A group of jewelry retailers, manufacturers and suppliers entered into a Proposition 65 settlement agreement with Center for Environmental Health (CEH) several months ago concerning cadmium in jewelry. The settlement was formalized in a consent judgment approved by Alameda Superior Court in CEH v. Aeropostale, Inc.
As in other Prop 65 consent judgments, this settlement contained a provision that allows other companies to join the settlement by agreeing to “opt-in.” A company can “opt-in” if it has received a Notice of Violation from CEH, or if it has not received any notice but wants to be subject to the terms of the consent judgment and be protected from other lawsuits regarding this chemical.
For companies that have already received a notice regarding cadmium in jewelry from CEH, joining the settlement as an opt-in may be an efficient way to resolve the pending Proposition 65 action. It does require a company to pay the settlement amount of $55,000 and agree to the injunctive relief terms of the consent judgment. Joining the opt-in is a less attractive option for companies that haven’t received any Notice of Violation regarding cadmium in jewelry.
The deadline for opting-in is Friday, October 21, 2011. If you are concerned about potential cadmium in jewelry that your company manufactures, imports or sells in California, you should talk to an attorney to get more information about the opt-in. Stoel Rives is here to help with your Proposition 65 needs.