Lead-toy settlement may cost $50m
SAN DIEGO - Mattel Inc. and its Fisher-Price subsidiary will settle a lawsuit over millions of lead-tainted toys made in China, with damages possibly totaling more than $50 million.
The proposed class-action settlement, filed in Los Angeles Tuesday, would resolve 22 suits filed on behalf of families who purchased or received the defective toys. They were recalled in 2007.
Mattel agreed to provide refunds or other reimbursement, said John J. Stoia Jr., a plaintiffs’ lawyer.
Another plaintiff law firm, Whatley Drake & Kallas, said Mattel will provide buyers who are part of the class-action either 50 percent of the total amount of vouchers Mattel sent out following the recalls or $10, whichever is greater.
Consumers who did not participate in recalls but have a recalled toy or proof of purchase will receive a check or a voucher for the amount of the toy. Those who bought or acquired a recalled toy but destroyed it after the recall will get a voucher for the amount of the toy for up to three toys.
Consumers who bought recalled toys in which only one standalone piece of the toy was affected can receive up to $12.
Members of the settlement may recover all out-of-pocket expenses incurred for lead testing, up to $600,000 for the class.
Mattel said the settlement resolves “virtually all’’ US claims.
Mattel already had money set aside for the litigation.
The proposed settlement awaits court approval.
