Deck 8: Allocating Risk and Responsibilities: Products Liability

Question 1

To win a case in negligence,a plaintiff must prove all but

A)A duty of care owed by the defendant to the plaintiff
B)A lack of fault by the defendant for the harm caused
C)Behavior by the defendant that fails to meet a standard imposed by the law
D)Harm caused to the plaintiff by the defendant's behavior

Answer 1

B

Question 2

Explain the features of Section 402A of the Restatement of Torts (Second).

Answer 2

The Restatement of Torts (Second)Section 402a states:
(1.)One who sells any product in a defective condition unreasonably dangerous to the user or consumer or to his property is subject to liability for physical harm thereby caused to the ultimate user or consumer or to his property,if a.the seller is engaged in the business of selling such a product,and b.it is expected to and does reach the user or consumer without substantial change in the condition in which it is sold.
(2.)The rule stated in Subsection (1)applies although (a.)the seller has exercised all possible care in the preparation and sale of the product,and (b. )the user or consumer has not bought the product from or entered into any contractual relation with the seller.

Question 3

The Ford Pinto exploded when rear-ended by another vehicle.Of the types of defects a product may have,the Pinto suffered from

A)Design Defect
B)Manufacturing Defect
C)Warning Defect
D)End-user Defect

Answer 3

A

Question 4

Discuss Sugarman's "Performance-based regulation." Is this a viable means to create safer products or is it unnecessary government interference?

Question 5

The Food and Drug Administration,the Consumer Product Safety Commission and the National Highway Transportation Safety Association are
I)Cabinet Departments within the Executive Branch
II)Subcommittees of the Senate and House of Representatives within the Legislative Branch
III)Judicially created organizations to implement Supreme Court mandates related to product safety.
IV)Independent Agencies that report to no branch of government.

A)Cabinet Departments within the Executive Branch
B)Subcommittees of the Senate and House of Representatives within the Legislative Branch
C)Judicially created organizations to implement Supreme Court mandates related to product safety.
D)Independent Agencies that report to no branch of government.

Question 6

According to Stephen Sugarman,performance-based regulation is:

A)Where the government sets targets for how much harm is allowed for each product produced and the company is fined or penalized for any harm beyond the acceptable level.
B)Where the government creates a reporting structure for consumers to report corporation performance related to safety or environmental issues and then the government imposes fines by a specific formula for companies who exceed a certain number of negative reports.
C)Where consumer advocacy groups work with the independent agencies to determine which corporations are implementing best practices for consumer safety and then create regulations to impose those practices on other companies.
D)Where the government analyzes which companies make the most profit,indicating consumer approval of their performance on safety standards and then implement those companies' practices as legal standards.

Question 7

Discuss litigation against major corporations - tactics used to aid plaintiffs and to aid defendants.

Question 8

Explain the concept of strict liability and give two early examples of when this concept was applied in the U.S.

Question 9

Explain how injured parties can recover damages under the UCC.

Question 10

In Wyeth v.Levine,the majority rejected the idea that primary responsibility for drug safety lies with the government and instead lies with the drug manufacturer.

Question 11

The most notable exception to caveat superior was for

A)Food
B)Automobiles
C)Clothing
D)Shoes

Question 12

According to the plaintiff's attorney,to minimize liability,corporations often
I)Hire the best defense firms to make the plaintiffs look like liars
II)Pursue illegal means to get plaintiffs to drop their cases
III)Use the system to make the case too expensive for plaintiffs to pursue their cases
IV)Push plaintiffs in to class action suits to force the case to be heard only one time.

A)I and II
B)II and III
C)III and IV
D)IV and I

Question 13

The term caveat emptor means:

A)"seller take care"
B)"empty the cave of deceit"
C)"buyer beware"
D)"truth shall prevail"

Question 14

The organization that works with companies on recalls of unsafe products (such as lead-paint laden Thomas the Train toys)is
I)The Consumer Protection Group (CPG)
II)The Consumer Product Safety Commission (CPSC)
III)The Product Protection People (P3)
IV)The Buy American Coalition (BAC)

A)The Consumer Protection Group (CPG)
B)The Consumer Product Safety Commission (CPSC)
C)The Product Protection People (P3)
D)The Buy American Coalition (BAC)

Question 15

What are punitive damages?