A state authority recently imposed a penalty on a company. Such a measure serves the authority as a legitimate means of pressuring a company to enforce mandatory behavior. The penalty is to be imposed even if the customer later meets the obligations.
In this concrete case, a company was to show that it had provided the appropriate notification to the classification and labeling directory of the ECHA. After several requests, the company failed to provide the authority with bills of delivery, invoices, customs import certificates, and safety data sheets. The authority responded by threatening the imposition of a monetary penalty, but because the company did not react, the authority increased the amount of the penalty.
According to § 21 (Monitoring) of the Chemicals Act in relation to Article 36 of the REACH regulation, companies are fundamentally obligated to collaborate with authorities and to provide authorities with the documents they request.
In addition, the regulation requires every manufacturer, importer, and downstream user and dealer to collate the appropriate information on the relevant substance. They must also keep the information on hand for at least ten years after the last manufacture, import, delivery, or use of the substance or mixture. Upon request, these entities must make the documents available to a responsible agency of the member state in which they have a branch or location or to agency. If companies fail to meet their obligations, they can be punished with a penalty.
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