Facts

Peter Englander filed a complaint against CM International Inc., CMC Worldwide Inc., Berkshire Hathaway Inc., R.C. Willey Home Furnishings, and Rattan Specialties Inc., alleging violation of Proposition 65, involving defendants' products containing "TDCPP." In 2011, TDCPP was placed on the Proposition 65 list of toxic chemicals known to cause cancer.

Defendant Berkshire Hathaway, Inc. was erroneously named in this lawsuit and dismissed at the outset.

PLAINTIFF'S CONTENTIONS:
Defendants manufactured, imported, sold and/or distributed products in California with foam cushion components that contained TDCPP without the requisite Proposition 65 health warnings. Plaintiff contended that defendants exposed human beings to TDCPP, which was known to cause cancer. As such, defendants violated Proposition 65, which required businesses to provide warnings of the risk of exposure to chemicals known to the state to cause cancer.

DEFENDANT'S CONTENTIONS:
CMC denied plaintiff's material and factual allegations.

Result

Without admitting any wrongdoing, CMC agreed to enter into a consent judgment. Under the consent judgment, CMC agreed not to manufacture or import products containing TDCPP beginning on March 31, 2014. CMC also agreed to, among others, provide the requisite Proposition 65 warning labels for its products. In addition, CMC also agreed to pay $53,000 in civil penalties. Defendant R.C. Willey wasn't a party to the consent judgment, but will be dismissed under the terms of the consent judgment.