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Consumer News & Alerts

January 28, 2008

By Martin H. Bosworth
ConsumerAffairs.com

CLOCK IS TICKING FOR CONSUMER SAFETY AGENCY
The beleaguered Consumer Safety Product Commission (CPSC) has been under the microscope for months in the wake of millions of product recalls and allegations that it is an agency hobbled by politics and scandal. Yet, even with the magnifying glass turned on it, the agency's temporary operating authority is due to expire on February 2. Even if Congress rushes to act before the deadline, President Bush may choose not to nominate any commissioners acceptable to Congress, leaving the agency without the necessary quorum to do its job.

BACKROOM BATTLES OVER CONSUMER SAFETY BILLS
Speaking of Congress and the CPSC, our Joseph Enoch reports on a series of backroom battles going on atop Capitol Hill as lobbyists, trial lawyers, and consumer advocates fight to pass one of two competing bills that would reform the CPSC. Both the House and Senate versions of the bills have controversial clauses that may derail any legislation from getting passed, but may also provide consumers the strongest protections possible.

FCC NOT READY TO OPEN WIRELESS NETWORKS...YET
Although Federal Communications Commission member Michael Copps has seen numerous examples of the wireless market's shabby treatment of customers, he prefers to let industry police itself and show the initiative to improve consumer choice and protection in the market. But in remarks made last week, Copps said that if the wireless industry doesn't clean up its act, the government may step in and do it for them.

More product safety and consumer protection news...

• $30 Million Settlement in Thomas & Friends Suit Company says it has instituted new safety procedures.

• Palm Settles Defective Phone Suit Will close retail stores to defray costs.

• High Mercury Levels Found In Sushi Study finds high levels in tuna and swordfish sushi.

• Public Citizen Wants Stricter Botox Warnings 180 serious reactions, 16 deaths linked to the drug.

• Whole Foods Bagging The Plastic Organic grocer switching to reusable shopping bags.

This week's recalls...

• Christmas Tree Shops Wooden Blocks & Train Sets

• ESI-R Wooden Screening Blocks

• Serene Float Tanks

• Honda Fit Subcompacts

• Mercedes Diesel Models

• Battat 'Magnabild' Magnetic Construction Sets

• 'Formula 1' Toy Racing Cars

• Nordstrom 'At Home' Candles

FEDS DELAY ROOF STRENGTH RULE AGAIN
Even though the rules for vehicle roof strength haven't been updated or expanded since 1971, attempts to change the testing standards to incorporate actual results from rolled vehicles continues to be opposed by the automotive industry. Automotive maven Joe Benton takes a look at how the National Highway Traffic Safety Administration (NHTSA)'s proposed rules are meeting a chilly reception from consumer safety advocates as well.

This week's automotive news...

• D.C. Auto Show Goes Green Automakers hope to take Congress for a ride.

• GM Hangs On as No. 1 Automaker Edges out Toyota in 2007; China the battleground for 2008.

• Toyota Extends Sienna Liftgate Warranty Consumers complained of injuries when gate closed unexpectedly.

CHOICEPOINT SETTLES DATA BREACH LAWSUIT FOR $10 MILLION
After paying millions to the Federal Trade Commission and the Attorneys General of 44 states, infamous data broker ChoicePoint coughs up another $10 million to settle a class action lawsuit stemming from the 2005 theft of thousands of personal data records by a ring of Nigerian criminals. Don't pity them too much -- the company heads were absolved of wrongdoing in an investigation of their sale of millions of dollars of stock right after the breach.

More scams and outrages...

• Court Throws Out T-Mobile's Forced Arbitration Clause Wireless provider tried to block a class action lawsuit.

• Watch Out for 'Free Offers' Very few things are free, Iowa AG warns.

• EdebitPay Agrees to $2.2 Million Settlement Unauthorized debit, deceptive marketing at issue.

• Seniors Should be Wary of Reverse Mortgage Scams Scams involving reverse mortgages becoming common.

• Florida Sues Internet Furniture Company Charges consumers received damaged goods or none at all.

• Instant Tax Refund Always Carries a Price Nothing free about refund anticipation loans.

• Florida Sues Two Website Marketers 'Business opportunities' promises were deceptive, suit charges.

• De Beers Settles Class Action Suit Consumers, diamond merchants to split $297 million.

• 'Instant Refund' Loans an Avoidable Expense No reason to give money away, consumer groups advise.

• States Fight Foreclosure Rescue Scams 'Rescue' schemes often make matters worse for troubled homeowners.

FED RATE CUT MAY STAVE OFF RECESSION, BUT FOR HOW LONG?
The Federal Reserve's emergency cut of .75 percent to the prime lending interest rate was an emergency effort to spur more lending by banks and spending from consumers. Will it work? Mark Huffman takes a look at the economic landscape and finds that many may take advantage of the rate cut to switch from subprime mortgages to fixed loans for their homes, but that even a dramatic rate cut may not prevent the economy from sliding into recession.

More financial news...

• Existing Home Sales, Prices Keep Falling Re-Fi's up, but potential buyers staying out of the market.

• Bankers See Economy Perking Up By Summer But risk of recession remains high, economists warn.

DRIVE-UP PHARMACY WINDOWS CONTRIBUTE TO ERRORS
While the idea of rolling up to a window to pick up your prescriptions the same way you would a Happy Meal seems convenient, a new study shows that there is an increased likelihood of prescription error when getting medications at the drive-through window. Ohio State University professor Sheryl Szeinbach, the study author, warns prescription holders to check medications picked up at the drive-through carefully, and advises pharmacies to implement better business practices to encourage face-to-face visits.

NATIONAL DIETARY GUIDELINES CALLED INTO QUESTION
For years we've become accustomed to the famous "food pyramid" of national dietary guidelines telling us what's safe to eat, in what quantity, and for how long. But now researchers at Yeshiva University's Albert Einstein College of Medicine are raising the proposition that guidelines being offered without sufficient evidence to back them up may actually have done more harm than good.

This week's health news...

• Celebrex May Disrupt Heart Rhythm Popular COX-2 drug can induce arrhythmia, study finds.

• Is Nintendo's Wii Really Good Exercise? Study finds health benefits may be oversold.

• U.S. Diet Dishes Up Diabetes Burgers, fries, soft drinks lead to metabolic syndrome.

• Daily Exercise Dramatically Lowers Men's Death Rates VA study is largest to measure fitness-mortality link.

• Cough Medicine Might Not Help Adults, Either Industry-backed studies more positive than others.

• Saline Nasal Wash Improves Children's Cold Symptoms Snorting a little seawater can help fight the common cold.

• Heart, Stroke Death Rates Show Steady Decline But some major risk factors are on the rise.

• Study Links Caffeine to Miscarriage Coffee, tea, soda, hot chocolate present risk.

• New Cancer Drug May Be On the Way New method is stronger yet less harmful than most chemo.

• Consumers Union Wants Cloned Food Clearly Labeled Survey shows 89% of consumers want labels on cloned meat, milk.

RETIRING BOOMERS FLOCKING TO RURAL AREAS
Florida and Arizona are no longer the sole destinations of choice for retirement. Many seniors and boomers are choosing instead to put down stakes in rural areas of states like North Carolina and Virginia, in search of a fulfilling post-career life free of crime and the hassles of the big city. Our Mark Huffman takes a look at how Virginia's rural Northern Neck area is becoming an attractive destination for those looking to enjoy their golden years while staying active.

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