In addition to providing a return on investment to stockholders, companies are responsible for producing and selling products that will not harm the general public. When a product is found to be defective, a recall is generally issued, and a California consumer is able to return the item to the store where it was purchased. All of this is done out of concern for the company, the customer and overall consumer protection.
Recently, one retail store, Best Buy, agreed to pay a $3.8 million settlement for continuing to sell recalled products over a five year period. Apparently, 16 different products and over 600 total recalled items were accidentally sold through one of the company’s stores during this time period. An investigation into this issue found that there were problems with Best Buy’s sales and inventory system that allowed some recalled products to be sold without any indication that the item had been recalled.
When a product is recalled, in addition to other inventory control procedures, retailers will generally remove the item from store shelves and identify it as not available for sale within the store’s computer system. This should prevent the item from being sold to an unsuspecting consumer. Additionally, this should provide the company’s salesperson with information indicating that the product cannot be sold.
Consumer protection is the responsibility of manufacturers, stores and other businesses that produce and sell products to the general public. If a California consumer discovers that he or she possesses a product that has been recalled, he or she will want to contact the company for recall instructions. However, if that product has already caused damage to the consumer or his or her property, a valid legal claim may exist.
Source: consumerist.com, “Best Buy To Pay $3.8 Million For Selling Recalled Products“, Ashlee Kieler, Oct. 4, 2016