Question
Washrite Industries manufactures washing machines and dryers. It had to recall the Blue Monday line of washers and dryers two years ago. Both the washer
Washrite Industries manufactures washing machines and dryers. It had to recall the "Blue Monday" line of washers and dryers two years ago. Both the washer and dryer had inadequate insulation in a wiring harness and tended to short out and catch on fire. The remedy was the replacement of the wiring harness, that cost about $1 plus labour. Washrite relied on its independent installation contractors to handle the recall. Sam and Helen bought their "Blue Monday" washer and dryer brand new about two years ago and had it installed by M.I.A. Service Ltd, an authorized installation contractor for Washrite. Based on these facts, choose the correct statement:
a.M.I.A. Service Ltd, the authorized installation contractor, is solely responsible for any injuries or damages resulting from the faulty "Blue Monday" washer and dryer installation. Washrite Industries bears no liability.
b.Sam and Helen are not entitled to any compensation because they did not directly purchase the "Blue Monday" washer and dryer from Washrite Industries. They could look to M.I.A. for compensation.
c.Sam and Helen may have a valid product liability claim against both Washrite Industries and M.I.A. Service Ltd.
d.Since the wiring harness replacement only costs about $1 plus labor, Sam and Helen are only entitled to a maximum compensation of $10 because there is an upper limit of 10 times the replacement value for torts involving product liability.
e.Since the recall took place two years ago, Sam and Helen have missed the deadline to file a product liability claim against Washrite Industries.
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