safe return or appropriate disposal of an unsafe product at no cost to the end
consumer or retailer in a manner that is in compliance with all applicable federal, state, and local laws, regulations, and ordinances.</html:p>
<html:p>This bill would instead require the safe return or appropriate disposal of the unsafe product to be at no cost to the end consumer, a recycling center, a municipal facility that accepts the product for recycling or disposal, a retailer that sells the product, a permitted solid waste facility, a household hazardous waste collection facility, and a thrift retail store.</html:p>
<html:p>Existing law provides that any violation of the act is subject to a civil penalty of up to $1,000 per occurrence, up to a maximum of $20,000.</html:p>
<html:p>This bill would instead authorize the Department of Resources Recycling and Recovery to administratively impose an administrative penalty on a person in violation of the act of $2,500 per day or $5,000 per day if the violation is intentional or
knowing, as specified. The bill would require the department to establish through regulations a process by which the penalties will be assessed, including an informal hearing, as specified. The bill would create the Product Recall Penalty Account in the State Treasury and would require the department to deposit the penalties collected into the account. The bill would require moneys in the account, upon appropriation by the Legislature, to be available for expenditure by the department for certain purposes. The bill would authorize the department to refer enforcement to the Department of Toxic Substances Control for unsafe products identified as hazardous waste, and would create the Hazardous Product Recall Penalty Account in the State Treasury. The bill would require moneys in the account, upon appropriation by the Legislature, to be available for expenditure by the Department of Toxic Substances Control for certain purposes.</html:p>
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<ns0:Preamble>The people of the State of California do enact as follows:</ns0:Preamble>
<ns0:BillSection id="id_7B9C679E-2248-496C-BBE0-167866B35DB1">
<ns0:Num>SECTION 1.</ns0:Num>
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Section 108042 of the
<ns0:DocName>Health and Safety Code</ns0:DocName>
is amended to read:
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<ns0:Num>108042.</ns0:Num>
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<html:p>As used in this chapter, the following terms have the following meanings:</html:p>
<html:p>
(a)
<html:span class="EnSpace"/>
“Brand” means a trademark, including both a registered trademark and an unregistered trademark, a logo, a name, a symbol, a word, an identifier, or a traceable mark that identifies a product and identifies the owner or licensee of the brand.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
“Commercial dealer”
means any person who deals in products or who otherwise by their occupation holds themself out as having knowledge or skill peculiar to products, or any person who is in the business of remanufacturing, retrofitting, selling, leasing, subletting, or otherwise placing into the stream of commerce a product.
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
“Department” means the Department of Resources Recycling and Recovery or a successor.
</html:p>
<html:p>
(d)
<html:span class="EnSpace"/>
“Distributor” and “wholesaler” means any person, other than a manufacturer or retailer, who sells or resells, or otherwise places into the stream of commerce, a product.
</html:p>
<html:p>
(e)
<html:span class="EnSpace"/>
“End consumer” means a person who purchases a product for any purpose other than resale.
</html:p>
<html:p>
(f)
<html:span class="EnSpace"/>
“First seller” means any retailer selling a product that has not been used or has not previously been owned. A first seller does not include an entity such as a secondhand retail dealer, thrift shop, resale store, or any other establishment or individual, agent, or employee thereof that sells, distributes, rents, or leases products of any kind.
</html:p>
<html:p>
(g)
<html:span class="EnSpace"/>
“Importer” means any person who brings into this country, and places into the stream of commerce, a product.
</html:p>
<html:p>
(h)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
“Manufacturer” means any person who manufactures a product and who owns or is the licensee of the brand or trademark under which that product is sold, offered for sale, or distributed for sale in, or into, the state.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
For purposes of this chapter, the sale of a product shall be deemed to occur in the state if the product is delivered to the purchaser in the state.
</html:p>
<html:p>
(i)
<html:span class="EnSpace"/>
“Person” means a natural person, firm, corporation, limited liability company, or association, or an employee or agent thereof.
</html:p>
<html:p>
(j)
<html:span class="EnSpace"/>
“Product” means any article, or component part thereof, produced or distributed (1) for sale to a consumer for use in or around a permanent or temporary household or residence, a school, in recreation, or otherwise, or (2) for personal use, consumption, or enjoyment of a consumer in or around a permanent or temporary household or residence, a school, in recreation, or otherwise. “Product” does not include food, drugs, cosmetics, pesticides (as defined by the Federal Insecticide, Fungicide, and Rodenticide Act (7 U.S.C. Sec.
136 et seq.)), medical devices, firearms and ammunition, boats, motor vehicles, motor vehicle equipment, aircraft, or tobacco and tobacco products.
</html:p>
<html:p>
(k)
<html:span class="EnSpace"/>
“Recall” means any repair, replacement, or refund program implemented in accordance with the federal Consumer Product Safety Act (15 U.S.C. Sec. 2051 et seq.) upon the determination of commission staff that a consumer product violates a commission statute or regulation, and notification to the product manufacturer, importer, distributor, or retailer that corrective action to address the violation is warranted. “Recall” includes a voluntary recall where a product is returned to the manufacturer for repair or replacement,
usually due to defects or safety concerns, or public notice that a product is defective and must be returned to the manufacturer or retailer.
</html:p>
<html:p>
(l)
<html:span class="EnSpace"/>
“Retailer” means any person other than a manufacturer, distributor, or wholesaler who sells, distributes, sublets, or leases consumer goods of any kind.
</html:p>
<html:p>
(m)
<html:span class="EnSpace"/>
“Thrift retail store” has the same meaning as subdivision (a) of Section 65631 of the Government Code.
</html:p>
<html:p>
(n)
<html:span class="EnSpace"/>
“Sell” or “sale” means a transfer for consideration of title or of the right to use, by lease or sales contract, including, but not limited to, transactions conducted through sales outlets, catalogs, or the internet or any other similar electronic means.
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<ns0:Num>SEC. 2.</ns0:Num>
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Section 108046 of the
<ns0:DocName>Health and Safety Code</ns0:DocName>
is amended to read:
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<html:p>
(a)
<html:span class="EnSpace"/>
A commercial dealer, manufacturer, importer, distributor, or wholesaler that has placed into the stream of commerce any unsafe product for which a recall or warning has subsequently been issued, shall initiate the following steps within 24 hours after issuing or receiving the recall notice or warning:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
Contact all of its customers, other than end consumers, to whom it sold, leased, sublet, or transferred that particular product. The contact shall be made to a person designated for that product by the customer and shall include a copy of the recall notice or warning.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
If the commercial dealer, manufacturer, importer, distributor, or wholesaler maintains an
internet website, the entity shall place prominently on the home page or first point of entry of its internet website a link to recall or warning information that contains the specific recall notice or warning that was issued for the product in question. The recall or warning information shall include a description of the product, the reason for the recall or warning, a picture of the product, and instructions on how to participate in the recall or warning. The information shall include only the product recall or warning information and shall not include sales or marketing
information on that product or any other product, excluding return and exchange policies. The recall or warning information shall permit participation in the recall or warning through the internet website
of the commercial dealer, manufacturer, importer, distributor, or wholesaler.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
The manufacturer of the product shall provide for the safe return of the product to the manufacturer or the appropriate disposal of the product in the manner required pursuant to paragraph (2) at no cost to any of the following:
</html:p>
<html:p>
(A)
<html:span class="EnSpace"/>
The end consumer.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
A recycling center.
</html:p>
<html:p>
(C)
<html:span class="EnSpace"/>
A municipal facility that accepts the product for
recycling or disposal.
</html:p>
<html:p>
(D)
<html:span class="EnSpace"/>
A retailer that sells the product.
</html:p>
<html:p>
(E)
<html:span class="EnSpace"/>
A permitted solid waste facility.
</html:p>
<html:p>
(F)
<html:span class="EnSpace"/>
A household hazardous waste collection facility, as defined in Section 25218.1.
</html:p>
<html:p>
(G)
<html:span class="EnSpace"/>
A thrift retail store.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
The manufacturer shall properly dispose of the product in a manner that is in compliance with all applicable federal, state, and local laws, regulations, and ordinances, and shall not export the product, or permit it to be exported, for disposal in a manner that poses a significant risk to the public health or the environment.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
The manufacturer or retailer may provide
for corrective action or retrofit onsite at the consumer’s home or premises for any product for which a recall or warning has been issued.
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
If a retailer receives notice of a recall or warning regarding a product from a commercial dealer, manufacturer, importer, distributor, wholesaler, or state or federal agency, and if the retailer during the previous 18 months offered the product for sale, then the retailer shall do the following:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
Within three days after receiving the notice or warning by the person designated by the retailer, the retailer shall remove the product from the shelves of its stores or program its registers to ensure that the item cannot be sold.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
If the product was sold through the retailer’s
internet website, then within three days after receiving the notice or warning by the person designated by the retailer, the retailer shall remove the product from the
internet website or remove the ability to purchase the product through the internet website.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
Within three days after receiving the recall notice or warning by the person designated by the retailer, the retailer shall post in paper form or electronically in a prominent location in each retail store the recall notice or warning. The notice or warning shall remain posted for at least 60 days.
</html:p>
<html:p>
(4)
<html:span class="EnSpace"/>
If the product for which a recall or warning was issued was sold on the retailer’s
internet website, the retailer shall, within three days after receiving the recall notice or warning by the person designated by the retailer, post on the home page or first point of entry of its internet website a link to recall or warning information that contains the specific recall notice or warning that was issued for the product in question. The recall or warning information shall include a description of the product, the reason for the recall or warning, a picture of the product, if one was provided, and instructions on how to participate in the recall or warning. The
information shall include only the product recall or warning information and shall not include sales or marketing information on that product or any other product, excluding return and exchange policies.
</html:p>
<html:p>
(5)
<html:span class="EnSpace"/>
A retailer who is not a first seller shall comply with this subdivision, except that the retailer has five days to comply with paragraphs (1) and (2).
</html:p>
<html:p>
(6)
<html:span class="EnSpace"/>
A retailer who is a first seller shall accept any recalled product for the purpose of returning it to the manufacturer or distributor.
</html:p>
<html:p>
(d)
<html:span class="EnSpace"/>
A commercial dealer, manufacturer, importer, wholesaler, or distributor who is also a retailer shall comply with subdivisions (a), (b), and (c), as applicable.
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<ns0:Num>SEC. 3.</ns0:Num>
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Section 108050 of the
<ns0:DocName>Health and Safety Code</ns0:DocName>
is amended to read:
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<ns0:Num>108050.</ns0:Num>
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<html:p>
(a)
<html:span class="EnSpace"/>
An administrative penalty up to the following amounts may be administratively imposed by the department on any person who is in violation of any provision of this chapter:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
Two thousand five hundred dollars ($2,500) per day.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
Five thousand dollars ($5,000) per day if the violation is intentional or knowing.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
In assessing or reviewing the amount of an administrative penalty imposed pursuant to subdivision (a) for a violation of this
chapter, the department or the court shall consider all of the following:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
The nature and extent of the violation.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
The number and severity of the violation or violations.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
The economic effect of the penalty on the violator.
</html:p>
<html:p>
(4)
<html:span class="EnSpace"/>
Whether the violator took good faith measures to comply with this chapter and the period of time over which these measures were taken.
</html:p>
<html:p>
(5)
<html:span class="EnSpace"/>
The willfulness of the violator’s misconduct.
</html:p>
<html:p>
(6)
<html:span class="EnSpace"/>
The deterrent effect that the imposition of the penalty would have on both the violator and the regulated community.
</html:p>
<html:p>
(7)
<html:span class="EnSpace"/>
Any other factor
that justice may require.
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
The department shall establish, through regulations adopted pursuant to Section 42984.2 of the Public Resources Code, a process that shall include an informal hearing process by which the penalties will be assessed.
</html:p>
<html:p>
(d)
<html:span class="EnSpace"/>
The department shall deposit all penalties collected pursuant to this section into the Product Recall Penalty Account, which is hereby created in the State Treasury. Upon appropriation by the Legislature, moneys in the Product Recall Penalty Account shall be available for expenditure by the department on activities related to the collection and recycling of products, grants for related purposes, and the administration and enforcement of this chapter.
</html:p>
<html:p>
(e)
<html:span class="EnSpace"/>
The Administrative Adjudication Bill of Rights, as set forth in Article 6 (commencing with Section 11425.10) of Chapter
4.5 of Part 1 of Division 3 of Title 2 of the Government Code, applies to hearings conducted under this chapter and mandates minimum due process.
</html:p>
<html:p>
(f)
<html:span class="EnSpace"/>
The department may refer enforcement to the Department of Toxic Substances Control for products identified as hazardous waste. If the department defers to the Department of Toxic Substances Control, any penalties collected pursuant to this section shall be deposited into the Hazardous Product Recall Penalty Account, which is hereby created in the State Treasury. Upon appropriation by the Legislature, moneys in the Hazardous Product Recall Penalty Account shall be available for expenditure by the Department of Toxic Substances Control for activities related to the collection and recycling of products, grants for related purposes, and the administration and enforcement of this chapter.
</html:p>
<html:p>
(g)
<html:span class="EnSpace"/>
The remedies under this section are in addition to, and do not supersede or limit, any and all other remedies, civil or criminal.
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