Consumer Recall Procedures

Consumer Recall Procedures are a crucial part of crisis management for any company manufacturing or selling products. When a product on the market is found to have a defect that poses a risk to consumer health or safety, the company is obliged to act immediately. The Product Safety and Free Movement Code of Georgia strictly regulates the rules for withdrawing products from the market (Withdrawal) and recalling them from consumers (Recall). An improperly conducted or delayed recall not only results in huge financial fines from the Market Surveillance Agency but can also cause irreparable damage to brand reputation and lead to mass lawsuits from affected parties.

The recall process involves notifying state bodies, removing products from the distribution network, warning consumers, and returning/repairing items already sold. Legal.ge allows you to connect with experienced lawyers who will help you manage this complex process to minimize damage and ensure full compliance with legislation.

What does the Recall Procedures Service cover?

This service focuses on managing and preventing crisis situations:

• Recall Plan Development: Creating a preliminary strategy defining responsible persons and the algorithm of actions upon detecting a defect.
• Mandatory Notifications: Preparing prompt and legally sound notifications to the Market Surveillance Agency about the danger.
• Consumer Information: Drafting public statements (press releases, website notices) that meet legal requirements and avoid panic.
• Logistics Law: Legal structuring of the product return, destruction, or repair process.
• Negotiation with Regulators: Representation in dealings with the Agency to avoid additional sanctions.
• Damage Compensation: Managing consumer claims and determining compensation terms.

Common Real-World Scenarios

The need for a recall often arises in the following cases:

• Automotive Industry: A car manufacturer discovered a brake system defect in a specific model. Owners of all sold cars must be informed and called in for free service.
• Food Products: Laboratory tests showed bacterial contamination (e.g., Salmonella) in a batch. The company must immediately withdraw the product from stores.
• Electronics: A smartphone battery has a risk of ignition. The company announces a global recall and offers consumers a device replacement.
• Children's Products: A stroller's locking mechanism is unreliable. The importer is obliged to recall the products from consumers.

Legal Framework: Withdrawal vs. Recall

The terms "Withdrawal" and "Recall" differ. Withdrawal implies stopping the supply of products in the distribution network, while Recall implies the return of products already with the consumer. The Product Safety and Free Movement Code obliges the economic operator to immediately notify the supervisory authority if the product does not meet safety requirements. Failure to notify or delay is considered a serious violation. Also, the Law on Consumer Rights Protection obliges the trader to compensate the consumer for damages caused by the recalled product.

Step-by-Step Service Process

1. Risk Identification: Receiving information about a defect (from labs, complaints).
2. Assessment: Deciding whether a full Recall is needed or just a local Withdrawal.
3. Notification: The lawyer prepares and sends the form to the Supervisory Agency.
4. Execution: Coordination with distributors and consumers.
5. Reporting: Submitting a final report to the Agency on the measures taken.

Why choose a specialist on Legal.ge?

Product recall is a stressful and expensive process. A mistake can lead to business paralysis due to bans imposed by the Agency. Lawyers on Legal.ge will help you navigate this crisis with minimal losses, manage relations with state bodies, and maintain consumer trust. Prepare for unforeseen events with professionals.