Peanut Corporation Case Study
What are the different ethical and social issues arising from product advertising? Should certain types of advertising be more or less regulated? Explain.
The different …show more content…
Per Case 8.6, Peanut Corporation, please answer Discussion Questions 1,2,3 on Page 507
Discuss the theories for imposing liability on Peanut Corp.
The Peanut Corp. would be liable under the Restatement of Torts (Section 402A), the law stipulates that the manufacturer/seller is liable to the buyer if the product is defective by design (Jennings, 2015, pg. 505). The peanut base was defective in that it contained salmonella. Peanut corp is also liable under implied warranty of merchantability, which applies to all sellers. As the textbook mentions, “this warranty means that food items are not contaminated…” (Jennings, 2015, pg. 505).
Are the e-mails admissible as evidence?
Yes, the emails could be admissible as evidence since emails are used as a primary business communication within the company and because the information provided by them would be relevant to the case. Particularly the emails between Mr. Parnell and his associates that show they were aware of the salmonella contaminations that were occurring and decided to “turn them loose” so they would not lose …show more content…
What similarities do you see between Buckyballs and energy drinks? What differences?
It is possible energy drinks could be banned however caffeinated drinks are readily available and widely accepted and energy drinks are no different. The similarities between Buckyballs and energy drinks are they do not provide appropriate warnings. Buckyballs can be fatal when ingested just as over consumption of energy drinks or mixing them with alcohol can have adverse health effects. The differences between them are the intent of use, Buckyballs were intended as an adult novelty toy, whereas energy drinks are a consumable product. What voluntary solutions could the energy drink makers undertake? Why would they want to undertake voluntary disclosures? Why wouldn’t they want