28-01.4 Aviation Manufacturer Products Liability

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CHAPTER 28-01.4AVIATION MANUFACTURER PRODUCTS LIABILITY28-01.4-01. Definitions. As used in this chapter:1.&quot;Aircraft&quot; means general aviation light craft that is powered and intended to fly above<br>the ground; is designed to carry one person or more, but with a maximum seating<br>capacity of fewer than twenty passengers; and weighs less than twelve thousand<br>five hundred pounds [5669.9 kilograms].2.&quot;Aircraft component&quot; means a manufactured part or assembly intended for use in<br>the construction, replacement, or repair of an aircraft.The term includes anycomplete aircraft subsystem, including the aircraft engine, that carries its own<br>manufacturer's warranty or services provided separately from the warranty of the<br>manufacturer of the aircraft.3.&quot;Aviation manufacturer&quot; means a manufacturer of aircraft or aircraft components<br>who has its place of manufacture and place of production of aircraft or aircraft<br>components located within this state. The term includes a manufacturer located in<br>this state who imports raw materials, components, and aircraft subassemblies from<br>outside the state for manufacturing purposes. The term also includes a person who<br>modifies, maintains, alters, repairs, or installs aircraft components in aircraft in<br>accordance with federal aviation administration regulations and holds a repair station<br>certificate issued by the federal aviation administration.4.&quot;State-of-the-art product&quot; means an aircraft or aircraft component manufactured by<br>utilizing the most recent scientific, mechanical, and technological developments at<br>the time of manufacture.28-01.4-02. Compliance with federal standards - Presumptions and defenses.1.There is a disputable presumption that a product is free from any defect or defective<br>condition if the product was in compliance with:a.Government standards established for that product; orb.If no government standards exist, applicable industry standards that were in<br>existence at the time of manufacture.2.An aviation manufacturer or a seller of aircraft or aircraft components may utilize the<br>presumption provided by subsection 1 if the manufacture, design, formulation,<br>inspection, testing, packaging, labeling, or warning complied with:a.Federal aviation administration or department of transportation regulations that<br>relate to the safety or establish safety standards for the aircraft or aircraft<br>component and which existed at the time the aircraft or aircraft component was<br>produced;b.Any premarket approval or certification by the federal aviation administration or<br>any other federal agency; andc.Applicable industry standards that were in existence at the time the plans,<br>designs, warnings, or instructions for the aircraft or aircraft component or the<br>methods and techniques of manufacturing, inspecting, and testing the product<br>were adopted.3.The presumption under subsection 1 is not available if the plaintiff proves by clear<br>and convincing evidence that the aviation manufacturer or product seller knowinglyPage No. 1and in violation of applicable agency regulations made misrepresentations, made<br>illegal payments to an official for the purpose of securing approval, committed fraud,<br>or concealed evidence.4.There is an absolute defense to any product liability action brought against an<br>aviation manufacturer when a claimant, in violation of federal aviation administration<br>regulations, has used alcohol or illicit drugs while operating or using an aircraft or<br>aircraft component.5.This chapter does not affect the authority of the federal aviation administration or<br>any other federal agency with regard to the regulation of aircraft and aircraft<br>components.28-01.4-03. State-of-the-art defense. An aviation manufacturer or seller of aircraft oraircraft components may not be held liable for any personal injury, death, or damage to property<br>sustained as a result of an alleged defect in a state-of-the-art product. An aircraft or aircraft<br>component is presumed to be a state-of-the-art product if the plaintiff cannot show by a<br>preponderance of the evidence that a safer aircraft or aircraft component was on the market at<br>the time of manufacture. No evidence of subsequent design or modification of an aircraft or<br>aircraft component is admissible to prove that an aircraft or aircraft component is not a<br>state-of-the-art product.The state-of-the-art comparisons must be made to products withsimilar-intended utility. The trier of the fact shall consider the defense that the designer's choice<br>averted greater peril for a large subclass of intended users and shall consider the economic<br>viability of the component or product.28-01.4-04. Useful safe life - Statute of repose - Statute of limitation.1.An aviation manufacturer may not be held liable in a product liability action if the<br>defendant establishes that the harm was caused after the period of useful safe life of<br>the aircraft or aircraft component had expired. The useful safe life of an aircraft or<br>aircraft component may be measured in units of time or in other units that accurately<br>gauge the useful safe life of a product.2.In a claim for relief that involves injury more than ten years after the date of first<br>delivery of the aircraft or aircraft component to the first user, purchaser, or lessee, a<br>disputable presumption arises that the harm was caused after the useful safe life<br>had expired.The presumption may only be rebutted by clear and convincingevidence. If the aviation manufacturer or seller expressly warrants that its product<br>can be utilized safely for a period longer than ten years, the period of repose is<br>extended according to the warranty or promise.3.With respect to any aircraft component that replaced another product originally in, or<br>which was added to, the aircraft, and which is alleged to have caused the claimant's<br>damages, no claim for damages may be made after the useful safe life of the<br>component, the period stated in the warranty, or ten years after manufacture of the<br>component, whichever is later.4.A product liability action may not be brought more than two years after the time the<br>claimant discovered, or in the exercise of due diligence should have discovered, the<br>harm and cause of the action.Page No. 2Document Outlinechapter 28-01.4 aviation manufacturer products liability