Sage Journals: Discover world-class research

Abstract

Goods recalls occur with unfortunate regularity, primarily due to sellers’ mistakes, but occasionally because of product tamperings. In either situation the legal environment affects what the marketer can and should do. In this paper, the current legal environment influencing recalls is reviewed, and resultant implications for marketers are explored.

Get full access to this article

View all access options for this article.

References

Advertising Age (1986), “Combating Drug Terrorism,” (February 27), 54.

American Cyanamid Corp. v. Connaught Laboratories, Inc. (1986), 800 F.2d 306, 231 U.S.P.Q. 128 (2d Cir.).

Automotive News (1986a), “Ford Recall Covers 42,000 Aerostars,” (January 20), 1, 12.

Automotive News (1986b), “VW, Mazda, Ford Recalls Hit 225,000 Vehicles,” (February 24), 1.

Automotive News (1986c), “Recall of Runaway Audis Requested,” (March 24), 68.

Automotive News (1985), “NHTSA Asks Recall of GM A-Cars,” (February 25), 43.

Bhagvandoss v. Beiersdorf, Inc. (1987), slip op. No. 68306 (Mo.).

Bettman

James R.

, Payne

John W.

, and Staelin

Richard

(1986), “Cognitive Considerations in Designing Effective Labels for Presenting Risk Information,” Journal of Public Policy & Marketing, 5, 1–28.

Boland

John C.

(1978), “Total Recall? Federal Product Safety Moves Cost Industry a Bundle,” Barrons, (August 7), 9, 22, 24, 26, 31.

10.

Broadcasting (1986), “Tylenol Murder Prompts Ad Move,” (February 24), 37.

11.

Business Insurance (1986a), “Tylenol Decision to Cost J&J about $150 Million,” (February 24), 2, 18.

12.

Business Insurance (1986b), “Recall Coverage Crisis on Horizon,” (April 29), 17.

13.

Cody

James L.

(1972), “Food Recalls,” Food, Drug, Cosmetic Law Journal, 27 (December), 336–352.

14.

Craig v. A. H. Robins Co., Inc. (1986), 790 F.2d 1 (1st Cir.).

15.

DeBenedictis

Don J.

(1986), “Gerber Suit Tests State's Regulatory Power,” Los Angeles Daily Journal, (February 25), 5.

16.

Direct Marketing (1986), “WATS Operating Tylenol Exchange,” (April), 4–5.

17.

Economist (1986), “Headache? And How,” (February 22), 30.

18.

FDCA (1982), Food, Drug and Cosmetic Act, United States Code, v. 21, §§301–392.

19.

FDCA (1984), Food, Drug and Cosmetic Act, Code of Federal Regulations, v. 21.

20.

Fedders Corp. (1979), 93 F.T.C. 949 (consent order).

21.

Fisk

George

and Chandran

Rajan

(1975), “How to Trace and Recall Products,” Harvard Business Review, 62 (November-December), 90–96.

22.

Ford Motor Company v. William R. Durrill (1986), 714 S.W.2d 329 (Tex. Ct. App.).

23.

Forgays

Janice Alexander

(1985), “The Food and Drug Administration's Power to Recall a Harmful Product and Other Remedial Actions: The Powerless Consumer,” Vermont Law Review, 10 (Spring, 129–150.

24.

Fortune (1986), “Switching to Caplets—Tylenol Case,” (March 17), 8.

25.

FTCA (1982), Federal Trade Commission Act, United States Code, v. 15.

26.

Freddie Wright v. General Motors Corp. (1986), No. 01-85-1049-CV (Tex. Ct. App.).

27.

General Motors Corp. (1983), CCH Trade Reg. Rep. para. 21,736 (F.T.C.).

28.

Guzzardi

Walter

Jr. (1979), “The Mindless Pursuit of Safety,” Fortune, (April 9), 54–56, 58, 60, 62, 64.

29.

Harper

Blake M.

(1981), “Mandatory Food and Drug Recalls: An Analysis of a Developing FDA Enforcement Tool,” Food, Drug, Cosmetic Law Journal, 36 (December), 669–687.

30.

Herbrand

John S.

(1986), “Products Liability: Admissibility, Against Manufacturer, of Product Recall Letter,” Annotated Law Reports-3rd, 84, 1220–1248.

31.

Hersbergen

Ronald L.

(1982), “Consumer Protection,” Louisiana Law Review, 42 (Winter), 513–540.

32.

Hinds

Michael deCourcy

(1983), “The Federal Highway Safety Agency Isn't Doing Its Job: The Reagan Administration Has Been Cautious About Forcing Automobile Recalls,” Los Angeles Daily Journal, (March 14), 6.

33.

Irvin

Robert W.

(1972), “Auto Recalls: Making Good, After Their Fashion,” The Nation, (July 24), 46–49.

34.

Karr

Albert R.

and Apcar

Leonard M.

(1978), “Car Trouble: Government Pressure Propels Auto Recalls Toward a New High,” Wall Street Journal, (August 16), 1, 33

35.

Krulwich

Andrew S.

(1984), “Recalls: Legal and Corporate Responses to FDA, CPSC, NHTSA, and Product Liability Considerations,” The Business Lawyer, 39 (February), 757–780.

36.

Lancôme Parfums et Beauté & CIE, and Cosmair, Inc. v. LB International Corp. (1986), Slip Op. (D. N.Y.).

37.

Letsou

Peter V.

(1986), “A Time-Dependent Model of Products Liability,” University of Chicago Law Review, 53 (Winter), 209–229.

38.

Levenson

Mark

(1979), “Recalls: Tracing Them Back to the Turn of the Century,” Dun's Review, (January), 117, 119.

39.

Levy

Robert

and Levenson

Mark

(1979), “A Record Year for Recalls,” Dun's Review, (January), 28, 30–34.

40.

Lushbough

Channing H.

(1980), “A Food Company's Approach to the Inspectional Process,” Food, Drug, Cosmetic Law Journal, 35 (August), 436–450.

41.

Maess

Jean E.

(1986), “Validity and Construction of ‘Sistership’ Clause of Products Liability Insurance Policy Excepting from Coverage Cost of Product Recall or Withdrawal of Product from Market,” Annotated Law Reports - 4th, 32, 630–671.

42.

Malickson

David L.

(1983), “Are You Ready for a Product Recall?” Business Horizons, 26 (January-February), 31–35.

43.

Malickson

David L.

(1982), “Product Recall's New Respectability,” Public Relations Journal, 38 (December), 25–26.

44.

Maybelline Co. v. Noxell Corp. (1986), 643 F.Supp. 294 (W.Div. Ark.).

45.

McGuire

E. Patrick

(1986), “Product Recall Effectiveness,” Trail, (January), 61–64.

46.

McNeilab, Inc. v. North River Insurance Co. (1986), 645 F.Supp. 525 (D.N.J.).

47.

Nader

Ralph

(1966), Unsafe at Any Speed, New York: Pocket Books.

48.

Nager

Glen D.

(1981), “Auto Recalls and the Pursuit of Safety: A Commonsense Approach,” Stanford Law Review, 33 (January), 301–328.

49.

NTMVSA (1982), National Traffic and Motor Vehicle Safety Act, United States Code, v. 15, §§1409–1412.

50.

PFDA (1906), Pure Food and Drugs Act, ch. 3915, §1, 34 Stat. 768, (updated version in United States Code, v. 21, §§301–392, 1982).

51.

Peltzman

Sam

(1981), “The Effects of FTC Advertising Regulation,” Journal of Law and Economics, 24 (December), 403–448.

52.

Puritan Insurance Co. v. Aldan Rubber Co. (1986), Slip Op. (E.D. Pa.).

53.

Pyatt

Rudolph A.

Jr. (1986), “Gerber vs. Maryland—Glass in Baby Food Leads to Banning,” Washington Post, (February 28), C9.

54.

Ramp

David L.

(1977), “The Impact of Recall Campaigns on Products Liability,” Insurance Counsel Journal, 44 (January), 83–96.

55.

Reaves

Lynne

(1983), “Risky Business: Recall Itself Unsafe, Prof Says,” American Bar Association Journal, 69 (July), 887–888.

56.

Robb

Gary C.

(1983), “Practical and Legal Implications in Recalling Dangerous Products,” National Law Journal, 6 (October 17), 22.

57.

Sinclair

Upton

(1906), The Jungle, New York: Bradley.

58.

Sklaren

Cary Stewart

(1986), “The Effect of Current NHTSA Regulations and Enforcement Policy on Products Liability in the Motor Vehicle Industry,” Tort & Insurance Law Journal, 21 (Spring), 464–472.

59.

Smith

Stephen A.

(1975), “Recall Campaigns: A Possible Defense to Products Liability,” Insurance Counsel Journal, 42 (January), 77–91.

60.

Time (1986a), “A Hard Decision to Swallow,” (March 3), 59.

61.

Time (1986b), “Capsule Terror—First Tylenol, Now Contac,” (March 31), 27.

62.

Tobin

Richard J.

(1982), “Recalls and the Remediation of Hazardous or Defective Consumer Products: The Experiences of the Consumer Product Safety Commission and the National Highway Traffic Safety Administration,” Journal of Consumer Affairs, 16 (Winter), 278–306.

63.

Trial (1983), “Recalls Include Autos, Fans, and Toothbrush Trainer Sets,” 19 (October), 21.

64.

Traux & Hovey, Ltd. v. The Aetna Casualty & Surety Company (1986), 122 A.D. 2d 563, 504 N.Y.S.2d 934 (N.Y. App.Div.).

65.

United States v. K-N Enterprises, Inc. (1978), 461 F.Supp. 988 (N.D. Ill.).

66.

United States v. Lit Drug Co. (1971), 333 F.Supp. 990 (D. N.J.).

67.

United States v. Lanpar Co. (1968), 293 F.Supp. 147 (D. Tex.).

68.

United States Code (1982), vol. 15, §2072.

69.

U.S. News & World Report (1986), “Tampering with Buyers’ Confidence,” (March 3), 46–47.

70.

Volkswagen (1987), FTC Dkt. No. 9154 (April 16).

71.

Viscusi

W. Kip

(1985), “Consumer Behavior and the Safety Effect of Product Safety Regulations,” Journal of Law & Economics, 28 (October), 527–553.

72.

Werber

Stephen J.

(1979), “Automobile Recall Campaigns: Proposals for Legislative and Judicial Responses,” University of Detroit Journal of Urban Law, 56 (No. 2), 1083–1120.

73.

Woodland Mobile Homes, Inc. (1979), 94 F.T.C. 290 (consent order).

74.

Zikmund

Willian G.

and Stanton

William J.

(1971), “Recycling Solid Wastes: A Channels-of-Distribution Problem,” Journal of Marketing, 35 (July), 34–39.

Responding to Recall Requests: A Strategy for Managing Goods Withdrawal

Abstract

Get full access to this article

References