Question

a) For which contract types does the Uniform Commercial Code either require a record or they must be written?

b) What actions (list as many as you can think of) can a company take to limit its exposure to claims of product liability?

Answer 1

a) For which contract types does the Uniform Commercial Code either require a record or they must be written?

In certain transactions under the UCC, written contracts are only needed. A law requiring a contract to be in writing in legal lingo is known as a fraud statute. The UCC also requires into consideration that trade agreements are often unwritten and do not usually involve written contracts. The UCC usually involves written contracts in only a few cases, such as certain contracts for the purchase of products under UCC Article 2 certain lease contracts for products under UCC Article 2A; and also treaties creating a sort of safety interest for private property where the property is not owned by the guaranteed parties or also referred to as a safety interest in private property. The UCC also exempts from more general contract law a particular sort of securities contract that would require that such a contract be written otherwise. The UCC needs that, in general, a written agreement be entered into to sell products with a value of 500 dollars or more. The UCC requires any lease that requires a $1,000 or more complete payment in writing. Agreements that create a security interest are also required to write.

b) What actions (list as many as you can think of) can a company take to limit its exposure to claims of product liability?

Product developers, producers and vendors are seriously concerned with product liability allegations. In many instances, the organisation presents the largest prospective danger. For faulty goods, the product liability laws apply. Product liability is nothing but the responsibility of the manufacturer or vendor for the damage caused by this defect, irrespective of whether it is liable for the defect. Some of the actions for reducing or protecting the company from such product liability claims can be

Testing: Products should be regularly tested at every point in the manufacturing cycle from prototyping to manufacturing quality assurance to guarantee no faults occur.
Source assessments: retailers, retailers and producers using component components should all be diligent in their understanding and confident in their products.
Upstream Sources compensation: commercial organizations throughout the supply chaincan (and should) contract with their product sources to guarantee that manufacturers and designers are ultimately held financially responsible for any wrongs.
Proper Packaging Divulgements: Warning labels may permit the sale, as mentioned above, of products that are otherwise hazardous.
Limited Consumer Warranties: in certain jurisdictions, laws enable supply chain members to reject certain consumer product warranties. These disclaimers may not preclude all claims for product liability, but may help reduce the damages if something goes wrong.
Final insurance: In the case of a significant product liability claim, all the members of the supply chain shall retain sufficient insurance cover to safeguard them. The nature of the policy and coverage boundaries depends on the item and your role in the marketing process.