After Consumer Complaints Over Burns, Fitbit Faces Record $12.25M Penalty

After Consumer Complaints Over Burns, Fitbit Faces Record $12.25M Penalty 1
Image Credit: Google

In a significant development, Google-owned Fitbit has agreed to pay a $12.25 million civil penalty following consumer complaints about burn injuries caused by their Ionic smartwatches. The U.S. Consumer Product Safety Commission (CPSC) announced the settlement, which addresses Fitbit’s failure to promptly report serious safety concerns with their devices.

The issues with the Fitbit Ionic smartwatches first emerged in 2018 when users began reporting instances of devices overheating during use. According to CPSC data, the company received:

• 115 reports of battery overheating in the United States
• 78 reported burn injuries, including:

  • 2 third-degree burns
  • 4 second-degree burns40 additional international reports of similar incidents

The affected devices, priced between $200 and $330, were sold through major retailers including Best Buy, Kohl’s, Target, Amazon.com, and Fitbit.com from September 2017 through December 2021. Approximately 1.7 million devices were sold globally, with about 1 million units in the U.S. market.

After Consumer Complaints Over Burns, Fitbit Faces Record $12.25M Penalty 2
Image Credit: Google

In response to initial reports, Fitbit attempted to address the issue through a firmware update in early 2020 to reduce battery overheating risks. However, despite possessing information that reasonably supported the conclusion that the smartwatches contained a defect that could create a substantial product hazard, Fitbit did not immediately report to the Commission as required.

CPSC Commissioner Rich Trumka Jr. expressed concern about the company’s handling of the situation, stating, “While health-conscious people wore Fitbit Ionic smartwatches to track their fitness, they had no idea that the watches were putting their safety at risk. They didn’t know about the hazard because Fitbit said nothing.”

The settlement extends beyond the monetary penalty. Fitbit must implement and maintain enhanced internal controls and procedures to ensure compliance with the Consumer Product Safety Act. The agreement also requires the company to submit annual reports regarding its compliance program, internal controls, and internal audit effectiveness.

After Consumer Complaints Over Burns, Fitbit Faces Record $12.25M Penalty 3
Image Credit: Google

The company ultimately discontinued production of the Ionic model in 2020 due to these ongoing issues. On March 2, 2022, Fitbit and the CPSC jointly announced a recall of all Ionic smartwatches. The CPSC commissioners unanimously accepted the settlement agreement with a 5-0 vote, subject to public comment.

This case highlights the importance of prompt reporting of product safety issues and the potential consequences for companies that fail to meet their obligations under consumer protection laws. The substantial penalty and ongoing compliance requirements demonstrate CPSC’s commitment to enforcing safety regulations in the wearable technology sector.

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