Question
Custom Design, LLC, a bioengineering start-up, has invented its first new product, an organic polymer that is biodegradable for use in disposable plastics and styrofoam.
Custom Design, LLC, a bioengineering start-up, has invented its first new product, an organic polymer that is biodegradable for use in disposable plastics and styrofoam. Custom Design filed Articles of Organization in and is headquartered in North Carolina where it conducts its operations. It is member-managed by two members, Tom Smith and Sarah Swenson. There are 5 additional members. All members live in North Carolina. Custom Design has invented the polymer but is not marketing it, since Custom Design is in the business of inventing compounds and has no product marketing experience.
BowMark, Inc,. a multinational conglomerate traded on the New York Stock Exchange, is incorporated in Delaware and headquartered in Texas. BowMark supplies plastic and Styrofoam cups, plates and utensils to hotels, sports arenas and other commercial clients in all 50 states.
BowMark and Custom Design enter into a limited partnership, BioProducts LP, to market the new polymer. BowMark will be the general partner and Custom Design will be the limited partner in the joint venture. The Certificate of Limited Partnership for BioProducts LP is filed in North Carolina.
Custom Design gives BioProducts LP a license to use the new polymer. BowMark and Custom Design jointly make all decisions for BioProducts. BioProducts begins production and sales, primarily via a website where customers can review the product and place orders. Unfortunately, the polymer turns out to be toxic and a customer residing in Arizona has suffered severe injuries.
Which parties are potential defendants that the customer can sue? Which of the potential defendants can be sued in Arizona? Explain your reasoning.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started