World

Peloton hit with $19M penalty by product safety agency for faulty treadmill

FILE – A Peloton logo is seen on the company’s stationary bicycle on Nov. 19, 2019, in San Francisco, Calif. Exercise equipment maker Peloton Interactive has agreed to pay roughly $19 million in fines related to its delay in reporting a defect for its treadmills that caused multiple injuries, the federal consumer watchdog said Thursday, Jan. 5, 2023. (AP Photo/Jeff Chiu, File) Jeff Chiu/AP

Peloton hit with $19M penalty by product safety agency for faulty treadmill

Jack Birle

January 05, 10:37 PM January 05, 10:39 PM

Video Embed

Peloton was hit with a $19 million fine from the Consumer Product Safety Commission for a series of incidents related to its treadmills.

The Tread+ treadmill caused the 150 reported incidents, which included one death and 13 injuries that ranged from broken bones to lacerations and friction burns, per the CPSC.

FTC MOVES TO BAN NONCOMPETE CLAUSES FOR WORKERS

The product was recalled by Peloton and the CPSC on May 5, 2021, but the commission alleged the company distributed 38 of the treadmills after the recall.

“I am pleased that my fellow Commissioners joined me to unanimously approve the proposed settlement agreement with Peloton Interactive, Inc. to resolve charges that Peloton failed to report that its Tread+ treadmill created an unreasonable risk of serious injury or death or had a defect which could create a substantial product hazard. Further, Peloton unlawfully distributed its Tread+ treadmills from May to August of 2021 after the firm had been informed of the Commission’s approval of a voluntary corrective action plan. By acting with one voice, the CPSC sends a loud and clear warning to companies who continue to sell dangerous products that they know can cause serious injury or death,” CPSC Chairman Alexander Hoehn-Saric said of the civil penalty.

A spokesperson for Peloton told the Washington Post that they remain “deeply committed to the safety and well-being of our Members and to the continuous improvement of our products.”

READ MORE:  Argentina: The government reaffirmed that the supply of wheat is secured despite the drought

The spokesperson added that Peloton is “pleased to have reached this settlement agreement.”

The settlement also calls for Peloton to “maintain an enhanced compliance program and system of internal controls and procedures designed to ensure compliance with the CPSA.”

window.DY = window.DY || ; DY.recommendationContext = type: “POST”, data: [‘00000185-84d3-d241-addd-dedf4de30001’] ;
© 2023 Washington Examiner

Related Articles

Back to top button