Johnson Health Tech Co. Ltd. of Taiwan and its U.S. affiliate Johnson Health Tech North America have agreed to pay a civil penalty of $3 million in connection with safety defects in companies’ fitness training equipment.
According to a press release issued by the U.S. Consumer Product Safety Commission (CPSC), the companies failed to report to the CPSC known electrical defects with the training equipment as required by U.S. law. The defects, which resulted from a build-up of moisture in the power sockets of the equipment, caused a number of elliptical and fitness trainers to short-circuit, posing a risk of serious injury to consumers.
The companies reportedly received multiple reports in 2012 and 2013 of smoking, sparking or melted power components, as well as fire involving the training equipment. However, the companies failed to report this defect to the CPSC until early 2014, when it issued a recall involving more than 3000 units sold in the U.S. between September 2011 and December 2012.
As part of its settlement with the CPSC, the companies will also be required to implement and maintain a rigorous, formal compliance program to prevent future such incidents.
