Manufacturers of consumer products may be subject to product recalls that are either mandated by a government regulatory body or voluntarily initiated by the manufacturer. A manufacturer may initiate voluntary recalls to quickly remove unsafe products from the marketplace regardless of whether they are subject to recall legislation. These types of recalls are typically initiated to protect the health and safety of users of products, and often, to preserve brand reputation and avoid or mitigate litigation. Regardless of whether it is mandated or voluntary, all parties in the chain of distribution, from manufacturers to consumers, are impacted by a product recall.
The scope of a recall, whether voluntarily initiated or mandated, may vary depending on the product and set of facts. If your client is faced with a mandatory recall or they are thinking of voluntarily initiating one, the days following the report of an initial incident tend to follow a pattern and require immediate attention. For that reason, it is worthwhile to have a checklist in place prior to the rise of potential recall issues.