Manufactured Product Liability

Manufactured Product Liability - I Absolute liability a...

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I. Absolute liability a. effectively removes the requirement of demonstration of proximate cause b. moves away from proximate cause c. relies on cause-in-fact, backward looking causality II. II. Enterprise Liability a. Company A manufactures product that later turns out to have a defect. i. 20 years afterward, another company buys the company ii. Company B now becomes liable for A’s previous defects iii. If Company B sells A, B is still liable for that period of time b. Result: Introduces a range of uncertainties i. Interest for companies to take into account risks of types of products ii. Companies do not know what risks to account for in future c. Effect: Hinders R&D III. In absence of contributory negligence: a. Results in a lower than efficient victim level of precaution i. ŷ<y* so that pD is greater than the efficient level IV. Reyes v Wyeth Lab (1974) a. Salk Vaccine i. Uses dead virus to protect from Polio b. Sabin Vaccine i. Uses live virus ii. Benefit to Public Health: 1. Uninoculated individuals are exposed to those with vaccine iii.
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