4. Strict Products Liability

Question 2

What is Strict Products Liability?

Answer 2

A person engaged in selling a product can be held strictly liable if the product causes harm due to a defect and is unreasonably dangerous.

Requires five elements:
1. a proper plaintiff who is injured using the defective product, or another foreseeable plaintiff such as a bystander or a rescuer;

2. a proper defendant in the chain of distribution;
3. a manufacturing defect, a design defect, or a failure to warn;
4. causation; and
5. damages.

Question 3

Is it necessary for the ultimate user to have acquired the product directly from the seller?

Answer 3

No.it is not necessary that the ultimate user or consumer have acquired the product directly from the seller. It is not even necessary that the consumer have purchased the product at all.

Question 4

Who can be potential defendants in the chain of distribution?

Answer 4

• Manufacturer
• Distributor
• Retailer
• Commercial lessors
• New home developers
• Sellers of used goods

Question 5

Can occasional sellers be proper defendants?

Answer 5

No.

Question 6

Can One-time Sellers be Proper Defendants?

Answer 6

No. A one-time seller of a good, who is not in the retail business, is not a proper defendant for a strict products liability lawsuit.

Question 7

Can a person who assembles component parts into a finished product be a proper defendant?

Answer 7

Yes.

Question 8

Is a commercial seller of a non-defective component part strictly liable?

Answer 8

No, unless they substantially participated in the design integration that made the finished product defective.

Question 9

Can a person who rebuilds or reconditions used goods be a proper defendant?

Answer 9

Yes.

Question 10

Can a component manufacturer be a proper defendant?

Answer 10

Yes.

Question 11

Are retailers and commercial lessors subject to strict liability for defects in new goods?

Answer 11

Yes.

Question 12

Can service providers be proper defendants under strict products liability?

Answer 12

No.

Question 13

What is a manufacturing defect?

Answer 13

A product manufactured in a form other than intended, which is unreasonably dangerous.

Question 14

What must a plaintiff show to prove a manufacturing defect?

Answer 14

• Product is in a condition not intended by manufacturer
• Defect existed when leaving manufacturer’s hands
• Plaintiff suffered damage caused by manufactured defect

Question 15

What is a design defect?

Answer 15

A product manufactured as intended but still presents a danger of injury or damage.

Question 16

What is required to prove a design defect?

Answer 16

Plaintiff must show existence of safer alternative designs.

Question 17

What are the three tests to show design defect?

Answer 17

• Consumer expectation test
• Danger-utility test
• Hindsight-negligence test

Question 18

What is the consumer expectation test?

Answer 18

A product is more dangerous than contemplated by the ordinary consumer.

Question 19

What is the danger-utility test?

Answer 19

A product is defective if its dangers outweigh its societal benefits.

Question 20

What is the hindsight-negligence test?

Answer 20

A product is defective if a reasonable person would not have released it to the market given its known danger.

Question 21

How can a plaintiff assert that a warning was inadequate?

Answer 21

• Fails to sufficiently describe the danger
• Fails to mention all dangers
• Is inconsistent with the instructions

Question 22

Can strict liability apply to a defendant’s failure to warn?

Answer 22

Yes.

Question 23

When are warnings unnecessary on a product?

Answer 23

When products are so obviously dangerous that a warning is considered unnecessary.

Question 24

How can a plaintiff prove cause-in-fact by a defective product?

Answer 24

• Defect existed at the time it left the defendant’s control
• Handlers did not mistreat or alter the product
• Defect was a substantial factor in causing injury

Question 25

How can a plaintiff prove proximate cause by a defective product?

Answer 25

Principles of proximate cause relevant to negligence apply.

Question 26

When are damages recoverable for a defective product?

Answer 26

When there is personal injury or property damage other than to the product itself.

Question 27

What are the five defenses to strict products liability?

Answer 27

* Misuse * Alteration * Assumption of Risk * Contributory Negligence * Comparative Negligence

Question 28

What is misuse as a defense to strict products liability?

Answer 28

Plaintiff’s use of the product is neither intended nor foreseeable.

Question 29

What is alteration in the context of strict products liability?

Answer 29

Changes in design, formula, function, or use of a product from that originally designed.

Question 30

What is assumption of risk as a defense to strict products liability?

Answer 30

Defendant is not liable if the plaintiff knew of the defect and voluntarily exposed themselves to risk.

Question 31

When does contributory negligence apply as a defense to strict products liability?

Answer 31

When plaintiff’s conduct rises to misuse or independent negligence.

Question 32

What is the general rule for products liability based in negligence?

Answer 32

Plaintiff must establish a greater personal degree of fault.

Question 33

Who can be proper defendants for products liability based in negligence?

Answer 33

* Seller of used goods * Repairer of used goods * Lessor of real property * Service provider * Franchisors

Question 34

What is the standard of care for defendants in products liability?

Answer 34

Judged by the reasonable person standard of care.

Question 35

Is a defendant’s failure to inspect and discover a product defect considered a breach of duty?

Answer 35

Yes, if a reasonable person would have realized the danger.

Question 36

What standard is the defendant typically judged by in liability cases?

Answer 36

The reasonable person standard of care

Question 37

What constitutes a breach of duty in products liability?

Answer 37

Unreasonable conduct on the part of the defendant where the plaintiff must establish a failure to exercise due care

Question 38

Is a defendant's failure to inspect and discover a product defect considered a breach of duty?

Answer 38

Yes, if a reasonable person would have realized that the product was dangerous in normal use

Question 39

What factors are relevant in considering a defendant's breach of duty regarding product defects?

Answer 39

The nature of the product, the source of the product, and the extent of information available to the defendant

Question 40

Is a defendant's failure to inspect packaged goods from a reputable manufacturer considered a breach of duty?

Answer 40

No, generally it is not considered a breach of duty

Question 41

Is a defendant's failure to inspect packaged goods from a questionable source considered a breach of duty?

Answer 41

Yes, an unreasonable failure to inspect is a breach of duty

Question 42

What happens if the defendant inspects or becomes aware of a defect?

Answer 42

The subsequent failure to find the defect or take reasonable precautions is judged by the reasonable person standard

Question 43

What type of products liability claim is based on misrepresentations by manufacturers/suppliers?

Answer 43

A type based on strict liability

Question 44

What must a plaintiff show to recover damages for misrepresentation?

Answer 44

* The defendant is a seller engaged in selling products * Misrepresentation of a material fact * Intent to induce reliance of the buyer * Justifiable reliance * Actual reliance * Proximate cause and damages

Question 45

True or False: Liability for misrepresentation occurs when a representation induces reliance by the buyer.

Answer 45

True