Course: BUS 104-0509 | Intro to Business | Professor Buckler | Spring 2023

Legal Environment

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    • #16079

      Brielle Buckler
      Participant

      In today’s day and age, consumers of products and individuals are more likely to fault organizations when the products or services they buy do not meet their expectations. In many situations, a simple refund will suffice, but in situations where consumers feel they have been wronged or harmed by a product or service differing from promises or expectations, the threat of legal action may come into play.

      For this discussion, we will focus on a made-up dog food and treat company called Salty Pawz, owned by your hypothetical friend named Wanda.

      Here’s the scenario:

      Wanda is horrified when she sees a news report that some dog treats have been recalled because they have caused some dogs to get sick and even die. Wanda is very careful about her ingredients and uses only chicken, lamb, and bison that come from sustainable farms. Still, these headlines make her nervous. What if her dog treats make someone’s dog sick? What if a batch of her Chicken Cuties is somehow contaminated and a dog dies from eating them?

      Here’s what we’ll discuss:

      Wanda comes to you for advice, not as an attorney, but as someone who knows about the legal environment in business regarding her potential liability.

      • What kind of legal exposure does Wanda have, and how can she protect herself against lawsuits?
      • How much responsibility do you believe companies should have for the safety of their products?

      ———————————————————————

      In order to receive full credit for this assignment, all components of this assignment are due by 11:59pm ET on Sunday, March 5, 2023. You should first contribute a thoughtful post of your own before viewing/commenting on the posts of others. You must respond meaningfully to at least two classmates to receive full credit for this assignment.

      This assignment is worth a total of ten (10) points — 6 possible points for your original post, and up to 2 points for each of the two responses to your classmates’ posts. Please reference our Discussion Rubric for more information, and to this guide from MSSU to learn more about what it means to respond meaningfully to a classmates’ post.

      • This topic was modified 1 year, 7 months ago by Brielle Buckler. Reason: Republish
    • #16671

      Alyssa Apperson
      Participant

      A few things that Wanda can do to to protect herself from liability lawsuits are to hold harmless agreements which ensure that her contractors and suppliers are contractually responsible for their own negligence or errors in the case of a claim, she can continue to manage where she is sourcing her meats from and gain any necessary knowledge of the farms’ quality control, she can properly label the bags and warn of any hazards or risks, and she can keep records of batches as they come in from the farm and record purchases as she sells the specified batches. Some of it is out of Wanda’s hands as she is relying on the farm to source good, clean, sustainably produced meat. I think outsourcing is a huge risk but for a lot of companies, it would be more expensive and require unattainable resources to source in house. I think companies should be sourcing from clean, sustainable farms for food and while the grocery store is maybe indirectly responsible, as they are not growing, butchering the meat in house, they are still responsible.

      • #16706

        Roshanna Young
        Participant

        Hi Alyssa,

        I agree that certain things about the brand will be just out of her hands, she may not be able to be protected from everything.

        • #16707

          Emely Gutierrez
          Participant

          I totally agree! it’s really the what can she control VS what she can’t control. It’s hard running a business , especially when you are very careful towards what you put out.

      • #16717

        Adrian Forrester
        Participant

        I agree, many factors can be controlled but some can’t. Its a matter of being properly prepared for these situations. Labels and disclaimers are important in terms of having defense in a lawsuit. Products should be properly labeled with warnings about potential harms with consuming the product.

    • #16683

      Emely Gutierrez
      Participant

      Wanda cares very much towards the products she puts out and what specifically she puts out, she should make sure she has a good communication between her and her customers. Most of the work will be down behind closed doors. Which means she has to make sure research is being done towards where she’s getting her meats, even packaging. If these farms are who she trusts , there should be a legal document written between her and the people she’s sourcing her products from. Because it would’t be fair that she gets sued for something she does not intentionally mean to cause to these animals. Also going over once again with the farm she’s using on how they grow, what products they use, what do they do after its grown etc. That way in the document , every step is stated so she knows and her customers also.

      I believe that companies need to have FULL responsibility for the safety of their products. These are going into people’s bodies , animals bodies. Any product that people or animals should ALWAYS be double checked , researched before releasing. In Wanda’s case , are they sanitizing where they cut the meat ? Are they using gloves when do so ? Do they were masks ? Do they add any weird ingredients ?

      So many things goes into putting out products and a company should make sure they do just that. Why want a lawsuit when you could just give the customers/clients what they want and they can faithfully buy.

      • #16718

        Adrian Forrester
        Participant

        I agree, products should be tested and done right before being able to be purchased and put fin shelves. A company should definitely be responsible for harm caused to consumers due to their products.

      • #16720

        Nickos
        Participant

        Hi Emely,

        I completely agree with your sentiments regarding companies and full responsibility. I just wanted to offer a different perspective – I think a lot of times issues arise when companies begin to value profit over quality and begin to cut corners. In the instances that you mention such as sanitizing production area, using proper personal protection (gloves, hair nets, masks), adding weird ingredients – these are all areas that are easy for a company to cut corners with in order to save money. It is unfortunate – but I am sure it happens more often than we know.

      • #16727

        Juana Bazan
        Participant

        Hi Emely,

         

        I agree that businesses should hold a great number of responsibilities for their products. However, there will always be something that is out of their hands. But taking every precaution and safety regulation before releasing their products should decrease any potential harm to consumers.

    • #16699

      Randy Marte
      Participant

      Wanda’s exposure will depend on the circumstances for which she is blamed or sued about food, but dogs. If a dog becomes ill or dies due to one of your products, she will most likely have to face potential lawsuits from pet owners. This can result in legal fines, fines for damage, and the danger of damaging the company name. There are a few steps Wanda can take to protect herself against these lawsuits. Obtaining liability insurance, keeping your products under quality control and testing, and checking that all products have safety regulations. In addition, it would be advisable to add warning labels and instructions. This way any kind of danger that your products may bring will be on the packaging label.
      Regarding the safety of different companies, companies have a legal and ethical obligation to ensure that all their products are safe for consumer use. Appropriate safety regulations, and promptly addressing any safety concerns that arise. Companies that fail to meet those requirements can face legal fines and reputational damage. Something that is impossible to do is eliminate all the things that can hurt an animal, you should try to keep all the regulations up to date so there is no problem. Companies have a great responsibility, and product safety is prioritized so consumers are safe.

      • #16708

        Emely Gutierrez
        Participant

        i completely agree. There are many ways Wanda can protect herself from everything. As long as she does what she needs to do on her end. The people she’s sourcing from should also do theirs. People with business NEED to keep up with everything they do with their products and how they produce them to ensure safety for everyone who purchases from them.

    • #16701

      Nickos
      Participant

      Through “duty of due care” consumers can target Wanda’s ability to have foreseen the potential harm behind her products. If she were to sell a batch that was undercooked, stored incorrectly, or used expired ingredients and did so knowingly, this can be seen as manufacturing defects. If she designed her treats in a harmful way, making them too hard or weirdly shaped and not testing for potential choking hazards, it can be considered a design defect. If her products do not list any warnings such as allergic reactions, choking hazards, and other potential negative health impacts, this could be considered as a failure-to-warn defect.

      In order to protect herself, Wanda must put in place strict quality control and thorough testing of her products to ensure their safety. She can implement quality measures with each of her batches to ensure they are consistent and safe. She needs to be diligent in listing out all her ingredients and their potential side effects. She should list clear use instructions as well as storage and handling to ensure her products remain fresh and safe. Her design of her treats needs to be done with thoughtful consideration for all dogs – big and small – to account for choking hazards and digestive issues. Lastly, she can purchase liability insurance and consult with liability legal experts to further prepare herself.

      I personally believe that companies should be held to a high standard for the production and safety of their products. Whether it is food, toys, electronics, personal care products, or anything else – a product should be well regulated and come with thorough testing and quality control. However, in a different perspective, I think consumers are also responsible for using the products according to instructions and need to be aware of potential hazards. You can do thorough testing of cars, seat belts, and crash safety measures – but you do not have control on whether or not a person will operate the vehicle drunk, decision to drive reckless, and lack of seat belt precautions. At the end of the day, both parties should be held accountable though the manufacturer must do their best to cover all potential hazards and safety concerns of their products.

    • #16704

      Roshanna Young
      Participant

      Legal exposure- Wanda can face strict liability if her dog food causes any harm. Wanna had the option to offer the families compensation to avoid lawsuits such as paying for any medical bills and for any funeral cost in agreement that they will not sue. Wanda also putting ingredients and any warning signs on the label can also be beneficial in her case.

      I believe that companies should have to take 100% responsibility for the safety of their products because it can have a huge impact on the lives of others and can even be fatal. Spending time researching should be a number 1 priority. The life of living things should matter more than money because you can’t get a life back.

      • #16722

        Shomari
        Participant

        I totally agree that its the companies responsibility for the safety of their products, they are taking compensation from their customers and should do all the amount of research to protect the company and the people who is supporting the company.

    • #16705

      Roshanna Young
      Participant

      Hi, Syed

      You gave such a clear, informative response to the topic. You made it very well organized and easy to understand.

    • #16711

      Adrian Forrester
      Participant

      Regarding Wanda’s legal exposure, she could potentially face lawsuits if her products harm pets or their owners. She could be held liable for any damages caused by her products, including medical expenses, loss of income, or emotional distress. Therefore, it’s essential for her to take necessary steps to protect herself against such lawsuits.

      To protect herself, Wanda should consider the following steps:

      Product Liability Insurance: Wanda should consider obtaining product liability insurance to cover any damages caused by her products.

      Compliance with Regulations: Wanda should ensure that her products comply with all relevant regulations, such as labeling and safety requirements.

      Quality Control: Wanda should implement a rigorous quality control program to ensure that her products are safe for pets and their owners.

      Proper Warnings: Wanda should include proper warnings on her product labels, informing customers about potential risks and how to use the products safely.

      Regarding the responsibility of companies for the safety of their products, companies have a significant responsibility to ensure that their products are safe for consumers. They should conduct proper testing and quality control to minimize any potential risks associated with their products. Companies should also provide adequate warnings to inform consumers about potential risks associated with using their products. Ultimately, companies must ensure that their products do not cause harm to consumers or their pets.

    • #16715

      Adrian Forrester
      Participant

      I agree, many factors can be controlled but some can’t. Its a matter of being properly prepared for these situations. Labels and disclaimers are important in terms of having defense in a lawsuit.

    • #16721

      Shomari
      Participant

      The legal exposures Wanda will experience depends on what the consumer are suing for. The possibilities are that Wanda can face is negligence, if she don’t have the proper manufacturing to release her products, not giving proper instructions on the amount of dog treats or the proper ingredients list on her products she can face lawsuit based on that. She can also face strict liability, if her companies dog treat was released to the public to buy but there was a batch of her products were defective, then she can face a lawsuit if that defective batch became harmful to consumers pets.

      She can protect herself by getting a liability insurance if she was not fully aware if her products is defective, she won’t lose alot of money form her business but she will at least be insured in the lawsuit. She also used warning labels and instructions for the consumer to follow so their pets go through any harm when the treat is consumed.

      I feel a company is fully responsible for the safety of their products, if they are the ones that is trying to sell a product for consumers and is taking compensation from their customers, then the company and their team should take the time to make sure that their product is safe and give the proper instructions to make sure the product is usable.

      • #16726

        Juana Bazan
        Participant

        Hi Shomari,

        Great work on breaking down the possible legal exposures that Wanda can face. I agree that Wanda should consider obtaining liability insurance for her business. Investing in liability insurance is a great way to avoid any potential lawsuit.

    • #16723

      Taylen Johnson
      Participant

      The extent of Wanda’s exposure will depend on the events for which she is held accountable about food, but not dogs. She will most likely need to prepare for possible legal action from pet owners if a dog becomes sick or dies due to one of your goods. Legal penalties, damage-related fines, and the risk of harming the company’s reputation could follow. Wanda has a few options for defending herself from these cases. acquiring liability insurance, maintaining quality control and testing on your products, and verifying that all products adhere to safety standards. It would also be a good idea to include warning labels and instructions. This way, any potential threat that your items may pose will be disclosed on the label of the box. Companies have a moral and legal obligation to make sure that all of their products are safe for usage by consumers when it comes to the safety of various businesses. appropriate safety rules, and fast resolution of any emerging safety issues. Businesses that don’t comply risk legal penalties as well as reputational harm. Eliminating everything that could harm an animal is a difficult task; instead, make an effort to keep all rules current to avoid any issues. Businesses have a big duty, and consumer safety is given priority above product safety.

    • #16724

      Juana Bazan
      Participant
      1. What kind of legal exposure does Wanda have, and how can she protect herself against lawsuits?

      Wanda is legally exposed to negligence if she fails to be cautious in manufacturing. Wanda is also exposed to strict liability if Wanda’s products can cause any harm to her customer’s pets and a Breach of warranty if Wanda’s products are falsely advertised to be safe and harmless.

      Wanda should definitely look into obtaining liability insurance for her business, adding warning labels and instructions on her products. In addition to ensuring her products meet safety regulations.

      1. How much responsibility do you believe companies should have for the safety of their products?

      Companies have a legal and ethical obligation to ensure their products are safe for consumers. I believe that companies have significant responsibility over their products.

      • This reply was modified 1 year, 5 months ago by Juana Bazan.
    • #16719

      Nickos
      Participant

      Hi Syed,

      Thanks for outlining your answer so well and it was very easy to follow! I agree with your sentiments, particularly the protection solutions you suggested. The liability insurance would protect her from potential lawsuits and the warning labels and quality controls are excellent precautions to put in place. Without these in place, it is definitely a lose-lose situation as you mentioned.

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