Liability Lawsuits: What Manufacturers Don’t Want You to Know

Every day, consumers place their trust in the products they purchase, expecting them to be safe and reliable. However, when a product malfunctions or contains hidden dangers, the consequences can be devastating. In 2020, juries ordered the highest verdicts in personal injury cases to those involving product liability, with the average award being more than $7 million [19]. This highlights the significant financial and legal risks manufacturers face when their products cause harm. What manufacturers don’t readily advertise is the complex web of liability laws designed to protect consumers from defective products. This blog post aims to shed light on these “secrets,” empowering you with the knowledge to understand your rights and hold manufacturers accountable.

Understanding Product Liability

Product liability refers to the legal responsibility of manufacturers, distributors, and retailers for injuries or damages caused by defective products [2, 4, 15]. This liability arises from the idea that those who profit from selling products should bear the costs of any injuries those products cause, even if they took all possible precautions to prevent a defect [14].

Liability can be established through negligence, strict liability, or breach of warranty of fitness [4]. Most product liability cases are considered “strict liability offenses,” meaning a manufacturer can be held liable for harm caused by their product, even if they exercised great care and displayed no negligence [4].

Types of Product Defects

To pursue a product liability claim, it’s crucial to understand the different types of defects that can lead to injuries [1, 5, 7]:

Manufacturing Defects: These occur during the production or assembly of a product, causing it to deviate from its intended design [1, 4, 15]. For example, a swing set with a cracked chain or a batch of cough syrup containing a poisonous substance [5].
Design Defects: These are inherent flaws in the product’s design, making it unreasonably dangerous even before it’s manufactured [1, 2, 7]. An example is a vehicle design that makes it more likely to roll over [4].
Marketing Defects (Failure to Warn): This involves improper instructions or a failure to warn consumers of latent dangers associated with the product [1, 2, 4]. Manufacturers must disclose inherent side effects or risks, similar to the side effect lists in medicine commercials [4].

Legal Theories of Product Liability

In product liability cases, several legal theories can be used to pursue a claim [7]:

Strict Liability: The injured party needs to demonstrate that the product was defective and that the defect caused their injury [16].
Negligence: This requires proving that the manufacturer or seller failed to exercise reasonable care in the design, manufacture, or marketing of the product, leading to the injury [11, 14, 17].
Breach of Warranty: This applies when a product fails to meet the terms of a written or implied warranty [1, 26].

Proving Your Case

To win a product liability case, you must generally prove the following [17, 35]:

Injury: You must demonstrate that you suffered an injury or damages [35, 38].
Defectiveness: You need to show that the product was defective [2, 35].
Causation: You must establish a direct link between the defect and your injury [2, 11, 13, 35].
Proper Use: You need to prove that you were using the product as intended or in a reasonably foreseeable manner [4, 35].

Evidence needed for product liability claims includes [11, 17]:

The defective product itself
Photos or videos of the defect or injury
Medical records documenting the injury
Expert analysis confirming the defect and its role in the injury
Product recalls, complaints, or prior incidents involving the same product

What Manufacturers Don’t Want You to Know

Manufacturers often employ various strategies to minimize their liability in product liability cases. Here are some things they might not want you to know:

Insurance Coverage: Manufacturers, distributors, and retailers typically carry insurance policies to protect themselves from financial risks associated with product liability claims [3, 29, 32, 33]. Understanding the types of coverage available, policy limits, and how they apply to your situation is crucial [3].
Common Defenses: Manufacturers may raise several defenses to avoid liability, including [6, 8, 9, 12, 13]:
- Statute of Limitations: Claiming that the lawsuit was not filed within the applicable time limit [6, 12].
- Lack of Causation: Arguing that the defect did not directly cause the injury [13].
- Product Misuse: Asserting that the injury resulted from using the product in an unintended or unforeseeable way [13].
- Assumption of Risk: Claiming that the injured person knew of the risk and voluntarily accepted it [6, 13].
- Modification: Arguing that the product was altered after it left the manufacturer’s control [6, 12].
The “State of the Art” Defense: If the company is on the leading edge of new products and innovations, they may be able to employ the “state of the art” defense, claiming that they were using the best available knowledge to build their product [6, 9].
Vendor contracts: Too often, contracts with suppliers don’t make it clear that if the vendor is at fault, it should be financially responsible for the losses [28].

The Role of Insurance Companies

Insurance companies play a significant role in product liability cases [3]. They are experienced in defending claims and are motivated to minimize payouts. Dealing with insurance adjusters can be challenging, as they are trained to protect the insurer’s interests [3]. A product liability lawyer can serve as your advocate, handling communication with the insurer and ensuring your rights are protected [3].

The Impact of Defective Products

Defective products can have devastating consequences for consumers, leading to [21, 38]:

Serious injuries, including broken bones, burns, poisoning, and death
Medical expenses
Lost wages
Pain and suffering
Emotional distress, such as anxiety, depression, and PTSD

Protecting Your Rights

If you’ve been injured by a defective product, it’s crucial to take the following steps:

Seek Medical Attention: Prioritize your health and well-being by seeking immediate medical attention for your injuries [31, 38].
Preserve the Evidence: Do not get rid of the product! The product may be evidence to a potential claim [20, 35].
Consult with a Product Liability Lawyer: An experienced attorney can evaluate your case, explain your legal options, and help you navigate the complex legal process [3, 20, 24, 25, 27, 31].

The Importance of Product Liability Insurance

Product liability insurance is essential for businesses that manufacture, distribute, or sell products [29, 33, 36]. It protects against claims of personal injury or property damage caused by a product, covering legal fees, settlements, and judgments [33, 36]. Having the right protections can promote financial stability and build your business’s credibility by showing that you stand behind your goods and services [29].

Conclusion

Manufacturers have a responsibility to ensure the safety of their products. When they fail to meet this obligation, consumers have the right to seek compensation for their injuries and damages. By understanding product liability laws, the types of defects that can lead to injuries, and the strategies manufacturers may use to avoid liability, you can empower yourself to protect your rights and hold negligent companies accountable. If you or a loved one has been injured by a defective product, don’t hesitate to seek legal advice from a qualified product liability attorney.

Liability Lawsuits: What Manufacturers Don’t Want You to Know