1. Chapter 7 Strict Liability and Product Liability
PowerPoint Slides to accompany The Legal Environment of Business and Online Commerce 5E, by Henry R. Cheeseman
Chapter 7
Strict Liability
and
Product Liability
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2. Product Liability
The liability of manufacturers, sellers, and others for the injuries caused by defective products
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3. Negligence and Fault Negligence Misrepresentation
A tort related to defective products where the defendant has breached a duty of due care and caused harm to the plaintiff
Misrepresentation
When a seller or lessor fraudulently misrepresents the quality of a product and a buyer is injured by the product
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4. Strict Liability Strict liability is imposed without regard to fault.
All parties in the chain of distribution of a defective product are strictly liable for injuries caused by that product.
Applies to goods, not services
Privity of contract between plaintiff and defendant is not required.
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5. Comparing Negligence and Strict Liability
Negligent party is liable.
Consumer injured by defective product
Manufacturer
Distributor
Retailer
All in the chain of distribution are liable.
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6. Defective Product
In order to recover under strict liability, the injured party must show that the product causing the injury was defective.
A product can be found to be defective in many ways.
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7. Common of Product Defects
Manufacture
Design
Failure to warn
Packaging
Failure to provide adequate instructions
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8. Defects in Manufacture
Manufacturer fails to properly assemble a product.
Manufacturer fails to properly test a product.
Manufacturer fails to adequately check the quality of a product.
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9. Defects in Design
Defects that occur when a product is improperly designed
Risk-utility analysis may be applied
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10. Crashworthiness Doctrine
Automobile manufacturers are under a duty to design automobiles so they take into account the possibility of harm from a person’s body striking something inside the automobile in the case of a car accident.
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11. Failure to Warn
A defect that occurs when a manufacturer does not place a warning on the packaging of products that could cause injury if the danger is unknown
There is no duty to warn of generally known dangers.
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12. Defect in Packaging
Occurs when a product has been placed in packaging that is insufficiently tamperproof
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13. Failure to Provide Adequate Instructions
Sellers must provide adequate instructions for the safe assembly and use of the products they sell.
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14. Defenses to Product Liability
Generally known danger
Government contractor defense
Assumption of the risk
Misuse of the product
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15. Defenses to Product Liability
Correction of product defect
Supervening event
Statute of Limitation and Statute of Repose
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16. Contributory Negligence
A defense that says a person who is injured by a defective but has been negligent and has contributed to his or her own injuries cannot recover from the defendant
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17. Comparative Fault
A doctrine that applies to strict liability actions that says a plaintiff who is contributorily negligent for his or her injuries is responsible for a proportional share of the damages
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