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15 January, 2016 - 09:34

Comment m specifically says the cause of action under Restatement, Section 402A, is not affected by disclaimer. But in nonconsumercases, courts have allowed clear and specific disclaimers. In 1969, the Ninth Circuit observed: “InKaiser Steel Corp. the [California Supreme Court] court upheld the dismissal of a strict liability action when the parties, dealing from positions of relatively equal economic strength, contracted in a commercial setting to limit the defendant’s liability. The court went on to hold that in this situation the strict liability cause of action does not apply at all. In reaching this conclusion, the court in Kaiserreasoned that strict liability ‘is designed to encompass situations in which the principles of sales warranties serve their purpose “fitfully at best.”’ [Citation]” It concluded that in such commercial settings the UCC principles work well and “to apply the tort doctrines of products liability will displace the statutory law rather than bring out its full flavor.” 1