Staying mindful of legal concerns that could affect the company is a part of what successful entrepreneurs do every day. Defective product liability matters can affect all parties within the supply chain, so maintaining good control over quality control at all levels can help companies avoid lawsuits that involve injuries from using your product. Business owners must take an active role in ensuring that all suppliers understand their responsibility in producing items that are safe for the public to use. Here are a few ways you can protect yourself from defective product liability lawsuits.
1—Provide Warnings For Users Of Your Product
Companies that produce or distribute devices that could potentially cause injury should always provide extensive warnings to alert consumers of the hazards of operation. Although giving these instructions may seem obvious, or even foolish, it can help to protect the company from legal liability in the case of malfunction or misuse.
2—Review Your Suppliers Periodically
If you contract with other companies to supply parts for your product, you should do a regular review of their sources and processes to ensure that they comply with your quality control standards. This area can become a problem when a company makes changes that affect their suppliers. Stay in close touch with the companies that supply materials and parts for your product to ensure that they understand your quality needs.
3—Purchase Product Liability Insurance
Talk to your insurance professional about defective product liability coverage. This type of insurance will cover your legal expenses if an injury lawsuit occurs and can help to protect your company’s financial health if a lawsuit results in a settlement agreement. Even if you think that there will never be a case when you need it, it is better to have it just in case.
4—Get Experienced Legal Counsel
If the research on the device produces evidence of past problems with defective product liability on similar items, or if you are faced with a legal claim, get in contact with a legal professional like those at Bellotti Law Group, P.C. The attorney will help you to understand your part in these legal cases and what you can do to fix the problem in the future.
Protecting the company against legal claims is a part of the work every entrepreneur must do. The safety of the public should always be paramount, because it can have a devastating effect on individuals and can cause significant expense to the company. If you put these strategies into effect, you will ensure that the stability of your company is assured. You can then put your energy into growing your business and providing goods and services the public needs.
Author Bio: Emma Sturgis is a freelance writer living in Boston, MA. When not writing, she enjoys reading and indoor rock climbing. Find her on Google +