The summer of 2014 will mark the three year anniversary of Canada's current consumer product safety regime. The Canada Consumer Product Safety Act ("CCPSA") impacts manufacturers, importers/exporters, advertisers and sellers (at wholesale or retail) of consumer products. 

In addition to granting broad inspection and recall powers to Health Canada, the CCPSA imposes specific prohibitions and obligations on manufacturers, importers/exporters, advertisers and sellers (at wholesale or retail) of consumer products. To mark the almost three years since its introduction, we outline below three key things to remember about the CCPSA.

1.The Prohibitions

The CCPSA implements prohibitions that impact manufacturers, distributors, importers, advertisers and retailers with respect to:

  • The sale of specified products (for example baby bottles containing Bisphenol A);
  • The manufacture, importation, advertisement or sale of consumer products that are dangerous to human health or safety or that are the subject of a recall; and
  • The manufacture, importation, advertisement or sale of consumer products that do not comply with safety standards set in regulations to the CCPSA.

2.The Reporting Duties in the Event of an "Incident"

The CCPSA imposes very specific reporting obligations on manufacturers, importers and retailers when a product defect, labelling issue or other specified occurrence is discovered that is likely to result in death or serious adverse effects on health.

In very broad terms the following situations amount to an incident:

1.    Occurrences in Canada or elsewhere that resulted or may reasonably have been expected to result in an individual's death or in serious adverse effects on their health;

2.    Product defects or characteristics that may result in serious adverse effects on health;

3.    Incorrect or insufficient information on a label or in instructions that may result in serious adverse effects on health; or

4.    A recall or measure that is initiated for human health or safety reasons, including an overseas recall or measure. 

An initial report must be provided to Health Canada within two days of determining that an incident has occurred. Because of this tight reporting timeline, it is critical that companies have in place systems and procedures to be able to identify, respond to and – as necessary – report occurrences that qualify as incidents under the CCPSA. 

Over the past two and a half years, it has been our experience that most CCPSA reports we have submitted on behalf of clients have elicited no response from Health Canada, and as such, no further follow-up, actions or regulatory discussion have been required. Even in cases in which corrective action has been required, we have found that through working with Health Canada, reasonable solutions to address potential safety issues have been achievable.  

3.The Record Keeping Requirements

The CCPSA requires that documents be maintained in order to allow the movement of consumer products to be tracked throughout the supply chain. These documents must include:

  • For retailers: the name and address of the person from whom they obtained the product and the location where and the period during which they sold the product; and
  • For manufacturers, importers and distributors: the name and address of the person from whom they obtained the product or to whom they sold it, or both, as applicable.

Documents must be retained for six years and be provided on written request to the Minister of Health.

The Cassels Brock Consumer Product Safety Team has been monitoring the development and implementation of this legislation closely and advising clients on the implications for their businesses. We have a wealth of experience managing recalls and defending against post-recall litigation relating to consumer products, health products and food.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.