r/CraftFairs • u/TryingMyBest105 • 1d ago
Beginner Help Liability question
I’m doing my first holiday fair this Dec. I usually do pacifier clips and baby crinkle toys (via sewing). I’m wondering, do I need a liability sign? I’m just testing the waters so I don’t have an LLC but curious on what other sewist do.
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u/Incognito409 1d ago
You need both liability insurance and to form an LLC to protect your personal assets in case you get sued. Baby products are federally regulated.
The lawsuit mentioned was actually because a baby strangled on a teething necklace purchased on Etsy. There was supposed to be a break-away clasp on the necklace, but it failed and the baby died. The mother sued both Etsy and the seller. The case was settled out of court for an undisclosed amount ($millions).
Do the research before you sell baby items.
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u/StoryGlow_Candle_Co 1d ago
I would check your local laws. I'm a small candle business in Texas and I became an LLC and got insurance to protect my assets in case of some person not thinking and leaving a candle burning for 2 days straight. You never know. I'd rather be safe than sorry.
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u/Radiant-Platypus-498 7h ago
Baby products are so regulated. Etsy has a list of items that are not permitted to sell due to liability and lawsuits. If the product you sell isn’t considered “safe” by whatever government agency determines that, that I believe no amount of liability insurance or disclaimer signage will protect you from that.
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u/Radiant-Platypus-498 7h ago
I would thoroughly research the specific products you want to make before you decide whether to sell them
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u/thebipeds 16h ago
Standard liability insurance isn’t too expensive.
I went years without it but eventually it’s a business expense like all the others.
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u/TryingMyBest105 16h ago
That’s the thing. I do work in corporate but was laid off. It’s a small market so I’m just trying to gauge if it’s something I want to really pursue while the job market is so hard right now
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u/thebipeds 16h ago
I think most people don’t bother with insurance until it’s their full time gig.
(Of course this is not legal advice)
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u/NWRegisteredAgent 12h ago
You may not think it, but baby products of any kind are heavily regulated. If you don't secure liability insurance at the very least you may wish to consider that as a baseline. We'd heavily advise looking into local regulations for these types of products to ensure you're following all proper guidance.
Securing an LLC at some point would be of benefit to you as well. An LLC is going to help protect you and your assets in the event your business is ever sued. While the endeavor is worthwhile and comes from a good place you must ensure you're following proper protocol to remain compliant with regulations and reduce any potential for harm.
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u/kristamn 1d ago
Oh, I would research this. I feel like there was a lawsuit based on pacifier clips and an Etsy seller was sued. The chances are probably slim for it happening, but it would be good to know what the laws are and how to protect yourself (and keep babies safe).