The Restatement (Third) of Torts on Product Liability States That

question 263

Multiple Choice

The Restatement (Third) of Torts on product liability states that the producer of a product may be liable for defect except in which case:

• A) the producer failed to use a reasonable alternative design that would have produced greater safety
• B) producer failed to provide reasonable instructions of foreseeable risks
• C) product contains a defect even if all possible care was used in making the product
• D) producer advertised features of the product that violated federal safety standards
• E) all of the other choices are correct

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Definitions:

Goldsmith

A craftsperson skilled in making items of gold.

Ownership Transfer

The process by which the legal rights to an asset are transferred from one party to another, often involving formal documentation.

Fractional Reserve Banking

A banking system in which only a fraction of bank deposits are backed by actual cash on hand and available for withdrawal, enabling banks to lend out more money than they hold.

Federal Reserve Banks

The 12 regional banks that, along with the Board of Governors, make up the Federal Reserve System, serving as the central banking system of the United States.