Product Liability

question 40

Multiple Choice

Product liability:

• A) is a doctrine in the body of common law known as the law of torts.
• B) cases are always based on negligence.
• C) was not a progressive part of the law until the 1960s.
• D) cases are always based on strict liability.

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Definitions:

Safety Inventory

The stock of goods or materials kept on hand to protect against variations in demand or supply.

Lumpy Demand

Demand characterized by unpredictable fluctuations and variability, often challenging for businesses to manage effectively.

Safety Stock

Extra inventory held by a business to protect against stockouts due to variability in demand or supply chain disruptions.

Fill Rate

A performance metric that measures the percentage of customer demand that is met without backorders or stockouts.