Maryland Product Liability Law

Second Edition

Table of Contents

Part I: The Legal Ground Rules

Chapter One

Strict Liability in Tort: The Dominant Theory

 

I.

     [§ 1.1]

MARYLAND LAW: THE ELEMENTS OF STRICT
LIABILITY ................................................................................... 3

A.

     [§ 1.2]

The Sale of a Product...................................................................... 4

B.

     [§ 1.3]

In a Defective Condition.................................................................. 6

1.

          [§ 1.4]

Manufacture ............................................................................. 7

2.

          [§ 1.5]

Design ...................................................................................... 7

a.    [§ 1.6]  Consumer expectations test................................................................... 10

b.    [§ 1.7]  Risk/utility test...........................................................................     13

3.

          [§ 1.8]

Warnings ................................................................................ 15

C.

     [§ 1.9]

Which is Unreasonably Dangerous................................................. 16

D.

     [§ 1.10]

When It Leaves the Hands of the Defendant................................... 18

E.

     [§ 1.11]

Which is the Proximate Cause........................................................ 19

F.

     [§ 1.12]

Of the Plaintiff’s Injury................................................................... 20

II.

     [§ 1.13]

STRICT LIABILITY FOR MISREPRESENTATION .............. 21

III.

     [§ 1.14]

STRICT LIABILITY FOR NON-DEFECTIVE
PRODUCTS ................................................................................ 22

IV.

     [§ 1.15]

RESTATEMENT (THIRD) OF TORTS: PRODUCTS
LIABILITY ................................................................................. 22

A.

     [§ 1.16]

The Sale of a Product.................................................................... 24

B.

     [§ 1.17]

Product Defect.............................................................................. 25

C.

     [§ 1.18]

Post-Sale Duty to Warn................................................................. 26

D.

     [§ 1.19]

The Plaintiff’s Injury....................................................................... 26

E.

     [§ 1.20]

Misrepresentation.......................................................................... 26

Chapter Two

Other Theories of Liability

I.

     [§ 2.1]

NEGLIGENCE ............................................................................ 29

A.

     [§ 2.2]

Duty.............................................................................................. 29

B.

     [§ 2.3]

The Latent-Patent Distinction......................................................... 33

C.

     [§ 2.4]

Res Ipsa Loquitur.......................................................................... 34


II.

     [§ 2.5]

WARRANTIES ........................................................................... 37

A.

     [§ 2.6]

Sales v. Service............................................................................. 39

1.

          [§ 2.7]

Maryland law ......................................................................... 39

2.

          [§ 2.8]

Express warranty .................................................................... 44

B.

     [§ 2.9]

Implied Warranty of Merchantability.............................................. 46

1.

          [§ 2.10]

Merchant of goods ................................................................. 46

2.

          [§ 2.11]

Merchantable at time of sale ................................................... 47

3.

          [§ 2.12]

Injury ..................................................................................... 48

4.

          [§ 2.13]

Proximate cause ..................................................................... 48

5.

          [§ 2.14]

Notice to seller ....................................................................... 49

C.

     [§ 2.15]

Implied Warranty of Fitness for a Particular Purpose...................... 49

III.

     [§ 2.16]

FAILURE TO WARN ................................................................. 52

A.

     [§ 2.17]

Strict Liability................................................................................ 55

1.

          [§ 2.18]

Causation ............................................................................... 56

2.

          [§ 2.19]

Latent-patent distinction .......................................................... 57

3.

          [§ 2.20]

Knowledge of the defendant ................................................... 58

4.

          [§ 2.21]

Comparison with negligence .................................................... 60

B.

     [§ 2.22]

Negligence.................................................................................... 62

1.

          [§ 2.23]

Supplier’s knowledge of danger .............................................. 63

2.

          [§ 2.24]

Latent danger ......................................................................... 64

3.

          [§ 2.25]

Reasonable care ..................................................................... 64

4.

          [§ 2.26]

Causation ............................................................................... 66

C.

     [§ 2.27]

Warranties..................................................................................... 66

D.

Special Rules.............................................................................................. 68

1.

          [§ 2.28]

The learned intermediary ......................................................... 68

2.

          [§ 2.29]

Bulk supplier/sophisticated user .............................................. 69

3.

          [§ 2.30]

Statutes .................................................................................. 72

IV.

STATUTORY CAUSES OF ACTION ................................................... 72

A.

Federal....................................................................................................... 72

1.

          [§ 2.31]

Federal Trade Commission Improvement Act
(“Magnuson‑Moss Warranty Act”) ......................................... 72

2.

          [§ 2.32]

Consumer Product Safety Act (“CPSA”) ................................ 73

B.

     [§ 2.33]

Maryland....................................................................................... 75

V.

     [§ 2.34]

MISREPRESENTATION ........................................................... 76

A.

     [§ 2.35]

Negligent Misrepresentation........................................................... 77

B.

     [§ 2.36]

Fraud............................................................................................ 78

1.

          [§ 2.37]

Deceit .................................................................................... 78

2.

          [§ 2.38]

Concealment .......................................................................... 78



VI.

NON-IDENTIFICATION THEORIES ................................................. 79

A.

     [§ 2.39]

Introduction................................................................................... 79

B.

     [§ 2.40]

Maryland’s Response.................................................................... 79

VII.

     [§ 2.41]

THE ENHANCED INJURY CASE ............................................ 82

A.

     [§ 2.42]

Development of the Crashworthiness Doctrine................................ 83

B.

     [§ 2.43]

Scope of Legal Duty in Maryland................................................... 84

C.

     [§ 2.44]

Duty to Bystanders........................................................................ 86

D.

     [§ 2.45]

The Use of Seatbelts...................................................................... 86

E.

     [§ 2.46]

Unique Proof Requirements........................................................... 88

VIII.

     [§ 2.47]

 CHOOSING THE RIGHT THEORY ........................................ 92

Chapter Three

The Plaintiffs

I.

     [§ 3.1]

STRICT LIABILITY IN TORT ................................................. 95

II.

     [§ 3.2]

STRICT LIABILITY FOR MISREPRESENTATION .............. 95

III.

     [§ 3.3]

NEGLIGENCE ............................................................................ 95

IV.

     [§ 3.4]

MISREPRESENTATION ........................................................... 96

V.

     [§ 3.5]

WARRANTY ............................................................................... 96

VI.

STATUTORY CAUSES OF ACTION ................................................... 97

A.

     [§ 3.6]

Magnuson-Moss Warranty Act...................................................... 97

B.

     [§ 3.7]

Consumer Product Safety Act (CPSA).......................................... 98

C.

     [§ 3.8]

Maryland Consumer Protection Act (MCPA)................................ 98

D.

     [§ 3.9]

Maryland Consumer Product Guaranty Act (MCPGA).................. 98

Chapter Four

The Defendants

I.

     [§ 4.1]

MANUFACTURER .................................................................. 101

II.

     [§ 4.2]

COMPONENT MANUFACTURER ........................................ 102

III.

     [§ 4.3]

SELLER OF USED PRODUCTS ............................................. 103

IV.

     [§ 4.4]

SELLER OF RECONDITIONED PRODUCTS ...................... 103

V.

     [§ 4.5]

REPAIRERS ............................................................................. 104

VI.

     [§ 4.6]

IMPORTER .............................................................................. 104

VII.

     [§ 4.7]

WHOLESALER, DISTRIBUTORS & RETAILERS .............. 105


VIII.

     [§ 4.8]

LESSORS AND BAILORS ....................................................... 106

IX.

     [§ 4.9]

LICENSOR/FRANCHISOR ..................................................... 107

X.

     [§ 4.10]

PUTATIVE OWNER ................................................................ 109

XI.

     [§ 4.11]

ENDORSER .............................................................................. 109

XII.

     [§ 4.12]

COMMERCIAL PURCHASER ............................................... 110

XIII.

     [§ 4.13]

SUCCESSOR MANUFACTURER ........................................... 111

XIV.

     [§ 4.14]

THE DUAL CAPACITY DOCTRINE ..................................... 112

Chapter Five

Universal Elements of Proof

I.

     [§ 5.1]

IDENTITY OF SELLER OR MANUFACTURER .................. 117

II.

     [§ 5.2]

TYING DEFECT TO TIME OF SALE OR DISTRIBUTION 117

III.

EVIDENCE OF DEFECT ..................................................................... 118

A.

     [§ 5.3]

Direct Evidence of Precise Defect Usually Required..................... 118

B.

     [§ 5.4]

When Circumstantial Evidence of Defect May Suffice................... 122

C.

     [§ 5.5]

Potential Sources of Proof of Defect............................................ 123

1.

          [§ 5.6]

Physical and chemical qualities .............................................. 123

2.

          [§ 5.7]

Surrounding circumstances .................................................... 124

3.

          [§ 5.8]

Standards, regulations and statutory compliance .................... 125

4.

          [§ 5.9]

Modifications and repairs ...................................................... 126

5.

          [§ 5.10]

Recall data ........................................................................... 127

IV.

     [§ 5.11]

CAUSATION ............................................................................ 127

A.

     [§ 5.12]

In Fact........................................................................................ 128

B.

     [§ 5.13]

In Law........................................................................................ 131

C.

     [§ 5.14]

Intervening, Superseding Cause.................................................... 132

Chapter Six

Defenses Raised on Preliminary Motion

I.

     [§ 6.1]

PERSONAL JURISDICTION .................................................. 139

A.

Constitutional Considerations.................................................................... 140

1.

          [§ 6.2]

Personal jurisdiction in products liability before
World-Wide Volkswagen ..................................................... 140

2.

          [§ 6.3]

World-Wide Volkswagen Corp. v. Woodson ....................... 141

3.

          [§ 6.4]

General jurisdiction v. specific jurisdiction .............................. 142

4.

          [§ 6.5]

Asahi ................................................................................... 143



B.

     [§ 6.6]

Maryland State Law.................................................................... 145

C.

     [§ 6.7]

Maryland Federal Cases.............................................................. 148

II.

SUBJECT MATTER JURISDICTION ............................................... 149

A.

     [§ 6.8]

Maryland Law............................................................................. 149

B.

     [§ 6.9]

Federal Law................................................................................ 149

III.

SERVICE OF PROCESS ...................................................................... 150

IV.

VENUE ................................................................................................... 151

A.

     [§ 6.10]

Maryland Law............................................................................. 151

V.

FORUM NON CONVENIENS ............................................................ 152

A.

     [§ 6.11]

Maryland Law............................................................................. 153

B.

     [§ 6.12]

Federal Applications.................................................................... 153

VI.

REMOVAL ............................................................................................ 155

A.

     [§ 6.13]

Maryland‑Removal from County to County.................................. 155

B.

Removal from State to Federal Court........................................................ 156

1.

          [§ 6.14]

Generally .............................................................................. 156

2.

          [§ 6.15]

Removal procedure .............................................................. 156

3.

          [§ 6.16]

Right to removal ................................................................... 158

VII.

     [§ 6.17]

CHOICE OF LAW .................................................................... 160

A.

     [§ 6.18]

Constitutional Restraints on Choice of Law................................... 160

B.

Maryland Choice of Law Provisions.......................................................... 161

1.

          [§ 6.19]

Tort causes of action ............................................................ 161

2.

          [§ 6.20]

Contract causes of action and breach of warranty .................. 163

3.

          [§ 6.21]

Renvoi ................................................................................. 163

Chapter Seven

Substantive Defenses

I.

     [§ 7.1]

ASSUMPTION OF RISK ......................................................... 167

A.

     [§ 7.2]

The Defense Generally................................................................. 167

B.

     [§ 7.3]

Compared with Contributory Negligence...................................... 168

C.

     [§ 7.4]

The Primary/Secondary Categories Rejected................................ 169

D.

     [§ 7.5]

The Elements of the Defense........................................................ 170

1.

          [§ 7.6]

Knowledge of the risk .......................................................... 170

2.

          [§ 7.7]

Appreciation of the risk ........................................................ 171

3.

          [§ 7.8]

Voluntarily confronting the risk .............................................. 171

E.

     [§ 7.9]

The Defense in Products Liability Actions..................................... 172



II.

CONTRIBUTORY NEGLIGENCE ..................................................... 174

A.

     [§ 7.10]

Generally..................................................................................... 174

B.

     [§ 7.11]

Elements of the Contributory Negligence Defense......................... 175

C.

     [§ 7.12]

Exception.................................................................................... 175

D.

Application to Maryland Products Liability Actions.................................... 176

1.

          [§ 7.13]

Negligence theory ................................................................. 176

2.

          [§ 7.14]

Strict liability theory .............................................................. 177

3.

          [§ 7.15]

Breach of warranty theory .................................................... 177

III.

     [§ 7.16]

MISUSE ..................................................................................... 178

IV.

     [§ 7.17]

ALTERATION .......................................................................... 182

V.

SPOLIATION ........................................................................................ 184

A.

     [§ 7.18]

Maryland State Cases.................................................................. 184

B.

     [§ 7.19]

Federal Cases............................................................................. 186

VI.

     [§ 7.20]

GOVERNMENT CONTRACTOR DEFENSE ......................... 188

A.

     [§ 7.21]

Elements...................................................................................... 188

1.

          [§ 7.22]

Government‑approved, reasonably precise specifications ...... 190

2.

          [§ 7.23]

Compliance with specific