Business Law

Here is some of what I'll be dealing with on my exam today:

1) Broken Bike. Mike's Bikes, Inc., a Delaware corporation, sells mail-order bicycles and bicycle parts from its warehouse in to customers living in all fifty states. Pam purchased a new bicycle chain from Mike's Bikes that Mike’s delivered to Pam's home in Oklahoma. A company in New Jersey manufactured the bicycle chain. After three days of normal use the chain broke while Pam was riding her bicycle. When the chain broke Pam lost control of her bicycle, fell, and broke her arm.

Who can Pam sue for the injuries suffered when the bicycle chain broke?
What court or courts would be able to take jurisdiction of Pam's lawsuit or lawsuits?

2) Pothole Shatters Windshield. ABC manufactures replacement windshields for automobiles. Custom Glass purchases windshields from ABC Custom Glass and tints the windshields before reselling them to auto body shops. Custom’s tinting process uses a chemical that causes the glass to turn so brittle that any hard jolt will cause the glass to shatter. Mary had a windshield manufactured by ABC, tinted by Custom Glass, and installed by Big Town Auto Body. While driving, Mary hit a large pothole in the road. The jolt from hitting the pothole was sufficiently severe to cause her windshield to shatter. The shards of shattered glass caused injury to Mary and to her passenger, John. Mary and John sued ABC, Custom Glass and Big Town Auto Body.

Discuss the product liability theories under which John and Mary might recover from the three defendants.