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Defective Products & Liability

• Toy Dart Gun Playset Recalled
• Hunting Gear Could Cause Serious Fall

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Latest News

• Professor Challenges Stated Cause of Toyota's Unexpected Acceleration...Posted on 3/9/2010
• Defective Toyota Accessories May Be To Blame For Crash...Posted on 3/3/2010

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Defective Products & Liability

• Recognize the Symptoms of Lead Exposure from Children’s Toys
• Shopping Centers and Premises Liability (Part A)

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Latest News

New Chrysler Not Responsible for Product Liability Claims

A new company was formed following Chrysler’s bankruptcy, known as Chrysler Group LLC, which is controlled by Italy’s Fiat.  This new company will not be responsible for product liability claims.

According to Chrysler spokesman Mike Palese, “all bankruptcies are not alike, and in Chrysler’s bankruptcy the ability to form a new company free from the product liability burden of the old company was essential to the new company’s survival.”

A new company controlled by Fiat took over Chrysler in a government-backed deal, but it will not be assuming responsibility for past or future product liability lawsuits from Chrysler, Dodge or Jeep vehicles.

The new Chrysler is protected from pending product liability lawsuits that involve vehicles produced and sold before they filed for bankruptcy.  However, consumers who have already filed lawsuits against Chrysler can pursue their case against the old company that only hold some assets and liabilities, which means there is limited recovery.

University of Michigan law professor John Pottow, believes that “Fiat can say ‘look, we never built these cars, so why should we be held responsible.’”

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