A Christchurch retailer was fined $12,000 in the Christchurch District Court today for selling unsafe soft toys. Southern Gold Limited, trading as Just $2, breached the product safety requirements of the Fair Trading Act by selling toys that did not comply with the Product Safety (Children's Toys) Regulations 2005.

The eye of the soft toy dogs, which were sold in nineteen Just $2 stores owned by Southern Gold Limited across the South Island, could easily be removed presenting a serious hazard to small children.

Commerce Commission Fair Trading Director, Deborah Battell said, "The toy safety standard applies to toys for children under three years old because up to that age children do not have a properly developed coughing reflex. If they swallow or inhale an object which sticks in their throat, they do not cough and must be helped or they can choke to death."

The soft toys for sale at Just $2 were labelled for sale as "Not for children under the age of three" but this does not mean that the toys comply with the standard. An assessment by a child psychologist found that the toys would be attractive to children under the age of three.

Ms Battell says, "Traders can't take short cuts on safety issues. You can't make a toy meet the standard by putting a label that says it is unsuitable for children aged under three. If toys are attractive to small children, they must comply with the standard."

Southern Gold Limited, when trading as Just $2 Limited, had previously entered into an out-of-court settlement with the Commission for the sale of another unsafe toy in 2000.

Ms Battell says, "The Commission will not hesitate to take court action where any further serious breaches occur following a settlement."

Background

The Product Safety Standards (Children's Toys) Regulations 1992 require all businesses involved in the manufacture, distribution and retail of toys for children under three to comply with NZS 5822:1992 : Prevention of ingestion and inhalation hazards in toys intended for use by children under three years of age.

The safety standard covers the sale, exchange, lease, hire and hire purchase of toys, as well as 'giveaways', such as toys given away as prizes at side-show stalls, toys which are gifts with purchase of other goods and toys in breakfast cereal packets. Private sales of second-hand toys are not covered.

The safety standard states toys should not:

  • be of a size that creates a hazard if swallowed or inhaled;
  • have small parts designed to be removed from the toy that create a hazard if swallowed or inhaled;
  • have pieces that can break off in normal use or during reasonably foreseeable abuse and that create a hazard if swallowed or inhaled.

The Product Safety Standards the Commerce Commission enforces under the Fair Trading Act are:

  • children's toys- for children under three years of age
  • children's nightwear
  • pedal bicycles
  • household cots
  • cigarette lighters
  • baby walkers.

Traders may be fined up to $60,000 for an individual or $200,000 for a company for breaching the Product Safety Standards.

The complaint was referred by the Ministry of Consumer Affairs to the Commerce Commission.