Product liability begins when a product does what?

Product liability relates to the responsibility of manufacturers, distributors, and retailers for injuries caused by their products. The idea behind product liability is that once a product is introduced into the stream of commerce, it holds potential liability for any harms that may arise from its use.

When considering when product liability begins, it is critical to recognize that liability typically arises when the product leaves the manufacturer’s control and enters the marketplace. This means that the moment the product leaves the insured's premises, it can potentially cause harm to users, making the producer liable for any defects or dangers associated with it.

The other options focus on different stages of the product lifecycle but do not accurately reflect the moment product liability risk begins. For instance, while a product may be sold or advertised, these actions do not by themselves initiate liability; that begins once the product is out of the manufacturer or supplier's facility and has the potential to be used by consumers. Thus, product liability is fundamentally tied to the idea of relinquishing control over the product, which happens when it leaves the insured's premises.