Liability for Defective and Dangerous Imported Goods

The last ten years has seen a steep increase in the importation of goods from all over the world, especially China. All too often, importers assume that the foreign companies they buy their products from will bear responsibility/liability for any defect in the imported goods in the event of a product liability claim. The foreign manufacturing company will indemnify the importer only if the foreign company has a product liability policy. Even with this, the importer may have to sue at the foreign country to take advantage of the foreign company’s product liability policy.

In practice, the importer has a responsibility to ensure that any product brought into the country is safe for public use. It is therefore not a defense to a product liability suit that the importer did not in good faith know about the defect in the goods. Thus, it is very important that the importer takes steps to inspect the products thoroughly to make sure there are no defects. Professionals may be hired to inspect for any latent defects. Also, it is important to find out about the product liability policy of the manufacturers. The importer should also consider taking out its own product liability policy in the country where the goods would be sold.