November 2, 2021

DOE ordered Harbor Freight Tools USA, Inc. to pay a $890,000 civil penalty after Harbor Freight had privately labeled and distributed in commerce in the U.S. 28,800 units of the noncompliant Smith+Jones brand basic model D561/2S4C-C.  The Order adopted a Compromise Agreement, which reflected settlement terms between DOE and Harbor Freight.

Federal law subjects manufacturers and private labelers to civil penalties if those parties distribute in the U.S. products that do not meet applicable energy conservation standards. DOE issued a civil penalty notice on October 6, 2021, advising the company of the potential penalties and DOE's administrative process, including the company's right to a hearing.

On September 2, 2021, DOE issued a Notice of Noncompliance Determination to Harbor Freight finding that the Smith+Jones brand basic model D561/2S4C-C does not comply with applicable energy conservation standards based on DOE testing. Harbor Freight provided DOE records showing the number of units Harbor Freight distributed.