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    Product Liability May Extend to Trademark Licensor

    May 30, 2007

    In a recent case brought under Indiana’s Product Liability Act, the Indiana Supreme Court found that those who license their trademarks for use on products that cause injury may be liable for negligence proportionate to their role in the product’s design, manufacturing, and distribution. The case concerned an umbrella that Plaintiff received as a free gift for purchasing one of Defendant’s products. Plaintiff claimed the umbrella, which was manufactured by a third party but bore Defendant’s trademarked logo, was defective and caused Plaintiff injury. The court found that the placement of Defendant Licensor’s logo on the umbrella was enough to consider it an “apparent manufacturer” under a negligence theory. The court left the process of sorting out the comparative fault to the jury.

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