Products Liability Flashcards
(14 cards)
Who is a proper Plaintiff to bring a strict products liability claim?
Any P who is a user, consumer, or bystander physically injured using defective product.
No requirement of contract/privity.
Who is a proper Defendant in a strict products liability claim?
Commercial suppliers at ALL LEVELS of the distribution chain and those in the market of selling the product - manufacturer, wholesaler, and retailer.
What is the proper context for strict products liability?
Generally, services alone are not enough. When both a product and services are present, the goods/product must dominate.
When is strict products liability imposed?
All jurisdictions impose strict liability where the product is in an unreasonably dangerous defective condition.
3 categories of defect:
+ Manufacturing defect
+ Design defect
+ Lack/inadequacy of warnings
Manufacturing Defect
Manufactured in a form other than intended by manufacturer.
P must show:
+ Product is more dangerous than a consumer would reasonably expect when using the product in its intended manner
OR
+ Product is in a condition not intended by manufacturer and defect existed when leaving manufacturer’s hands.
Design Defect
Made as intended by manufacturer but still presents a danger of personal injury or property damage to P because of a flawed design.
2 tests:
+ Ordinary Consumer Expectation Test: Product is more dangerous than would be contemplated by the ordinary consumer who possesses ordinary knowledge common to the community.
+ Risk-Utility Balancing: Jury determines whether danger the design threatens (cost in human injury and property damage) outweighs its utility to society. Product is defective if an alternative design could have reduces the danger at about the same cost.
Inadequacy/lack of warnings
P is asserting a warning is inadequate - Reasonableness test.
Does the warning reasonably inform a reader of the risks of the product and how to reduce them?
Factors are language, placement, size of font, clarity.
P is asserting there is no warning - Manufacturer has to warn about risks of which it knows or should know. Consider gravity and probability of harm.
(i.e. 1% risk of death, should warn. 1% risk of tooth discoloration, probably not).
Strict Products Liability
Cause-in-Fact
Usually proven by showing that the defect that injured P was in existence at the time it left D’s control.
Strict Products Liability
Proximate Cause
Can’t be a superseding cause that might cause the defect and break the chain of causation.
i.e. did P alter the product in an unforeseeable way?
When are damages recoverable for strict products liability?
Recoverable when there is personal injury or property damage other than to the product itself.
Where the harm is only tot he product itself, can only claim breach of warranty. Consequential/subsequent economic losses are not enough.
Strict Products Liability
Defenses
MISUSE - P’s use of the product is neither intended nor foreseeable.
ALTERATION - Employer removes safety devices to increase efficiency.
ASSUMPTION OF RISK - Where P has used the product with knowledge of the risk.
Approach to Product Liability on a Negligence Theory
Any foreseeable P can bring action.
Ask whether each D acted reasonably.
Res ipsa loquitur takes place of manufacturing defect in negligence theory.
All negligence defenses apply.
Products Liability when there is an Express Warranty
Express Warranty exists where D makes a specific representation as to the quality/nature of the product which becomes a basis of the bargain.
Any seller can make this warranty (manufacturer, distributor, seller)
Can occur via advertising, during negotiations, or as a contract provision.
Implied Warranty/Warranty of Merchantability
Where a merchant deals in goods of a particular kind, the sale of such goods constitutes an implied warranty that those goods will be merchantable (i.e. goods are of average quality for goods of that kind and are generally fit for purpose of which such goods are normally used).
Warranty of merchantability = fit for intended use.
+ Requires privity and notice
+ Can be disclaimed by contract.
Where harm is to the product itself, the only claim P can pursue is for warranty.
