Term
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Definition
| either the product doesn't work the way that it should or it in some way harms you |
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Term
| How can a buyer sue the manufacturer? (there is no parity between manufacturer and buyer) |
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Definition
1. based on the idea of fraud
2. negligence
3. implied warranty
4. express warranty
5. strict liability |
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Term
Products Liability
1. Fraud |
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Definition
The manufacturer made fraudulent claims that simply weren't true. If they made these claims and you relied on them, they are guilty. Requires the manufacturer to say something about the good that isn't true!
Manufacturer is responsible for both admission and omission! |
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Term
Products Liability
2. Negligence |
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Definition
The manufacturer owes you a certain standard of care and when they put a product on the market they must live up to that standard of care.
- You will have to ask manufacturer for info and they can: give you what you need, not give you what you need, or give you too much so that it's hard for you to find what you really need.
- Manufacturer has a reasonable standard to meet, do not have to make sure every item works. Quality control could be standard of care. |
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Term
Products Liability
3. Implied Warranty |
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Definition
- Applies to ingestibles, food, and drugs.
- If you're going to put food on the market, the assumption is that the food is safe and you've put a safe product on the market.
- If someone has eaten your food and become ill, all they have to do is prove that they were injured (became ill) and it was from your food.
- Implied warranty arises from the nature of the transaction and inherent understanding by the buyer. |
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Term
Products Liability
4. Express Warranty |
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Definition
- The card that comes with a product that you are supposed to send back in,
- The manufacturer is taking responsibility - if there is something wrong with your product, we will fix it/repair it.
-Has a time limit on it - 90 days, 1 year, etc.
-Will exclude certain things.
-You must have used the good properly and maintained it properly.
-You can't have changed the product.
- Does not extend to personal injury. Will cover the product, but not injury. |
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Term
Products Liability
5. Strict Liability |
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Definition
-Fundamental new concept.
- If you place a good into the flow of commerce, you are responsible for it and for any problems that it may cause.
- Automatically responsible for personal injury, repair, replace, and economic loss.
-The buyer now has recourse against the manufacturer.
- If a 3rd party is hurt by the product, they can now sue the manufacturer for the injury. |
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