Products Liability Flashcards
What is the manufacturer’s liability in negligence?
Manufacturers are liable for the finished product, even if they didn’t make all of the parts. They have a duty to inspect the product.
Who can be liable in the chain of commerce?
Everyone in the chain of commerce can be liable. No privity of contract since the final consumer is the foreseeable user.
What constitutes a breach of express warranty?
Seller is liable for breach of express warranty if:
1. Seller made a representation of a material fact.
2. Fact regarded product’s quality, performance, construction, or durability.
3. Before or at the point of sale.
4. Consumer relied on the fact
5. The falsity of the fact proximately caused injury
What is a breach of implied warranty?
When a manufacturer introduces a product into the stream of commerce, there is an implied warning that the product is reasonably safe for intended use.
What is strict products liability?
If you sell or distribute a defective product, you are liable for injuries without intent or lack of reasonable care.
What are the elements of a manufacturing defect?
- D manufactured and sold a product which was defective at the time of sale.
- Product was expected to and did reach the user without substantial change.
- Defective condition proximately caused harm.
What test is used to determine whether a design is defective?
Risk-utility analysis
What are the factors of the risk-utility analysis test?
Risk Utility Analysis - RAW SLAM:
R: Reasonable alternative design
A: Ability to eliminate risk without reducing utility
W: Worth/Utility
S: Severity and likelihood of injury
L: Learned ability to avoid injury
A: Anticipated awareness of risk by the user
M: Money and insurance.
What constitutes a failure to adequately warn?
Product fails to warn of foreseeable risks of harm that could have been reduced or avoided through a warning.
What are the elements of failure to adequately warn?
- Warn average users about risks of harm.
- Warn users about the severity of the harm (death).
- Formatted and positioned for the average user to notice and understand.
What is the analysis for failure to adequately warn?
- Is the danger foreseeable?
- If it is obvious, no duty to warn (jury question).
- Was the warning adequate?
- Was it there?
- Was it obscured?
- Was it emphasized?
Does a manufacturer have to warn of obvious inherent dangers?
No. There is no duty to warn that fire is hot or guns shoot bullets
What is the Good Burbon Rule?
A product is not defective if the danger it poses is why the product is used (guns, butter, booze, cigarettes)
What is the state of the art defense?
If industry customs and scientists know of the risk, it is foreseeable. If they don’t, the risk is unknown to anyone.
What is the significance of design improvement?
The fact that the design was improved is NOT evidence that the design was defective. This rule would disincentivize manufacturers to improve safety.