Product Liability

Abstract

This is a case about the product liability lawsuit that was made in the year 2007 against the most popular toy manufacturing company, Mattel's Inc., the distribution company of that product named as Target corporation and against the Chinese manufacturers who manufactured this product that contained a dangerous lead paint that was proved to be a major risk to health of the children who will be using that toy. This paper will discuss the act of negligence performed by Mattel's and certain adaptations made by Mattel's to provide remedy to the affected family and also to overcome this problem.

Table of Contents

Company Overview4

Facts About Mattel's5

Product Safety Issues And Legal Liabilities6

Adaptation Made By The Company7

Recommendation8

Conclusion8



Company Overview

A many organizations are expanding their business functions around the globe, therefore it is equally important for them to also consider many of the significant features that should not be neglected when performing on a worldwide platform. The implication of these significant features also embraces those effects which are helpful in the outsourcing of production of respective products to different parts of the world along with certain consequences that might arise when selling desired products in different parts of the countries. On the other hand, among other important aspects of business operations in outsourcing their products, one vital aspect is the delivering of products of highquality that meets all the customer safety standards. In summer of the year 2007, Mattel, Inc., which is well known for the manufacturing of the largest toy making company and distributing company, came across the violation of standards of safe products when some of their manufactured toys that contained the trademark of Mattel's Fisher-Price were found to have hazardous lead paint within it. The famous product that are manufactured by Mattel, Inc includes, Barbie dolls, Matchbox toys, Fisher Price, American Girl Dolls, Master of the universe and even in the early period of 1980's, Mattel, Inc also made consoles of video games. The name of the company was derived from Elliot Handler and The summer of 2007 saw Mattel, Inc., one of the world's largest toy manufacturers and Harold "Matt" Matson, who established this company in the year 1945. Ruth Handler's wife became the president of the company and she is also recognized as the creator of product lines related to Barbie dolls in the year 1959. After the introduction of Barbie product line in its toys manufacturing list, Mattel made revolution within the toy industry as it introduced talking toys and dolls. Mattel Inc., shut down their one manufacturing unit in the year 2002 in United States of America that was the part of Fisher-Price division as they were outsourcing their production to China which was proved to be the beginning of a chain of events that eventually resulted in the occurrence of product liability lawsuit due to using dangerous paint in the manufacturing of toys. Currently the headquarter of Mattel, Inc., is in El Segundo, California, US and the current CEO is Bryan ...