LIABILITY FOR PRODUCT AND SERVICE

Image Source

Published — January 29, 2021 

The following post does not create a lawyer-client relationship between Alburo Alburo and Associates Law Offices (or any of its lawyers) and the reader. It is still best for you to engage the services of your own lawyer to address your legal concerns, if any.

Also, the matters contained in the following were written in accordance with the law, rules, and jurisprudence prevailing at the time of writing and posting, and do not include any future developments on the subject matter under discussion.

Read also: Transport company’s liability in transporting passengers or goods

• A product or service is defective when it does not offer safety rightfully expected of it

• A product is not considered defective because another better quality product has been placed in the market

• The supplier’s ignorance of service quality imperfection or product quantity imperfection does not exempt him from any liability

Matshona Dhliwayo said, “Love is your greatest asset, fear is your greatest liability, and joy is your greatest reward.”

In everything we do, there is a consequence. In case we manufacture, produce, or import products, we may be held liable for any problem arising from design, manufacture, construction, assembly and erection, formulas and handling and making up or presentation or packing of the products, as well as for the insufficient or inadequate information on the use and hazards of the same. In simple terms, manufacturer, producer, and any importer may be liable for defective products.

When is a product considered defective?

The law says:

A product is defective when it does not offer the safety rightfully expected to it, taking relevant circumstances into consideration, including but not limited to:

1. presentation of product;
2. use and hazards reasonably expected of it;
3. the time it was put into circulation.

However, a product is not considered defective because another better quality product has been placed in the market. Also, the manufacturer, builder, producer or importer shall not be liable when it shows that:

1. it did not place the product in the market;
2. although it placed the product in the market, the product has no defect; or
3. the consumer or third party is solely at fault.

But, there are instances where a manufacturer, producer, or importer cannot be identified. Is there any other person who may be held liable?

The law says:

Yes.

In fact, a trademan or seller may be held liable when:

1. it is not possible to identify the manufacturer, builder, producer or importer;
2. the product supplied is without any clear identification as to its manufacturer, producer, builder, or importer; or
3. the trademan or seller does not adequately preserve the perishable goods

As to service, the service supplier may also be held liable for damages caused to consumers by defects relating to the rendering of the services, as well as for insufficient or inadequate information relating to the services offered. In simple terms, a service supplier may be liable for defective service and service quality imperfection.

Good thing to know that a consumer is not left without options. In case of product quantity imperfection, a customer may demand, alternatively at his own option:

1. the proportionate price;
2. the supplementing weight or measure differential;
3. the replacement of the product by another of the same kind without said imperfections;
4. the immediate reimbursement of the amount paid, with monetary updating without prejudice to losses and damages if any.

In case of service quality imperfection, a customer may demand, alternatively at his own option:

1. the performance of the services without any additional cost;
2. the immediate reimbursement of the amount paid, with monetary updating without prejudice to losses and damages, if any;
3. a proportionate price reduction.

You may ask, “What if the supplier has no knowledge of the quality imperfections due to inadequacy of the products and services?”

Well, the law says:

The supplier’s ignorance of the quality imperfections due to the inadequacy of the products and services does NOT exempt him from any liability.

         

---

Alburo Alburo and Associates Law Offices specializes in business law and labor law consulting. For inquiries, you may reach us at info@alburolaw.com, or dial us at (02)7745-4391/0917-5772207.

All rights reserved.

---

SUBSCRIBE NOW FOR MORE LEGAL UPDATES!

[email-subscribers-form id=”4″]