MGT393H5S - Lecture7 - MGT393H5S Lecture 7 Product...

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MGT393H5S Lecture 7 Product Liability MFG -> Wholesaler -> Retailer -> Customers ‘Henry Ford’ - Developed the ‘assembly line’ - ‘Wages’ - Bring the car into a more affordable product to poor customers - Vision: Ford was going to essentially own everything that went into the car - Steel companies, tires (rubber trees) - Ford has allowed people to buy dealer shops - Up to 1940s, it was not allowed to sue the manufacturer directly, which changed with the case called Danahue and Stephenson Issue: Can the person who drank from the snail bottle sue the manufacturer Basic Law: No, I think you have to sue the guy who gave it to you. Agreed by the House of Lords MFG of the product owes a duty of care to the consumer Negligence and Product Liability 1. Duty of Care: Danahue & Stephenson (House of Lord = Supreme Court of Canada), Making muffins and buns in a house and selling 2. Breach of Duty: Design, Manufacturing, and Labelling (Used riding mower: J&D owe a duty of care to the product, they said that the gas tank is beside a battery, and it turns out to be a bad design when consulted with an engineer. - Car seat, baby cribs, design problems - Never buy a car that is made on the Friday afternoon at GM - Do not have to put obvious labels Labeling - What was the biggest invention of the 1900’s (Birth Control Pills: if you are a smoker, BCP increases the possibility of stroke) - A girl who took a BCP gets a stroke (matter of warning as well as the details and method
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MGT393H5S - Lecture7 - MGT393H5S Lecture 7 Product...

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