CPSC Launches National Recall Fraud Effort

The US Consumer Product Safety Commission (CPSC) announced a national effort to tackle fraud and abuse in consumer product recalls.

The announcement is part of the Trump administration’s broader, whole-of-government strategy to combat fraud, improve program integrity, and ensure taxpayer and private-sector resources are used efficiently.

Input Sought

CPSC is seeking public input on how to better prevent recall fraud without making it harder for consumers to access remedies or increasing compliance burdens for companies.

Comments can be submitted here and must be received within 60 days of publication in the Federal Register.

CPSC is seeking input from businesses, recall administrators, consumer advocates, and the public on:

• The scope and characteristics of recall fraud
• The costs and impacts on recall programs and consumers
• Effective tools and strategies to detect and deter fraud
• Ways to reduce fraud without increasing burdens on legitimate consumers
• Potential actions the Commission can take under its existing authorities

“Consumer product recalls are one of our most important safety tools,” said CPSC Acting Chairman Peter A. Feldman. “Recall fraud is not a victimless offense. It undermines product safety, drains resources, and makes it harder to get dangerous products out of American homes.”

CPSC says it uses recalls as a critical tool to remove hazardous products from the marketplace, often working with companies to provide consumer-friendly remedies such as refunds, repairs, or replacements that incentivize consumers to stop using unsafe products. Fraud can drive up costs, reduce participation, distort data and ultimately make recalls less effective.