Products Liability Flashcards
Products Liability
Refers to the liability of a supplier of a defective product to someone injured by the product.
Five Theories:
Intent
Negligence
Strict Liability (SL) **easiest to prove
Implied warranties of merchantability and fitness for a particular purpose
Representation (express warranty and misrepresentation)
Proof of Liability
- Defect, and
- Existence of the defect when the product left D’s control
* *Inferred if product moved through normal channels of bistro
Manufacturing
M –> A product is different and more dangerous than the other products made, properly, in the same batch/group
P must show product failed to. perform as safely as an ordinary consumer would expect.
Inadequate Warnings
- M failed to give adequate warning RE risks involved in using the product
- Risks may not be apparent to users
Prescriptions drugs & medical devices–> warnings given to learned intermediaries suffices in lieu of warning to patient
Design Defects
D –> ALL products in a line are the same but have dangerous propensities
P must show D could’ve made product safer, without serious impact on. product’s price or utility.
Non-compliance with gov’t safety standards:
Establishes that product is defective
compliance is evidence but not conclusive that product is not defective
Scientifically. unknowable risks:
D not liable for dangers NOT foreseeable at time of marketing
Unavoidably Unsafe Products
Ms not held liable for some dangerous products (ex: knives) if danger is apparent and there’s no safer way to make the product
Privity
DOES NOT MATTER. if there was contractual privity b/w P and D!!!
*consistent wrong answer to watch out for
Liability Based on Intent
- Privity
- Damages
- Defenses
RARE!
D liable to ANYONE injured by unsafe product IF D intended consequences or knew they were substantially certain to occur.
Privity NOT required.
Compensatory; Punitive.
Same as intentional torts.
ANYONE who supplies the product owes a Duty of Care to:
ALL foreseeable Ps. Privity NOT Required!
Breach of Duty
Shown by negligent conduct of D leading to supplying of a defective product.
Proving Negligence in Manufacturing v. Design Defect Case
M. –> RIL if defect would not usually occur without M’s negligence.
D –> P must show D knew or should’ve known of the danger of the product as designed.
Intermediary’s Negligence
Does NOT supersede M’s negligence UNLESS the conduct exceeds ordinary foreseeable negligence.
Recovery of Damages for Negligence PL Action
Physical injury or property damages MUST be shown. (NO recovery if only economic loss).
Defenses to Negligence PL Action
Same as Negligence
Cont. Neg
AOR
Prima Facie case for PL based on SL
(ANY) Commercial supplier of a product;
Producing or selling a defective product;
Actual and proximate cause; AND
Damages
*Product MUST reach P without substantial alternation.
Privity NOT required!
*retailers may be liable even if no opportunity to inspect
PL based on SL only applies to:
Products, not where product is provided incident to a service
(ex: blood during an operation)
PL based on SL – What is a defective product
Product dangerous beyond the expectation of the ordinary consumer
PL based on SL – Causation
Cause in fact –P must show that defect existed when product left the D’s control
- Difficulty tracing defect –> P may rely on inference that product failure would not occur absent a product defect
- P. claiming product defect due to lack of adequate warning entitled to presumption that adequate warning would’ve been read. & heeded
Prox Cause same as negligence cases
PL based on SL – Damages
Physical injury or property damage MUST be shown and disclaimers are ineffective where these damages occur.
(no recovery is only economic loss)
Defenses to PL based on SL
Cont. Negligence NO Defense!
AOR is a defense
Implied Warranty of Merchantability
goods are of average an acceptable quality and are generally fit for the ordinary purpose for which the goods are used
Implied Warranty of Fitness for a Particular Purpose
seller knows or has reason to know the particular purpose for which goods are required and that the buyer is relying on the seller’s skill and judgment in selecting goods