Mattel Settles Suit Over Lead in China-Made Toys

Mattel has settled a class action lawsuit over a recall of lead-tainted toys made in China, the Wall Street Journal reports:

Co-plaintiff lead counsel Whatley Drake & Kallas said in a statement the settlement provides “tens of millions of dollars in monetary relief as well as significant injunctive relief.” According to the law firm, Mattel recalled over 14 million toys in the U.S. in 2006 and 2007.

The world’s largest toy maker previously recorded charges to reserve for the litigation. The company, based in El Segundo, Calif., said final settlement won’t be material to its operating results.

Mattel spokeswoman Lisa Marie Bongiovanni said Mattel wasn’t able to provide a figure for the total settlement, as it would depend on the total number of claims processed. Ms. Bongiovanni said the company felt confident about the estimates it made, but added Mattel would make adjustments in future quarters if participation rates required.

Read more about the 2007 toy recalls via CDT.


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