Exam 5: Product Liability

A manufacturer's duty of care extends to the inspection and test-ing of products bought to incorporate in the final product.

A public policy underlying the imposition of strict product liability is that consumers should be protected against unsafe products.

The doctrine of strict liability can be applied to sellers of goods, including manufacturers, but not distributors.

To successfully assert a design defect, a plaintiff has to show that no reasonable alternative design was available.

Some states limit the application of strict product liability to situations involving personal injuries.

Meds Company, Oral Med Corporation, and Pharma, Inc., are drug makers. In a suit against all of these parties in which market-share li-ability is imposed, most likely to be liable are

Garden Tool Company makes chain saws. Hadrian is injured while using a Garden saw and sues the company for product liability based on neg-ligence. To win, Hadrian must show that

In making and marketing tools and other do-it-yourself home maintenance products,Do-It-Rite Corporation, like other sellers, is required to take precautions against

Fleet Feet Corporation makes athletic shoes. Gloria, a marathoner, files a product liabil-ity suit against Fleet Feet, alleging a design defect. In deciding whether to hold Fleet Feet liable, the court may consider an alternative design's

SmartTalk, Inc., makes and markets cell phones and related accessories. When problems develop with SmartTalk products or sales, the company may be liable in product liability for any of the following except

Sailaway Corporation makes sailboards, which are bought and distributed by Tropical Marketing Company to UV Sports Stores, Inc., which sells them to consumers. Wen is in-jured while using a Sailaway board that he bought from UV Sports. In a product liabil-ity suit based on strict li-ability, Wen may recover from

When a user is injured as a result of a seller's misrepresentation, the basis of product liability may be the tort of fraud.

Those who can be held liable on a theory of product liability for physical harm or property damage caused by defective goods include all of the following except

Island Breeze Company designs and makes desk, window, and ceiling fans. In a product liability suit based on negligence, Island Breeze could be liable for vio-lating its duty of care with respect to all of the following except

Sea & Sail Corporation makes boats and boating supplies. Theresa files a product liability suit against Sea & Sail, alleging a design defect. In deciding whether to hold the boat maker liable, the court may consider an available alternative design based on the design's

An action in strict product liability requires that a product be reasonably dangerous to a user or consumer.

Custom Ceramics Corporation makes ceramic products for commercial uses, including heat-resistant tiles for industrial ovens. When damage occurs in an oven at Duramold Plastics, Inc., liability may be imposed on Custom Ceramics if the tiles sold to Duramold were

A product liability claim may be based on the tort theory of fraudulent misrepresentation.

To support the imposition of strict product liability, a product must be substantially changed from the time it is sold to the time an injury occurs.

Street Bikes, Inc., makes and sells a bicycle to Theo. Street Bikes fails to exercise "due care" to make the bicycle safe, however, and Theo is injured as a result. Street Bikes is most likely liable for