Rim Corporation makes tire rims that it sells to Superior Vehicles, Inc., which installs them on cars. One set ofrims is defective, which an inspection would reveal. Superior does not inspect the rims. The car with the defectiverims is sold to Town Auto Sales, which sells the car toUri. Soon, the car is in an accident caused by the defective rims, and Uri is injured. Is Superior Vehicles liable?Explain your answer. (See Strict Product Liability.)
Rim Corporation makes tire rims that it sells to Superior Vehicles, Inc., which installs them on cars. One set ofrims is defective, which an inspection would reveal. Superior does not inspect the rims. The car with the defectiverims is sold to Town Auto Sales, which sells the car toUri. Soon, the car is in an accident caused by the defective rims, and Uri is injured. Is Superior Vehicles liable?Explain your answer. (See Strict Product Liability.)
Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment
Section: Chapter Questions
Problem 1CE
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Rim Corporation makes tire rims that it sells to Superior Vehicles, Inc., which installs them on cars. One set of
rims is defective, which an inspection would reveal. Superior does not inspect the rims. The car with the defective
rims is sold to Town Auto Sales, which sells the car to
Uri. Soon, the car is in an accident caused by the defective rims, and Uri is injured. Is Superior Vehicles liable?
Explain your answer. (See Strict Product Liability.)
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