Products Liability in the Automobile Industry

Book excerpt: Products Liability in the Automobile Industry was first published in 1960.This is a study of the products liability of automobile manufacturers, the legal and economic basis of this liability, its meaning to business management, and measures which could be taken fore refinement of the concept. The phrase "products liability" refers to the legal responsibility of sellers to compensate buyers for losses suffered because of defects in the goods purchased.The author traces the development of modern products liability with primary reference to the automobile industry. He discusses or cites every American court decisions dealing with products liability of manufacturers of automobiles or automobile accessories, or analogous goods such as tractors, farm implements, trucks, tires, or engines. He points out that court decisions in automobile cases have been second only to those in food cases in formulating principles of products liability.This work offers the first complete appraisal of the automobile cases and of products liability in the automobile industry in general, provides a statement of the managerial implications of products liability, and, for the first time, relates the principles of products liability to an industry's overall economic structure. The conclusions are significant to wide areas of law, economics, business, and sociology, and are of special importance to the insurance industry.