Can a comp[any be held liable for damages from a defective (and known defect) product. Damage was from flooding basement.

Question Details: I would like to know if a company can be held liable for damages for a defective product they sold. About a year ago, I had a bathromm installed in my basement. Because it was in a basement, it required a holding tank with a pump activated by a float switch. When the level would get high enough, the float switch was supposed to turn the pump on to pump the effluent into the regular septic system. Well, the float switch failed and resulted in a flood of the bathroom. Now, I find out directly from the manufacturer that the product was defective and they knew they had a batch of defects out there. This will cost several thousand to replace and clean and rebuild the area where flooded. Is this something I can go after them for?

Asked 10/20/2009 under Insurance Law | 202 View(s) | More Legal Topics

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Insurance Law Law Answers

I am not admitted in Massachusetts. 

Your question is not a simple one to answer.  Product liability encompasses both products that are designed improperly (design defects) and just a bad one of the batch (product defect).  It is hard to tell from your question which category the float switch falls in to.  There are also notice issues (their knowledge of the defect), etc.  Product liability cases can be very tricky and costly.

Did you report the loss to your insurance company,?  I hope so. Did your insurance cover the loss?  If so, then your insurance company can subrogate the claim and sue to have the money paid out.   I would seek legal counsel in your are as to your options.  Good luck.

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