Policy: Law

Electrolux to pay $750,000 to settle complaints

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News,Business,Law,Settlements,Civil Suits

CHARLOTTE, N.C. (AP) — Electrolux will pay a $750,000 civil penalty to settle federal regulators' claim that the company failed to immediately report problems that sent flames shooting out of its wall ovens.

The Swedish appliance maker's North American headquarters is in Charlotte.

The Charlotte Observer reported (http://bit.ly/1jicWNs ) the problem caused facial burns and singed hair for some customers.

The U.S. Justice Department announced the settlement Wednesday, saying the company knew of 22 reports of flames coming from Kenmore wall ovens when the broiler was on.

Electrolux spokeswoman Eloise Hale said the company reported the issue to the Consumer Product Safety Commission in 2008 and issued a voluntary recall of the product.

Hale says the company chose to negotiate the settlement to avoid the expense and uncertainty of a lawsuit.

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Information from: The Charlotte Observer, http://www.charlotteobserver.com

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