Product Liability Terms and Definitions

Negligence Negligence occurs when someone breaches some sort of duty to another person, causing some kind of injury to that person. Prescription Drug Any donated, previously dispensed, prescription drug Shall not have been adulterated, misbranded, or stored under conditions contrary to standards established by the United States Pharmacopoeia or the product manufacturer. Service bulletin Allows dealers to repair the problem at no cost to the customer even if the warranty has expired. A service bulletin notifies the dealer of the problem and how to resolve it. Inadequate Warning Manufacturers not only have a duty to warn, but they may also have to recall a defective product that is already on store shelves. Federal law makes it mandatory to recall certain products, like cars and toys. State of the Art At the time of manufacture, your product was produced using the highest level of scientific and technical knowledge available. Failure to Warn not provide adequate warnings or instructions to advise users of the product that they would have to do certain things to avoid being injured by using the product. Failure to provide adequate warnings or instructions, where they are necessary Warranties Fitness and merchantability The two most important warranties created by U.C.C. Article 2 are the warranty of merchantability (2-314) and the warranty of fitness for a particular purpose (2-315). The warranty of merchantability is a promise that the goods are fit for the ordinary purpose for which goods of that type are used. Manufacturing Defect When one particular product out of many like products has a flaw that makes it unreasonably dangerous, it is said to have a manufacturing defect. Strict Products Liability The legal liability of manufacturers and sellers to compensate buyers, users, and bystanders for damages or injuries suffered because of defects in good purchase or a tort which makes the manufacturer or seller liable if the product has a defective condition that makes it unreasonably dangerous. Implied Warranties Not stated outright by the manufacturer or the seller. For example, you might have an Implied Warranty of Merchantability, which promises that your product is good for its ordinary purpose.

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	Did You Know?
	At the end of 2002, CPSC had reports of 5,239 ATV related deaths Deaths and injuries associated with all-terrain vehicles (ATVs) have shown an increasing trend in the last several years. This was an increase of 698 deaths from 2001. These additional reported deaths occurred during the years 1999 to 2002. Of these reported fatalities, about one-third were children under 16 years old. Fourteen percent were under 12.