On purchasing a product, the involved people in the chain of distribution that includes the manufacturers, distributors and retailers assure the buyer of the product’s safety. Taking a warrant on a product is very crucial since it assists a buyer to claim incase the product has defects or fails in one way or another. Consumers should always rely on warranties in order to protect themselves from problems with goods and services (Mann & Roberts, 2006). One type of warrant that applies to sale of goods is the statutory warrant. This type of warranty protects consumers since it contains rights and obligations available in all consumer contacts on purchased products. Breach of the conditions on this warrant by the seller or manufacturer of the product is illegal and such cases are taken to the courts of law. On supply of goods, statutory warranty ensures the following. First, goods should be of required quality and from recognized manufacturer. Secondly, the goods must perform the intended tasks. In addition, consumer requirements must be met, and the consumer must have full possession of the goods once paid for. Statutory warranty applies to all types of goods, whether new, or used. In case the goods or services fail to meet the statutory warranty terms and conditions, a breach of contract occurs. Under such circumstances, the customer receives remedy from the seller depending on the situations. Such remedies include; repair, products replacement, compensation, or repetition in case of services done (Commonwealth Consumer Affairs Advisory Council, 2009).
Identify one of the several theories of recovery in strict liability in tort and provide an example of such.
The Strict tort liability theory involves the process whereby the manufacturer’s responsibility is extended to the affected individual. An injury caused by an unsafe substance, it is legally accepted to take a cause of action towards the product manufacturer, distributer, or retailer. The theory claims that even the unaffected individuals, example, bystanders, have the right to sue the manufacturers for the injuries caused. In defending himself or herself the injured person must prove, in form of writing or evidence that the product’s condition was not perfect by the time of sale. Moreover, the theory requires the injured person to explain the defective nature of the product that renders is dangerous for use (gasaway, Robert, 2002).
Discuss the advantages and disadvantages of bringing a cause of action based upon warranty as opposed to one based upon a tort claim in strict liability.
Claims based upon warranty have various advantages against those based upon a tort claim in strict liability. To start with, in the warranty cases the terms and conditions are written on the goods or services and given to the buyer upon purchasing the product. For tort claim the individual must give evidence that a product had defects in order to get compensation, which becomes a long process. Secondly, warranty cases make compensations regardless of whether the product had manufacturing defects or the buyer mishandled the product. The warranties have the following disadvantages over the tort claims. To start with, warranties do not give a guarantee that the customer will get full time compensation since the contract is based on a specified period of time. Secondly, warranties may be distorted by the sellers or retailers and make their own remedies that is not according to manufacturer’s instructions. On the other hand, tort claims are given on full time bases and the buyer has the right to claim compensation as long as there is prove of injuries either from the buyer or a witness. In warranty contracts, only the buyer is liable for the claim (Mann & Roberts, 2006).
Commonwealth consumer affairs Advisory Council. (2009). Consumer Rights: Statutory Implied
Conditions and Warranties. Retrieved from:
http://www.treasury.gov.au/documents/1586/PDF/Issues_paper_20090726.pdf
Gasaway, Robert R. (2002). "The Problem of Tort Reform: Federalism and the Regulation of
Lawyers." Harvard Journal of Law and Public Policy 25
Mann, R. A. & Roberts, B. S. (2006). Essentials of Business Law and Legal Environment, The
ninth edition. Cengage Learning. pp. 105-150