Facts

On October 1, 1987, the State of California listed n-Nitrosodimethylamine (NDMA) as a chemical known to the State of California to cause cancer. NDMA is often found in latex, including the latex used in latex yoga mats. Center for Environmental Health (CEH) is a non-profit corporation dedicated to protecting the public from environmental heath hazards and toxic exposures that is based in Oakland, California. On September 14, 2022, CEH served a 60-Day Notice of Violation under Proposition 65 on Lululemon USA Inc., (Lululemon) and the City Attorneys for every City in California with a population greater than 750,000. On March 24, 2023, CEH brought a lawsuit against Lululemon, alleging violation of Proposition 65.

PLAINTIFF'S CONTENTIONS: Plaintiff alleged that defendant employed ten or more persons and knowingly and intentionally exposed individuals to NDMA without first giving clear and reasonable warnings regarding the carcinogenicity of NDMA required by Proposition 65 through defendant's manufacture, distribution, or sale of latex yoga mats in California.

DEFENDANT'S CONTENTIONS: Defendant denied all contentions.

Result

The parties agreed to a settlement that included injunctive relief; reformulation. Total payments of $140,000. Non-Contingent Civil Penalty $38,500; attorney(s) fees and costs $73,000; payment in lieu of penalty $28,500 (Payment in Lieu of Civil Penalty is Additional Settlement Payment to CEH)