When a company hires a manufacturer to create its products, it must be sure the product contains the proper warning labels and instructions so consumers are aware of any dangers the product might carry when used as intended or inappropriately. For example, a medication should provide a consumer with the side-effects it could cause just as a hairdryer should bear a warning that lets consumers know it could lead to electrocution when placed near water. If a company fails to ensure the products they are selling don’t sufficiently warn consumers of their potential hazards, that company could become the subject of a product liability lawsuit.
And no business owner wants that!
The fact is, all products must meet the labeling and warning requirements that apply to the category their product falls in. For example, if a company was selling cosmetics, they would need to be sure the labels, markings, and the product itself adhere to the regulations set forth by the Food & Drug Administration. Companies that sell children’s sleepwear must ensure their product is in compliance with the Consumer Product Safety Commission. As challenging as it might sound, it can be done with the right team of professionals.
What if a company private labels its products?
Although private labeling has become a more convenient way for business owners to get products into the hands of their customers, it doesn’t come without liability. Before a company decides to use another company’s product and place their label on it, they need to be sure the company is following all regulations and is providing consumers with the proper warning and instructions.
The Downfalls to Not Doing Research Before Purchasing a Product to Sell
If a company fails to ensure the product they are selling, regardless of where it is being made, adheres to federal regulations, it could be hit with a product liability lawsuit if a customer were to become injured by the product or develop health issues as a result of using it. Without the proper labeling and warning, a consumer who has been harmed by a product could argue that the warning was “inadequate, inappropriate, misleading, or confusing,” according to Travelers Insurance which could serve as the basis for a civil lawsuit.
How can businesses in Albany, NY safeguard themselves from product liability lawsuits?
Although anyone has the legal right to bring a lawsuit against a business in Albany, a company stands a better chance of winning their case when they have an Albany, NY business attorney looking out for their best interest, which includes reviewing contracts with manufacturers. To connect with a business lawyer in Albany, NY who is qualified and capable of helping business owners protect themselves from liability lawsuits, contact The Towne Law Firm, P.C. at 518-452-1800.
The Towne Law Firm, P.C. can be reached at:
450 New Karner Road
Albany, NY 12205