DiPirro v. TigerDirect, Inc. and Systemax, Inc.

Posted: 02/05/2009  browse the case archive

On February 5, 2009, the Alameda County Superior Court entered a Consent Judgment in DiPirro v. TigerDirect, Inc.; Systemax, Inc., which resolved citizen enforcer Michael DiPirro's allegations that the defendants TigerDirect, Inc. and Systemax, Inc. ("TigerDirect and Systemax") sold motherboards with solder containing the heavy metal lead in the State of California without providing the requisite health hazard warnings.

As part of the settlement, TigerDirect and Systemax agreed not to sell any motherboards in California after June 30, 2008, unless the motherboards are sold or shipped with Proposition 65 warnings, comply with reformulation standards, or were manufactured and received in inventory before May 30, 2008. In a good faith effort to inform the public about the risk of exposure to lead in motherboards manufactured before June 30, 2008, TigerDirect and Systemax agreed to provide a Proposition 65 warning on their websites for three years. Due to TigerDirect's and Systemax's prompt cooperation and commitment to reformulation, DiPirro agreed to credit a portion of the civil fine. Should TigerDirect and Systemax complete the optional penalty reductions, DiPirro shall waive an additional portion of the civil fine.

The Consent Judgment requires settlement payments of $74,500, to be divided therein between civil penalties, 75% of which are paid to California's Office of Environmental Health Hazard Assessment, and compensation to whistleblower DiPirro and his counsel for their successful enforcement of this matter in the public interest.

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