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Government suit against Ardisam reported settled
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Mark G. Ruppel, CEO, Ardisam, Inc., a manufacturer of lawn and garden products and outdoor sporting goods headquartered in Cumberland, announced Tuesday that a $1,600,000 civil action initiated by the Consumer Product Safety Commission has been settled. "The settlement is for considerably less than $1,600,000," Ruppel said. "Ardisam, Inc. continues to design and produce safe, high quality products. While the reduced stipulated penalty is a setback, Ardisam's management is confident that it will emerge from this action a stronger and wiser entity." In the words of Ardisam's legal council: "United States v. Ardisam, Inc., Case No. 07-C-0405-C (Western District of Wisconsin). On July 26, 2007, the United States filed a civil penalties action against Ardisam, Inc. ("Ardisam"), in the U.S. District Court for the Western District of Wisconsin (Madison, Wisconsin). The lawsuit alleged that Ardisam failed to timely report to the U.S. Consumer Product Safety Commission ("CPSC") that certain tree stands that Ardisam manufactured and sold contained a defect or defects that could create a substantial product hazard and/or unreasonable risk of serious injury or death. "In April 2004, Ardisam voluntarily reported this alleged defect to the CPSC; in July 2004, with CPSC approval, Ardisam conducted a voluntarily recall. In its lawsuit, the government asserted that Ardisam should have made its report to the CPSC sooner. Ardisam vigorously contested the lawsuit, but in late December 2007 agreed to fully settle the matter by paying a stipulated penalty. "The settlement has been reduced to writing and is being circulated for signatures. Upon approval by the court, the stipulated judgment and order agreed to by both Ardisam and the United States, will fully conclude this litigation. Ardisam entered into this settlement to avoid litigation expenses, cap its potential liability, and resolve this matter - pending since 2005 - without further delay. "The settlement language recited the fact that Ardisam denies the government's allegations. The settlement does not contain any findings of fact regarding the merits of the government's case. The settlement was signed on Jan. 7, 2008, ending the suit. "The owners of Ardisam, Inc. want to thank all of our loyal customers, employees and vendors who have suported us throughout our 48-year history and especially through this difficult period," Ruppel said.
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