Advice in relation to scope of warranties for defective products
Our client (the manufacturer of a widely used building product) requested advice as to the scope of its warranties, an analysis of its liability policy against strict legal obligations and its legal exposure in order to assist it in determining an appropriate action. By analysing our client's various warranties against current product liability laws and historical information in relation to claims made by consumers, it was determined that our client could reduce its financial burden of the claims.
Claim for loss arising from the recall of a defective food product
Our client manufactured a product on behalf of another major food company. Following a recall of the product, the food company is claiming from our client extensive recall costs and lost profits. Our client's insurers have been notified and we are working through a number of issues with the insurers. Expert reports will be obtained to determine the exact source of the contaminants which will allow us to assess whether our client has a claim against others. We are also meeting with the claimant to see if an acceptable commercial settlement of the claim can be achieved before any proceedings are issued.
Claim for loss arising from alleged malfunction of shearing product
This claim relates to an injury common amongst shearers for many years. A finding of liability could result in further personal injury actions by shearers. A variety of causes of action have been pleaded. We have instructed the world-leading expert and retained experienced counsel. Early analysis of the law and facts will place us in the best possible position to determine the best course of action for our client as litigation progresses.
Claim for loss arising from defective design and system for a coal loading facility
This was a significant business interruption infrastructure repair claim. It arose from the defective design and loading system of a coal operation. The client’s right to rely on an indemnity was governed by a complex legislative trail. A settlement was reached early and for a figure 30% greater than the client’s base settlement position. We sourced the best engineers to provide expert opinion.
Claim for loss arising from defective filtration bags in brewery baghouse
Our client installed a tailor made filtration system in the baghouse of one of its principal breweries. The bags used to filter air before it passes from the main chimney are not fit for purpose. This resulted in significant loss and damage to our client. Expert reports have been obtained and delivered with a statement of claim to the manufacturer’s insurers. Appropriate ADR avenues were explored with the insurers to seek to achieve an acceptable commercial settlement.
Claim for loss arising from defective prosthetic medical device
This claim involves a specific incidence of defect (following a previous product recall). However our client, an insurer, has a wide interest in ensuring similar defective products are not distributed for use elsewhere with consequent serious injury and damages claims. We have developed a two-tiered strategy with our client. First, to rigorously prosecute the specific claim against the relevant distributor of the defective product. Secondly, to liaise with the Therapeutic Goods Administration to seek to increase the level of scrutiny of these sorts of products, citing the specific case of failure.
Major product recalls
We advise many clients in the food, beverage and fast moving consumer goods industries about their statutory and common law product recall responsibilities including the preparation of recall manuals, protocols and the implementation of product recalls if required.
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