Products Liability in Argentina

Abstract

The United States is the birthplace of strict products liability, but the problems posed by defective products are an international phenomenon. In a world economy where a product may be assembled in one state, using components manufactured in a second state, and sold to a consumer living in a third, the development of choice of law rules for products liability combined with an understanding of the foreign law involved becomes essential. U.S. importers of foreign manufactured goods are concerned that they be indemnified by the foreign manufacturer for judgments against them in U.S. courts. U.S. manufacturers exporting abroad must concern themselves with the possibility of suits both in the U.S. and abroad. Insurance implications are critical as premiums for foreign products liability insurance may fluctuate dramatically as the foreign law develops.1 Almost all of the comparative literature on products liability has focused on developed Western nations. This is not surprising given the link between products liability issues and economic development. There is much less need to worry about the dangers posed by hidden defects when most goods are simple and are purchased directly from the producer. But there is no nation in the world today so primitive as not to have to deal with products liability issues. The social need for a body of law dealing with products liability is greatest in the less developed countries. The export of hazardous food, drugs and pesticides to less developed countries which have been banned from sale in the U.S. has received widespread publicity.2