1. Unit 5 Torts Products Liability
ARE 306

2. Products Liability Defective design/manufacture
Strict liability or negligence
Strict liability not available in N.C.

3. Products Liability (continued)
Express warranties
Subject to negotiation
Interpretation
Usage of the trade
Course of dealing

4. Products Liability (continued)
Implied warranty of merchantability
Must be expressly disclaimed
Generally acceptable to trade

5. Products Liability (continued)
Implied warranty of fitness for a particular purpose
Communicated directly
Implied by circumstances

6. Products Liability (continued)
Defenses
Privity of contract
Extended to family/household/guests
“as is” language
Obvious defects

7. Products Liability (continued)
Standard
Negligence
Strict liability

8. Time
Statute of limitations