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Product Recalls are on the Rise

July 12, 2018 | 3 min read

In the United States alone, a product is recalled every single day on average, according to research from global insurance giant Allianz. These recalls run the gamut of consumer goods, from motor vehicles to snack foods. And they are on the rise.

In fact, the Allianz data shows that “Defective product and work-related incidents have caused insured losses in excess of $2 billion over the past five years and both the size and number of recalls are set to increase.”

The most recalled products are automobile and auto parts, food and beverages, and electronics. Auto-related incidents make up nearly three-quarters of all product recalls.

If you have been injured by a defective product, do not wait to get help. Reach out to a Phoenix product liability attorney as quickly as possible.

Why Recalls are Increasing

According to the Allianz researchers, there are a number of factors driving the growth in consumer product recalls, such as:

  • Increased product safety regulations
  • Complex and consolidated supply chains
  • Technological advances in product testing procedures
  • Identification of new pathogens
  • Economic pressures placed on manufacturers
  • Increased consumer awareness
  • Greater pressure on retailers and equipment manufacturers

In 2016, more than 53 million vehicles were recalled from the market, a record high. In fact, auto-related incidents make up roughly 70 percent of recalls. As these products become increasingly complex and involve more and more parts, the odds of something going wrong gets higher. Automakers have to cut testing times to get new models on the market quicker while facing increased cost pressure from both shareholders and consumers.

The largest – and still ongoing – recall in history involves the Takata airbags, which feature inflators that can explode on deployment, seriously injuring drivers and passengers. The recall effort has already included 37 million vehicles in the United States and sent the manufacturer to bankruptcy.

Arizona Product Liability Law

Arizona lawmakers have passed legislation to protect consumers from dangerous products that have design or manufacturing defects.

Arizona allows product liability based on negligence, strict liability, or breach of warranty. Generally speaking, Arizona law requires that plaintiffs prove the manufacturer and/or retailer sold a product that was unreasonably dangerous, and that product caused injury and/or property damage. These claims are either based on a defect in the product design or manufacturing, or injury resulted from a defendant’s failure to warn or include proper instructions for use.

But Arizona does place a limit on damages through what is called pure comparative negligence. This allows plaintiffs to recover damages even if they share responsibility for an injury. In turn, damages are reduced in relation to the injured party’s share of the fault. For example, if your injury from a product is determined to be $100,000, but you share half the blame – maybe you used the product improperly – your compensation would only be $50,000.

It is critical to note that if you have been hurt by a defective product, you only have two years from the date of your injury to seek compensation. Do not waste time – get in touch with Burg Simpson Arizona so you can talk to a defective product attorney about your situation. Call us at 602-777-7000 or complete our Free Case Evaluation Form right now.