Explain the Concept of Privity of Contract as It Relates

question 15

Essay

Explain the concept of privity of contract as it relates to products liability theory and how the concept has evolved since MacPherson v. Buick Motor Co.

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Definitions:

Separating Responsibilities

A risk management technique that involves dividing tasks and authorities among different individuals or groups to reduce the risk of error or fraud.

Control Procedure

Specific actions or steps taken to achieve desired outcomes in managing risks, ensuring accurate reporting, and complying with policies and regulations.

Purchasing

The process of sourcing and acquiring goods and services needed by an organization.

Control Environment

The overall attitude of management and employees about the importance of controls.