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Product Liability Management

In: Business and Management

Submitted By ADEJAYAN
Words 1890
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Product Liability Management

Victor Adejayan

Dr. Dianne Barrs

Strayer University

LEG 500

September, 2012

Product liability is the responsibility of a manufacturer for injury or loss caused by its product (

Product liability serves to protect the public but it is may turn out to be very expensive to organizations. Management has the duty of making sure that organizations’ resources, especially funds and reputation, do not suffer unnecessary attrition and damages through the implementation of effective, affordable product liability programs. It is important to have people in management that possess the skills such needed to solve liability issues in the legal arena, most importantly before they occur.The challenge of the manager is fulfilling his/hers responsibilities by generating profit in business while protecting the interests of otherstakeholders, such as, employees and customers.
Though the savvy manager cannot stop people from having the intention and grievances to sue the organization, they can reduce the motive of prospective plaintiffs and in event of a lawsuit happens; effective product liability management mitigates the negative effects on the organization. Management has the duty of making sure the product liability policies and programs of the organization is clear, concise and precise so that the interpretation thereof cannot be turned to work against the organization. Most lawsuits that are directed at organizations arise in the area of torts.
The case of Liebeck vs. McDonalds: Relentlessly controversial in nature, this case continued to be the answer to the journalists’ prayer until it was settled. Liebeck vs. McDonalds aroused the interest of both the media and legal community and held public attention for its lifetime. Initially, the case took off like most frivolous lawsuits in which the...

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