Ty has replaced its Jammin' Jenna dolls with a redesigned version. The doll’s shoes are now made of cloth instead of vinyl, which had contained high levels of lead.
The firm’s action follows its dispute with the state of Illinois over safety standards, insisting federal law takes precedence over the state’s statute.
Cara Smith, deputy chief of staff at the Illinois Attorney General’s Office said: "While we are pleased with the results, it is unfortunate it took weeks to get them to take these steps."
Smith said a Ty lawyer had called the AGO and said the firm had pulled the dolls from shelves in the first week of January.
She also said it was unclear why the firm had waited until now to tell the State of this action.