ACCC launches legal action against Kmart over safety breaches in nail glue, button battery products

The consumer watchdog has taken legal action against Kmart over millions of products it sold that allegedly caused burns to consumers and others that had not been tested.

The Australian Competition and Consumer Commission (ACCC) alleges the Wesfarmer subsidiary breached consumer law by selling millions of nail glue products without adequate warnings and thousands of button battery products that failed to comply with standards.

The ACCC claims Kmart continued selling an OXX cosmetic nail glue that could cause serious injuries despite 51 people reporting they suffered skin burns to the retailer.

The watchdog claims the retail behemoth also failed to report the incidents to authorities.

Court documents allege seven complaints were made to Kmart about the nail glue steaming, smoking, burning or melting when it came into contact with fabric.

A child was allegedly hospitalised from injuries they sustained from the nail glue.

“Consumers reported suffering serious injuries, including burns requiring medical treatment and, in some cases, hospitalisation and skin grafts,” a court document stated.

“Consumers sent Kmart photos of burned clothes and skin, and some described the nail glues causing an exothermic or chemical reaction, heat and smoke.”

The ACCC also claims the retailer failed to protect consumers from serious injury or death by selling button battery watches and smart tags that were not tested.

It alleges almost 64,000 Anko children and adult watches that contained button batteries sold at Kmart between June 2022 and November 2024 did not test any of the products before supplying them to consumers.

Kmart also allegedly sold a smart tag product with a lithium battery that was not enclosed in the device did not include adequate safety information.

“The battery can cause severe or fatal injuries in two hours or less if it is swallowed or placed inside any part of the body,” a court document said.

ACCC Deputy Chair Catriona Lowe said Kmart sold millions of these products that posed a potential danger to consumers, including children.

“We will allege Kmart’s conduct showed serious compliance failures which exposed the public to a significant risk of product safety harm,” she said.