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ARTICLE · 07 JANUARY 2015

Class Action Lawsuits – Risks And Mitigation Strategies For Component Manufacturers

Manufacturers of components incorporated into consumer products increasingly find themselves involved in product liability class action lawsuits.

United StatesConsumer Protection

Manufacturers of components incorporated into consumer products increasingly find themselves involved in product liability class action lawsuits. Manufacturers can be drawn into these types of lawsuits when their own customer (the end manufacturer of the final product) gets sued and comes knocking on the manufacturer's door. Manufacturers also may be named as defendants directly by the plaintiffs. Being named in a consumer class action lawsuit sometimes can come as a shock to a manufacturer that has no direct relationship with the end consumers. However, in some jurisdictions, a manufacturer can be held liable in certain circumstances.

Class action lawsuits are a form of lawsuit provided for under the law of most jurisdictions. Class action lawsuits allow a small number of representative plaintiffs to sue on behalf of a much larger class of individuals. Class action lawsuits are particularly notable because, even if the individual claims are relatively small, the

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