Business enterprises are held responsible when their merchandise are defective; this is referred to as product liability. But what does it entail?
Product Liability is that legal jargon you may have heard where businesses have a responsibility by the law for manufacturing and selling defective products. It is, in a way, consumer’s protection at its best rooted from the idea that buyers should never be harmed by the products they buy. An individual may file a civil lawsuit in a state court when he or she was impaired by a product purchased.
What are the different product liabilities a consumer can be protected from?
A business can be liable for their defective merchandise based on three factors.
– Breach of Warranty. A seller can be liable when the company fails to fulfill the terms of a product’s warranty. In its simplest term, a warranty is a claim, promise, representation, or guarantee about an individual product. Product warranty is further classified into three types: express warranty, implied warranty of merchantability and implied warranty of fitness.
– Negligence. This type of product liability is the failure by the business to exercise reasonable care. Either the company failed to do something they should have done or done something they should not have. The consumer can file liability against anyone within the business, for instance, the designer, distributor, manufacturer, or the seller.
– Strict Liability. The third type of product liability is the more common occurrence and is the most familiar. Strict liability is the business responsibility to be liable if defective merchandise causes injury, regardless of who is at fault. However, the consumer should be able to prove that the product was defective, the defect causes the threat against the consumer, and actual injury occurred because of the defective merchandise.
In some circumstance, product liability can be quite complicated depending on the events and damages incurred. However, being aware and informed of consumer’s right and protection can go a long way to enjoy and be at ease with all of the vast range of products and services available in the market today.