Tuesday, February 25, 2003

product liability

Re: RE: [spiers] product liability


In a message dated 2/25/03 9:39:52 AM, leo@hispaniccompass.com writes:

<or 80's makes the manufacturer of the product primarily liable for any
claims arising out of defective products.

*** A lawyer would have fun with this nonsense statement. Tort law has always
made people responsible for harm held accountable, and as with most Nixon-era
government expansion efforts, the Consumer Product Safety Commission solves a
problem that does not exist. Further, since the beginning of USA, the legal
fiction is "the importer is the manufacturer", so if someone is injured, it
is your problem as the importer. But back to the point, as I suspected,
there is no such law requiring drink importers to have liability insurance.
Now I am sure he means well, but I watch people do everything but get
customers, and at the same time watch entrepreneurs get sapped by people who
have no idea what they are talking about. ***

Therefore, where a product is
manufactured in the US, most of the lawyers go for the deepest pockets
and the manufacturers although retailers and wholesalers can be named in
the suits as well.

***That has nothing to do with the The Consumer Product Safety Act, although
it may be accurate. But "deepest pockets" is not you. The liability
lawyers who have advised me say unless you have millions in cash ready to
take, no liability lawyer will bother to come after you. ***

In your situation, you are the primary source of the product in the US
and the lawyers are going to come after you because it is practically
impossible for them to proceed against your Thailand manufacturers. I
can't think of any other reason to carry the coverage other than
requirements by your customers, protection for yourselves, and the good
of the people harmed by a defective product.

*** So he finally gets to the bottom line, what do your customers want?
Well, did they demand you have product liability insurance? if not, don't
worry about it. But this idea that your product will be defective... are you
planning to import what is defective? Has this drink maimed and killed
before? ***

Let me know what you decide to do.>>

***I'd say, "thanks, I'll keep shopping and let you know" and then do what
your customers say you should do. If they say "get product liability
insurance" then do so from someone you can trust, and add the cost into your
product. If the custoemrs will not buy at that price, then the product was
not needed to begin with. Stick with the custoemrs oon this!***

John


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