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Product
Liability News
Orphan drugs: the question of products liability
Orphan drugs, essential for the treatment of persons with rare diseases, generally are unprofitable for manufacturers to develop and market. While congressional and administrative efforts to promote the development of orphan drugs have met with modest success, application of products liability doctrine to orphan drug sponsors could subvert those efforts. This Note describes the provisions of the Orphan Drug Act and analyzes products liability law with respect to orphan drug litigation. It argues that the goals of tort law support the imposition of liability for design defect, failure to warn and negligence in testing. Finally, the Note acknowledges that liability costs create disincentives for orphan drug development and suggests mechanisms for reducing manufacturers' liability concerns.
2.2 million “SMC” brand oscillating floor fans can be dangerous
Floor fans by SMC Marketing Corp. and Home Depot U.S.A., Inc. The recall includes 18-inch,
pedestal floor fans with model number SR-18 or SP-18. The damage to the cord can result in a short circuit and possible ignition of the plastic case, posing a fire hazard. CPSC is aware of 31 incidents in which the cord on these fans was damaged, which resulted in smoke and fires. At least nine of these incidents resulted in substantial property damage.
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Definition:
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.
Merchant
Definition:
A person who deals in the goods of the kind or otherwise by his occupation holds himself out as having knowledge or skill peculiar to the practices or goods involved in the transaction or to whom such knowledge or skill may be attributed by his employment of an agent or broker or other intermediary who by his occupation holds himself out as having such knowledge or skill.
Distributor
Definition:
Retailer and all middlepersons (learned intermediary, R3d Torts)
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