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Blitz USA on the verge of Bankruptcy

Started by erfalf, May 25, 2012, 01:01:05 PM

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erfalf

Not sure where to put this, but on the news last night they were urging lawmakers to come to their rescue so...

Blitz USA produces around 75% of all portable gas cans. You know, the little red plastic cans and such. They are in the midst of several lawsuits where it is alleged the the cans exploded and caused injuries. All cases, the injured were in the process of pouring gasoline on a fire and the cans exploded (duh!). I'm no lawyer, but I recall a few things from my business law class in college. I don't understand how Blitz USA could be liable for these injuries. In my opinion, there would have to be something actually faulty with the product, which they are claiming. Regardless of whether or not the product had the necessary warnings on it (which Blitz claims they did), could a judge not just say that these people did something that is known to cause serious injuries regardless of the product holding the gasoline.

I don't know, this just seems wacky to me.
"Trust but Verify." - The Gipper

DTowner

Even if they prevail in litigaton and defeat these claims, they are still stuck paying the legal fees.  Second, there is always a danger that despite the warnings on the cans and despite the stupidity of the injured, the right sympathetic facts in front of the right jury can result in a giant damage award.

nathanm

Quickest way to eliminate most product liability suits: single payer health care. It's amazing how much suing people do when they come to realize they're facing a couple of million dollars in medical bills before they die and they know they don't have the money.
"Labor is prior to and independent of capital. Capital is only the fruit of labor, and could never have existed if labor had not first existed. Labor is the superior of capital, and deserves much the higher consideration" --Abraham Lincoln

Red Arrow

Quote from: erfalf on May 25, 2012, 01:01:05 PM
Not sure where to put this, but on the news last night they were urging lawmakers to come to their rescue so...

Blitz USA produces around 75% of all portable gas cans. You know, the little red plastic cans and such. They are in the midst of several lawsuits where it is alleged the the cans exploded and caused injuries. All cases, the injured were in the process of pouring gasoline on a fire and the cans exploded (duh!). I'm no lawyer, but I recall a few things from my business law class in college. I don't understand how Blitz USA could be liable for these injuries. In my opinion, there would have to be something actually faulty with the product, which they are claiming. Regardless of whether or not the product had the necessary warnings on it (which Blitz claims they did), could a judge not just say that these people did something that is known to cause serious injuries regardless of the product holding the gasoline.

I don't know, this just seems wacky to me.

Pouring gasoline on a fire is just plain not too intelligent.  That issue aside:

I just checked our gas "cans" and they are made by Blitz.  They are non-vented, probably to prevent gasoline vapors from escaping to the atmosphere.   When the temperature is warm, even like today, the vapor pressure of the gasoline causes the gas can to get pressurized.  If you don't vent it first with the outlet up so no gasoline can come out, you will be filling your mower or whatever from a pressurized container.  Gasoline will come out faster than you think it will for at least a bit.  When it is cold out and the can is less than full, the gasoline and vapors cause the gas can to cave in some.  There are some pretty short radius bends in the plastic.  So far the creases have not been permanent  but they do concern me that the plastic is getting over stressed and weakened for the next pressurized cycle.   I don't like the present  product at all.
 

Red Arrow

Quote from: nathanm on May 25, 2012, 03:22:34 PM
Quickest way to eliminate most product liability suits: single payer health care. It's amazing how much suing people do when they come to realize they're facing a couple of million dollars in medical bills before they die and they know they don't have the money.

Don't count on it.  I used to work in the machine tool industry.  One way to put Johnny or Susie through college was to "accidently" cut of a finger or two and then sue the tool manufacturer for product liability.  Just getting your medical bills taken care of won't put the kids through school. 
 

nathanm

"Labor is prior to and independent of capital. Capital is only the fruit of labor, and could never have existed if labor had not first existed. Labor is the superior of capital, and deserves much the higher consideration" --Abraham Lincoln

Red Arrow

#6
Quote from: nathanm on May 25, 2012, 03:56:43 PM
And how often does this happen?

I remember it being enough of a problem compared to legitimate accidents that my former employer fought them in court even though it typically cost more than settling.  I don't have any exact numbers.


Edit:  I should clarify that what I called legitimate accidents still involved removing safety devices or not operating the equipment in a responsible manner.  I called them "legitimate accidents" because they weren't intentional.
 

Conan71

Quote from: nathanm on May 25, 2012, 03:22:34 PM
Quickest way to eliminate most product liability suits: single payer health care. It's amazing how much suing people do when they come to realize they're facing a couple of million dollars in medical bills before they die and they know they don't have the money.

You planted that as a joke, right?

Or did you take Friday off and turn it into a Fry day?
"It has been said that politics is the second oldest profession. I have learned that it bears a striking resemblance to the first" -Ronald Reagan

Teatownclown

Good point, Nate.

Never thought of single payer curtailing tort cases. Makes sense.

nathanm

Quote from: Conan71 on May 25, 2012, 09:49:07 PM
You planted that as a joke, right?

Many, if not most, states already have caps on noneconomic damages. The only way to get a "big payday" is on the basis of future medical bills. Since we don't have any way to award "all future medical bills caused by this tort," plaintiffs have to estimate rather high or risk running out of money for care later in life. It's not much different than health insurance costs causing downward pressure on wages (or employment). It's just another of the unintended consequences of forcing everyone to fend for themselves for health care.
"Labor is prior to and independent of capital. Capital is only the fruit of labor, and could never have existed if labor had not first existed. Labor is the superior of capital, and deserves much the higher consideration" --Abraham Lincoln