Products Liability Tort Liability Negligence Strict Liability Restatement of Torts 402 A.

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Presentation transcript:

Products Liability Tort Liability Negligence Strict Liability Restatement of Torts 402 A

Tort Liability Negligence a. Duty b. Breach of Duty c. Proximate Cause d. Injury or damage

Strict Liability Restatement of Torts : Section 402A Imposes liability on Merchant sellers for both personal and property damage resulting for selling a product in a defective condition

Strict Liability 402A 1.One who sells any product in a defective condition unreasonably dangerous to the user of consumer or to his property is subject to liability for physical harm thereby caused to the ultimate user or consumer, or to his property, if (a) the seller is engaged in the business of selling such a product, and (b) it is expected to and does reach the user or consumer without substantial change in the condition in which it is sold.

Strict Liability 402A 2. The rule state in Subsection (1) applies although (a) the seller has exercised all possible care in the preparation and sale of his product, and (b) the user or consumer has not bought the product from or entered into any contractual relation with the seller.

Strict Liability 402A Defective Condition Manufacturing Defect: Product fails to meet manufacturing specifications Design Defect: Product manufactured correctly, but dangerous due to inadequate design Failure to Warn: (a) adequate warning of Danger (b) appropriate directions (c) Proper packaging

Unreasonably Dangerous Product is unreasonably dangerous if it contains a danger beyond that which the ordinary consumer, who purchases the product with common knowledge of its characteristics, would contemplate.

Food Products Natural substance test If substance in food is natural to the product than no liability Reasonable expectation test Liability based on reasonable expectation of finding substance in the product. Broken tooth due to cherry pit in cherry pie

Entrustment Doctrine If the owner of goods entrusts them to a merchant who deals in goods of the kind sold and the merchant sells them in the ordinary course of business to a bona fide purchaser for value the purchaser gets good title even though the merchant did not have good title.

Transfer of Voidable Title A seller with voidable title transfers a good title to good faith purchasers for value.