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Federal Register / Vol. 86, No. 30 / Wednesday, February 17, 2021 / Notices
Subject Products, as such terms are defined in sections 3a7 and 11 of the CPSA, 15 U.S.C. 2052a7 and 11.
Violation of CPSA Section 19a4
Arm Curl Machines 7. The Arm Curl Machines contain a defect which could create a substantial product hazard and create an unreasonable risk of serious injury or death because the weld that connects the swivel handle to the arm of the machine can fatigue and fail, causing the handle to separate unexpectedly from the frame of the machine. This separated handle can strike the user in the face.
8. Between mid-2002 when Cybex was able to retrieve incident information and June 2015, Cybex received 85 reports of broken handles, including incidents that resulted in lacerations requiring stitches and one grievous bodily injury involving a consumer who permanently lost vision in one eye when the handle separated during use and struck the consumer in the face.
9. Despite information that reasonably supported the conclusion that the Arm Curl Machine contained a defect that could create a substantial product hazard or created an unreasonable risk of serious injury or death, Cybex did not immediately report to CPSC.
10. In June 2015, Cybex filed a Full Report with the Commission under 15
U.S.C. 2064b concerning the Arm Curl Machines.
11. Cybex and the Commission jointly announced a Fast Track recall of the Arm Curl Machines on August 25, 2015.
The press release announcing the recall noted that the swivel handles can break off from the frame causing users to hit themselves in the face or head, posing an impact injury hazard.

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Smith Press Machines 12. The Smith Press Machines contain a defect which could create a substantial product hazard and create an unreasonable risk of serious injury or death because the weight bar can fall, posing serious impact injury hazards to the user.
13. Between late 1991 and January 2018, Cybex received 27 reports of injuries associated with the Smith Press Machine, including grievous bodily injuries such as paralysis and spinal fracture.
14. Despite information that reasonably supported the conclusion that the Smith Press Machines contained a defect that could create a substantial product hazard or created an unreasonable risk of serious injury or
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death, Cybex did not immediately report to CPSC.
15. In January 2018, Cybex filed a Full Report with the Commission under 15
U.S.C. 2064b concerning the Smith Press Machines.
16. Cybex and the Commission jointly announced a Fast Track recall of Smith Press Machines on August 29, 2018. The press release announcing the recall noted that the weight bar can fall, posing serious injury hazards to the user.
Failure to Timely Report 17. Despite having information reasonably supporting the conclusion that the Subject Products contained a defect or created an unreasonable risk of serious injury or death, Cybex did not notify the Commission immediately of such defect or risk, as required by sections 15b3 and 4 of the CPSA, 15
U.S.C. 2064b3 and 4, in violation of section 19a4 of the CPSA, 15 U.S.C.
2068a4.
18. Because the information in Cybexs possession about the Subject Products constituted actual and presumed knowledge, Cybex knowingly violated section 19a4 of the CPSA, 15
U.S.C. 2068a4, as the term knowingly is defined in section 20d of the CPSA, 15 U.S.C. 2069d.
19. Pursuant to section 20 of the CPSA, 15 U.S.C. 2069, Cybex is subject to civil penalties for its knowing violation of section 19a4 of the CPSA, 15 U.S.C. 2068a4.
Response of Cybex 20. This Agreement does not constitute an admission by Cybex to the staffs charges set forth in paragraphs 4
through 19 above, and Cybex specifically refutes the staffs findings that Cybex did not timely file section 15b reports on the Subject Products.
21. The Arm Curl and Smith Press have not been sold since 2008 and 2009
respectively. The Subject Products were designed, manufactured and sold by prior ownership of the Cybex business which was sold in 2016 and again in 2019. The original owners of Cybex recalled and retrofitted the Arm Curl in 2015 and the CPSCs investigation was underway when the Company was sold in 2016. After assessing the legacy business and engaging in discussions with CPSC, the new owner of Cybex determined that it was required to submit a report to the CPSC regarding the Smith Press in connection with the CPSCs ongoing investigation.
22. Due to the complexity of consumer interaction with and use of exercise equipment, and the critical role of fitness center owners in monitoring
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users and maintaining the equipment, consumer reports can be difficult for a manufacturer to obtain and evaluate, may not be received promptly, and may not include complete and accurate information.
23. With regard to the Smith Press, there is a risk of users failing to fully seat a weighted bar across the pins when racking the bar, thereby causing the bar to fall. Further, the equipment had extensive product safety and usage labeling and a safety stop that users frequently failed to activate while exercising. Racking systems similar to the Smith Press racking system were widely used throughout the industry during the time the Smith Press was sold and in use. Cybex believes that the number of reports of injuries associated with the weight bars was infinitesimally small in view of the millions of uses of this equipment.
24. With regard to the Arm Curl, over time the arm of certain of the machines experienced weld fatigue, despite the equipment passing rigorous and extensive product load and endurance testing. Cybex believes that the number and extent of injuries were limited.
25. At all relevant times, Cybex had a product safety compliance program, including quality control personnel and a product safety testing program.
Following the sale of Cybex in 2016, new ownership implemented improvements to that compliance program to further ensure that it is consistent with industry standards.
26. Cybex enters into this Agreement solely to settle this matter without the delay and expense of litigation. Cybex does not admit to any fault, liability, violation of any law, or wrongdoing with respect to the Arm Curl or Smith Press machines, and Cybexs willingness to enter into this Agreement and Order does not constitute, nor is it evidence of, an admission by it of any fault, liability, violation of any law, or any wrongdoing.
Agreement of the Parties 27. Under the CPSA, the Commission has jurisdiction over the matter involving the Subject Products and over Cybex.
28. The parties enter into the Agreement for settlement purposes only.
The Agreement does not constitute an admission by Cybex or a determination by the Commission that Cybex violated the CPSAs reporting requirements.
29. In settlement of staffs charges, and to avoid the cost, distraction, delay, uncertainty, and inconvenience of protracted litigation or other proceedings, Cybex shall pay a civil penalty in the amount of seven million,
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