Phthalates, or more precisely, phthalate esters are derived from phthalic acid. They are used as plasticisers. Plasticisers are added to plastics to alter the properties of the plastic, making more transparent, flexible, etc).
Most (luckily) are harmless but some are harmful to health and have been banned form children’s toys.

By User:Bryan Derksen (Own work) [Public domain], via Wikimedia Commons
It is believed (but not proven) that phthaltes act as endocrine disruptor’s (much like yesterdays posting on BPA). Links have also been made with obesity and cancer.
For more information, please read the article at: http://en.wikipedia.org/wiki/Phthalates
Tomorrow, we will look at BFRs or Brominated Flame Retardants