Exam 7: Business Torts and Product Liability

The Restatement (Third) of Torts on product defect recommends that the distinction between strict liability and negligence be given less attention.

The Supreme Court of California in Greenman v. Yuba Power led in adopting a general rule:

When considering the risk-utility balance, courts consider:

Which of the following is a potential statutory limit on potential tort liability:

The Restatement (Second) of Torts Sect. 402A describes:

In one appeals court case it was held to be a design defect to make an emergency stop button red as that color is attractive to children who push the button.

As seen in Baxter v. Ford Motor, where Baxter lost an eye because the glass in his car windshield was not shatterproof as Ford had claimed, ____ may be the basis for strict liability in tort.

Dangers that were not known or not fully appreciated at the time the product was manufactured are known as ____ and account for the largest dollar volume and greatest number of product liability cases.

MacPherson v. Buick Motor Co. introduced the rule of strict liability in tort for consumer products.

One who by experience and expertise is aware of the possible health hazards associated with the use of a product and who has an obligation to inform its employees and customers of potential hazards is referred to as a(n):

The rule requiring producers to pay compensation to consumers injured by defective products, even though reasonable care has been exercised, is called:

The tort system in the U.S. is estimated to cost right about $40 billion per year.

Scienter is:

The doctrine of strict liability has been extended to include cases where manufacturers produce a poorly designed product.

"No Gordo" is a common artificial sweetener. Researchers find it is responsible for cancer of the liver in some people. A person with liver cancer, who has eaten products containing "No Gordo" for years, wants to sue manufacturers who used the sweetener. In this case:

One evening you eat at the salad bar of a restaurant. The potato salad looks a bit odd, but you stuff it down anyway. You get food poisoning from the salad, which was left at room temperature too long. If you sue the restaurant, they are likely to be:

The rule of negligence in tort holds the producer responsible for any defect that is the proximate cause of an injury suffered by the user of the product.

In Greenman v. Yuba Power Products, where Greenman was injured when a tool his wife bought him malfunctioned, the California high court stated the reason why strict liability should be applied to manufactures of defective products. The reason is:

In Greenman v. Yuba Power Products, Greenman was injured when a tool his wife bought him malfunctioned. The Supreme Court of California imposed liability based on:

The ____ relieves a manufacturer of liability for failing to warn of a product's characteristics or dangers when "the end user knows or reasonably should know of a product's dangers"