Tort Class Products Liability

Question 1

Products Liability

Answer 1

the manufacturer or seller of a product is absolutely liable for any injuries caused by a defect in the product

Question 2

Theory and History of Products Liability

Answer 2

early 19th century held that persons injured by defective products had to sue under contract law because they felt the appropriate cause of action was “breach of contract” or “breach of warranty”

Question 3

Warranty

Answer 3

a guarantee that a product or service meets certain quality standards

Question 4

Privity of Contract and Its exception

Answer 4

• a contractual relationship; exists when parties are directly engaged in an agreement
• privity contract is unnecessary if the defective product is imminently dangerous

Question 5

imminent danger exception to the Privity of contract rule

Answer 5

1. mislabeled poison
2. spoiled food
3. explosive
4. improperly assembled scaffolding
5. exploding coffee urn
6. automobile wheels

Question 6

3 parties involved in Products Liability

Answer 6

1. product manufacturer
2. the seller
3. the ultimate user

Question 7

Product Manufacturer

Answer 7

makes the defective product that gives rise to the entire products liability lawsuit

Question 8

Seller

Answer 8

includes anyone who is in the business of selling goods

1. wholesalers
2. Retailers

Question 9

Ultimate User

Answer 9

the person who eventually used the product that caused an injury; not necessarily always the Purchaser

Question 10

5 elements of Product Liability (and 6-8)

Answer 10

1. the defect must render the product unreasonably dangerous to use
2. the seller or manufacturer must be in the business of selling products such as the flawed one
3. the product cannot have been substantially changed between the time it left the seller or manufacturer’s hands and the time it reached the ultimate user
4. the defect must have proximatly caused the ultimate user’s injuries
5. the ultimate user must have used the product properly that is, in a way that the product was designed to be used
6. the ultimate user must have been foreseeable
7. the seller or manufacture must have been responsible for the condition in which the product was maintained
8. a sale of the product must have occured

Question 11

Unreasonably dangerous Products (4 types)

Answer 11

1. fault in product design
2. error in product manufacturer or assembly
3. improper product maintenance
4. manufacture/seller’s failure to warn

Question 12

Consumer contemplation test

Answer 12

the defect becomes unreasonably hazardous b/c the “reasonable person” would not be expected to anticipate the danger

Question 13

Danger/Utility test

Answer 13

a product is unreasonably hazardous if the danger created by its design outweighs the benefits derived from its use

Question 14

State of the art discoverability test

Answer 14

if the manufactures could have discovered hazards created by the defective product designs, using current state of the art technologies, then failure to do so makes a design flawed product unreasonably dangerous

Question 15

Assembly Defect

Answer 15

safely designed products may become unreasonably dangerous as a result of improper assembly or manufacture

Question 16

Maintenance Defect

Answer 16

sellers occasionally fail to maintain merchandise properly, when a buyer purchases the product, it might not function correctly

Question 17

Failure to Warn

Answer 17

manufactures and sellers have an obligation to warn the ultimate users about inherent product dangers

• if the user is warned, then the user knows the risks
• the warning must be in an obvious and noticeable place

Question 18

Defenses to Products liability

Answer 18

1. ultimate users misuse of product (using a defective product irresponsibly)
2. removal of safety devices (product was misused or altered)
3. assumption of the risk

Question 19

Assumption of the risk defense for Products liability (3 factors)

Answer 19

1. by discovering the defect but disregarding it and using the product anyways
2. by failing to properly maintain the product
3. by failing to follow instructions or read warnings for safe prodcut use

Question 20

Warranty

Answer 20

a guarantee that a product seller gives a buyer; states that the product will perform to certain standards or will not break down over a period of time (part of contract)