Product liability in the USA
You may have read on the Internet that a manufacturer is labeling its "Superman" carnival costumes in the USA with the following labels: WARNUNG! DIESES KOSTÜM GIBT IHNEN NICHT DIE FÄHIGKEIT ZU FLIEGEN. ES VERLEIHT IHNEN AUCH KEINE ÜBERMENSCHLICHEN KRÄFTE! This is an example of "urban legends" (modern legends) that circulate on the internet and are at best partial truths. However, it is said to be true that a manufacturer of such costumes once formulated such a warning on its website in order to protect itself from possible legal action.
Product liability generally leads to more lawsuits in the US than in Germany. As a manufacturer or seller of products, you should take appropriate precautions. But how exactly? After all, there are products that are inherently dangerous, such as firearms and alcohol.
If the dangers of these products are so obvious, the question arises as to why special attention is still paid to them in the US. Product liability is an often paradoxical area of law that is clearly strongly influenced by social and political decisions. In the words of the eminent US legal scholar Roscoe Pound: „Law is social engineering that creates a balance between competing interests in society.“
Our white paper on HR topics not only covers the basics, but also provides important and relevant information, such as the most common reasons for lawsuits in the US. Download it now and learn about all the key aspects you should consider when entering the US market.
The following topics are covered in this whitepaper:
- Warning of possible dangers of the products
- Product liability - primarily a national matter
- Generally no personal liability of shareholders and managers
- Punitive damages
- Is there insurance against punitive damages?
- Warnings
- Regulatory authorities
- Liability of the parent company in Europe?
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