Peloton Interactive Inc has agreed to pay a $19 million fine for failing to promptly report a defect with its Tread+ treadmill that could cause serious injury.
The company had received more than 150 reports of incidents where users were pulled under and entrapped by the time it notified regulators.Liza Lecher works out on her Peloton Tread+ treadmill on May 24, 2021 in Williamstown, New Jersey.has agreed to pay a $19 million fine for failing to promptly report a defect with its Tread+ treadmill that could cause serious injury, U.S. regulators said on Thursday.
The Consumer Product Safety Commission, in a statement, said the civil penalty would resolve the agency's charges that the company had received more than 150 reports of incidents where users were pulled under and entrapped by the time it notified regulators.The penalty also settles charges that Peloton knowingly distributed recalled treadmills in violation of the Consumer Product Safety Act.
Peloton said in a statement it was pleased to have reached this settlement and said "it continues to pursue the CPSC's approval of a Tread+ rear guard that would further augment its safety features." The company added it "remains deeply committed to the safety and well-being of our members and to the continuous improvement of our products."
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