products liability

The liability of manufacturers and other persons for defective products. Under the Consumer Protection Act (1987), passed to conform with the requirements of EU law, the producer of a defective product that causes death or personal injury or damage to property is strictly liable for the damage. A claim may only be made for damage to property if the property was for private use or consumption and the value of the damage caused exceeds £275. The persons liable for a defective product are the producer (i. e. the manufacturer, including producers of component parts and raw materials), any persons who hold themselves out to be producers by putting their names or trade marks on the product, a person who imports the product into the EU, and a supplier who fails, when reasonably requested to do so by the person injured, to identify the producer or importer of the product. The purchaser of a defective product may sue the seller for breach of contract in failing to supply a product that conforms to the contract. Under the same Act suppliers of consumer goods must ensure that the goods comply with the general safety requirement. Otherwise they commit a criminal offence. See also consumer protection

Big dictionary of business and management. 2014.

Look at other dictionaries:

  • products liability — see liability 2b Merriam Webster’s Dictionary of Law. Merriam Webster. 1996. products liability …   Law dictionary

  • products liability — The liability of the manufacturer or seller of an article for an injury caused to person or property by a defect in or condition of the article sold. 46 Am J1st Sales § 799. The liability of a manufacturer or packer of drugs or poisonous sub… …   Ballentine's law dictionary

  • products liability insurance — Insurance that gives protection against legal liability for injury to third parties or damage to their property, arising out of products supplied by the business. Practical Law Dictionary. Glossary of UK, US and international legal terms.… …   Law dictionary

  • products liability insurance — A contract or policy of insurance specifically designed to protect the producer, manufacturer, or seller of goods against liability arising by reason of injury to the person or property of others caused by the use of his products. 29A Am J Rev ed …   Ballentine's law dictionary

  • products-liability insurance — An insurance policy that pays any compensation the insured is legally liable to pay to customers who are killed, injured, or have property damaged as a result of a defect in a product that they have manufactured or supplied. Costs incurred as a… …   Big dictionary of business and management

  • liability — li·a·bil·i·ty /ˌlī ə bi lə tē/ n pl ties 1: the quality or state of being liable 2: something for which one is liable: as a: a financial obligation: debt tax liability the bonds …   Law dictionary

  • products — I noun articles of commerce, assets, chattels, commodities, consumer durable, durables, effects, goods, holdings, items, line of goods, manufactured goods, merchandise, produce, produced materials, resources, staples, stock in trade, supplies,… …   Law dictionary

  • liability insurance — insurance covering the insured against losses arising from injury or damage to another person or property. * * * Insurance against claims of loss or damage for which a policyholder might have to compensate another party. The policy covers losses… …   Universalium

  • products-guarantee insurance — An insurance policy covering financial loss as a consequence of a fault occurring in a company s product. A product guarantee claim would be made, for example, to pay for the cost of recalling and repairing cars that are found to have a defective …   Big dictionary of business and management

  • Liability insurance — is a part of the general insurance system of risk financing. Originally, individuals or companies that faced a common peril , formed a group and created a self help fund out of which to pay compensation should any member incur loss. The modern… …   Wikipedia

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