Zotos' Settlement
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Zotos' Lawsuit Settled - $125,000
In 2000, Zotos was issued a Report of Violation for selling haircare products that exceeded the volatile organic compound (VOC) standard for their respective categories. The products included Senscience Effervesse Soft Styling Foam, a "Hair Mousse" and Senscience Energel, a "Hair Styling Gel." In August 2002, the case was referred for litigation to the Attorney General's Office, who subsequently filed a civil complaint.
In July 2003, the Attorney General's Office notified us that the judge in the case had accepted a settlement agreement negotiated between Zotos and the Air Resources Board (ARB) and dismissed the complaint. As part of the settlement, Zotos paid a total of $125,000 including a $75,000 civil penalty paid to the ARB and $50,000 to finance lawn mower trade-in events to be conducted by local air districts during 2003. These events are considered supplemental environmental projects and will be funded as follows: $25,000 for the San Diego County Air Pollution Control District; $20,000 for the San Joaquin Valley Unified Air Pollution Control District and $5,000 for the Sacramento Metropolitan Air Quality Management District.