Fossil Retail Stores (Australia) Pty Ltd - s.87B undertaking

Fossil Retail Stores (Australia) Pty Ltd the business that operates Fossil stores nationally in Australia has offered a section 87B court enforceable undertaking to the ACCC following its supply to consumers of sunglasses and fashion spectacles that failed to comply with the mandatory consumer product safety standard prescribed under the Trade Practices Act 1974 (the Act), namely AS/NZS 1067:2003 Sunglasses and fashion spectacles (the Standard).

Specifically, Fossil supplied both sunglasses and fashion spectacles that, despite including a lens category number indelibly marked on the arms, failed to include the corresponding lens category description required under the Standard on labelling attached to or otherwise indelibly marked on each sunglasses / fashion spectacles’ frame. Fossil also failed to include the prescribed driver warning markings on labelling for fashion spectacles fitted with category 1 lenses.

Subsequent to the ACCC raising its concerns with Fossil in December 2007, Fossil also at its own initiative conducted lens performance tests for over 25 models of sunglasses and fashion spectacles a quantity of which produced failed results with tests pending for other models.

Fossil acted promptly on the concerns the ACCC raised, including conducting two voluntary recalls in January and April 2008 for non – compliant sunglasses.

Fossil has also undertaken to:

• ensure goods supplied by it that are subject to a mandatory safety and/or information standard prescribed under the Act comply with the relevant standard;
• put in place procedures to ensure display and sales stock of sunglasses are appropriately labelled; and
• implement a trade practices compliance program to minimise the risk of future breaches of s65C of the Act.