Wednesday, January 23, 2008

RC2 settles class action lawsuit from tainted Thomas trains

RC2 announced a settlement of $30 million for its lead tainted trains and accessories. According to the Chicago Sun-Times, the settlement includes new quality controls to prevent future infractions, $2 million to plaintiffs' attorneys and $5,000 to five plaintiffs, as well as a $100,000 donation to a nonprofit organization. The bulk of the settlement seems to cover refunds or replacement toys along with a 'bonus' toy. The corrective action plan for the recall included only replacements and bonus toys; offering a full refund is new to the settlement. Kids In Danger believes that refunds should always be an option for children's product recalls.

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