Leeman v. Hortense B. Hewitt Company, et al.

In an August 4, 2005 settlement, Proposition 65 private enforcer, Dr. Whitney Leeman, and party supply industry members, Hortense B. Hewitt Co., Inc., Party Supply Corporation, and Taylor Corporation, entered an agreement resolving pending litigation and Leeman's claim that the defendants violated Proposition 65. Leeman commenced the action on July 30, 2004, when she served defendants with a 60-day notice of violation of Proposition 65 alleging that certain charms sold by defendants contain lead in amounts requiring a warning under Proposition 65. Lead is listed pursuant to the Act as a chemical that is known to cause cancer, and reproductive harm or birth defects. Leeman claims defendants violated Proposition 65 when they failed to warn consumers and other individuals in California of the health hazard risks associated with lead exposures.

Under the settlement, the defendants will reformulate all future production to be lead-free, and apply specific health hazard warning stickers to any remaining inventory of products that are not lead-free prior to sale. If reformulation is accomplished within the time required by the agreement, Leeman will provide defendants with a penalty credit. The settlement provides for settlement payments of $118,000 to Leeman, including $70,000 in civil penalties, and $48,000 for the reasonable attorneys' fees and costs incurred by the whistleblower investigating, litigating, and negotiating a settlement of the private enforcement action in the public interest.