How does the law distinguish between product manufacturers and product distributors?

Product manufacturers are responsible for designing and manufacturing the products that are sold and used by consumers. Product distributors are businesses or individuals that purchase the products from the manufacturer and then resell them to retailers or consumers. Under Oregon law, product manufacturers are strictly liable for any product-related injuries caused by their products, meaning they may be held liable regardless of fault. This means that the manufacturer is responsible for any damages suffered by third parties due to the product’s design, manufacturing, or marketing. Product distributors, however, are generally only liable if they are negligent or have been made aware of a particular defect in the product. If a distributor is aware of a defect yet continues to sell the product, they may be held liable for any resultant damages. In order to distinguish between manufacturers and distributors, Oregon courts look at a variety of factors, including the nature of the relationship between the two parties, the knowledge of the risk or defect of the product, the marketing of the product, and the duty each party has to warn or inform consumers of any potential risks or defects. Therefore, product manufacturers and distributors can be held liable for different reasons and in varying degrees depending on the facts of a particular situation.

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