DEMAND FOR SETTLEMENT - PRODUCTS LIABILITY
STATE OF SOUTH CAROLINA
[FIRM NAME]
Attorneys at Law
[Street Address]
[City, South Carolina ZIP]
Telephone: [Phone]
Facsimile: [Fax]
Email: [Email]
Licensed in the State of South Carolina
DATE: [Date]
VIA CERTIFIED MAIL, RETURN RECEIPT REQUESTED
AND FIRST-CLASS MAIL
[General Counsel / Risk Management / Claims Representative]
[Manufacturer / Distributor / Retailer Name]
[Street Address]
[City, State ZIP]
RE: PRODUCTS LIABILITY CLAIM - SETTLEMENT DEMAND
Claimant: [Client Full Name]
Date of Incident: [Date]
Product: [Product Name, Model Number, Serial Number]
Manufacturer: [Manufacturer Name]
Claim Number: [If assigned]
Dear [Recipient Name]:
This firm represents [Client Name] in connection with serious personal injuries caused by a defective [Product Name] designed, manufactured, distributed, and/or sold by your company. This letter constitutes our formal demand for settlement under South Carolina law.
I. SOUTH CAROLINA PRODUCTS LIABILITY LEGAL FRAMEWORK
A. Theories of Liability
South Carolina recognizes multiple theories of recovery in products liability cases:
1. Strict Liability in Tort
South Carolina adopted Section 402A of the Restatement (Second) of Torts in Claytor v. General Motors Corp., 286 S.C. 117, 332 S.E.2d 520 (1985). A manufacturer or seller is strictly liable when it places a product on the market in a defective condition unreasonably dangerous to the user or consumer.
2. Negligence
A manufacturer has a duty to exercise reasonable care in designing, manufacturing, inspecting, and providing adequate warnings for products. Bragg v. Hi-Ranger, Inc., 319 S.C. 531, 462 S.E.2d 321 (Ct. App. 1995).
3. Breach of Warranty
South Carolina recognizes claims for breach of express warranty, implied warranty of merchantability (S.C. Code Ann. Section 36-2-314), and implied warranty of fitness for a particular purpose (S.C. Code Ann. Section 36-2-315).
B. Statute of Limitations
Under S.C. Code Ann. Section 15-3-530(5), the statute of limitations for products liability actions is three (3) years from the date of injury. The discovery rule may toll commencement of the limitations period until the plaintiff knew or should have known of the injury and its cause. Atlas Food Sys. & Servs., Inc. v. Crane Nat'l Vendors, Inc., 319 S.C. 556, 462 S.E.2d 858 (1995).
C. Statute of Repose
Under S.C. Code Ann. Section 15-3-545, a six (6) year statute of repose applies to product sellers (but not manufacturers). The seller is immune from liability if the product was not in the seller's possession or control at the time of injury and more than six years have elapsed from the date of sale.
Important: This repose provision does not apply to manufacturers.
D. Design Defect Test
South Carolina applies a hybrid test for design defects, considering both:
-
Consumer Expectations Test: Whether the product failed to perform as safely as an ordinary consumer would expect. Claytor v. General Motors Corp., 286 S.C. 117, 332 S.E.2d 520 (1985).
-
Risk-Utility Balancing: Courts also consider whether the risks of the design outweigh its benefits, including the availability of a safer alternative design. Branham v. Ford Motor Co., 390 S.C. 203, 701 S.E.2d 5 (2010).
E. Comparative Fault
South Carolina follows modified comparative negligence under S.C. Code Ann. Section 15-38-15. A plaintiff may recover damages diminished in proportion to their percentage of fault, provided the plaintiff's negligence is not greater than that of the defendant(s). If the plaintiff is 51% or more at fault, recovery is barred.
F. Punitive Damages
Under S.C. Code Ann. Section 15-33-135, punitive damages require proof by clear and convincing evidence that the defendant's conduct was willful, wanton, or reckless.
Statutory Cap (S.C. Code Ann. Section 15-32-530): Punitive damages are limited to the greater of three (3) times compensatory damages or $500,000, except:
- No cap if defendant acted with intent to harm
- No cap if defendant was under the influence of alcohol or drugs
- No cap if defendant's conduct would constitute a felony
II. PRESERVATION OF EVIDENCE - CRITICAL NOTICE
YOU ARE HEREBY DIRECTED TO IMMEDIATELY PRESERVE ALL EVIDENCE relating to this product and claim, including but not limited to:
Product-Related:
- The subject product and all component parts
- Design documents, specifications, and engineering drawings
- Manufacturing records and quality control documentation
- Testing data and safety assessments
- All versions of warnings, labels, and instructions
Complaints and Claims:
- Prior consumer complaints regarding this product
- Prior claims and lawsuits involving similar defects
- Regulatory correspondence and adverse event reports
Spoliation Warning: South Carolina recognizes adverse inference instructions and sanctions for spoliation of evidence. Metts v. Mims, 362 S.C. 491, 608 S.E.2d 129 (Ct. App. 2005). ANY DESTRUCTION OR ALTERATION OF EVIDENCE WILL RESULT IN SEVERE CONSEQUENCES.
III. THE DEFECTIVE PRODUCT
A. Product Identification
| Product Information | Details |
|---|---|
| Product Name | [Full Product Name] |
| Manufacturer | [Manufacturer Name and Address] |
| Model Number | [Model Number] |
| Serial Number | [Serial Number] |
| Date of Manufacture | [Date, if known] |
| Date of Purchase | [Purchase Date] |
| Retailer/Seller | [Retailer Name and Location] |
| Purchase Price | $[Amount] |
B. Chain of Distribution
The following entities are potentially liable under South Carolina's products liability law:
| Entity | Role |
|---|---|
| [Manufacturer Name] | Manufacturer |
| [Component Supplier] | Component Manufacturer |
| [Distributor Name] | Distributor |
| [Retailer Name] | Retailer/Seller |
IV. THE DEFECT
A. Nature of Defect
[DESIGN DEFECT / MANUFACTURING DEFECT / FAILURE TO WARN - Select applicable]
[Detailed description of the defect, how it rendered the product unreasonably dangerous, and how it failed to meet consumer expectations or presented risks outweighing its utility]
B. Alternative Safer Design
[For design defect cases, describe the feasible alternative design that would have prevented the injury]
Under South Carolina law as articulated in Branham v. Ford Motor Co., 390 S.C. 203, 701 S.E.2d 5 (2010), a safer alternative design that was technologically and economically feasible demonstrates that the product's design was defective.
V. THE INCIDENT AND INJURIES
A. How the Injury Occurred
On [Date], at approximately [Time], our client was [describe use of product] when [describe how the defect caused injury].
B. Injuries Sustained
As a direct and proximate result of the defective product, our client sustained:
Physical Injuries:
- [Injury 1]
- [Injury 2]
- [Injury 3]
Medical Treatment:
- [Treatment summary]
Permanent Effects:
- [Describe any permanent conditions]
VI. DAMAGES
A. Economic Damages
| Category | Amount |
|---|---|
| Past Medical Expenses | $[Amount] |
| Future Medical Expenses | $[Amount] |
| Past Lost Wages | $[Amount] |
| Future Lost Earning Capacity | $[Amount] |
| TOTAL ECONOMIC DAMAGES | $[Total] |
B. Non-Economic Damages
Under South Carolina law, our client is entitled to compensation for:
- Physical pain and suffering
- Mental anguish and emotional distress
- Loss of enjoyment of life
- Permanent impairment and disfigurement
C. Punitive Damages
[If applicable:]
Your company's conduct in [describe egregious conduct] constitutes willful, wanton, or reckless behavior warranting punitive damages under S.C. Code Ann. Section 15-33-135. Evidence of prior knowledge of the defect and failure to remedy strengthens this claim.
D. Summary of Damages
| Category | Amount |
|---|---|
| Total Economic Damages | $[Amount] |
| Total Non-Economic Damages | $[Amount] |
| TOTAL COMPENSATORY DAMAGES | $[Total] |
VII. SETTLEMENT DEMAND
Based upon the clear liability of your company under South Carolina law and the substantial damages our client has sustained, we hereby demand:
$[DEMAND AMOUNT]
This demand will remain open for forty-five (45) days from the date of this letter, expiring on [Expiration Date].
If this matter cannot be resolved, we are prepared to file suit in the Court of Common Pleas for [County] County, South Carolina, and pursue this matter through trial.
VIII. DOCUMENTATION ENCLOSED
☐ Medical records and bills
☐ Photographs of the defective product
☐ Photographs of injuries
☐ Employment and wage documentation
☐ Product documentation and warnings
☐ Expert reports (if available)
☐ [Other relevant documentation]
IX. CONCLUSION
This case involves a defective product that caused serious injuries to our client. The defect was present when the product left your company's control, and the injuries were entirely preventable.
We urge you to evaluate this claim seriously and respond with a reasonable settlement offer within the time allowed.
Respectfully submitted,
[FIRM NAME]
By: _________________________________
[Attorney Name]
South Carolina Bar No. [Number]
Attorney for [Client Name]
ENCLOSURES: As noted above
cc: [Client Name]
[File]
SOUTH CAROLINA PRODUCTS LIABILITY PRACTICE NOTES
☐ Strict Liability Adopted: South Carolina follows Section 402A of the Restatement (Second) of Torts per Claytor v. General Motors Corp., 286 S.C. 117, 332 S.E.2d 520 (1985).
☐ Hybrid Design Defect Test: Branham v. Ford Motor Co., 390 S.C. 203, 701 S.E.2d 5 (2010) established that both consumer expectations and risk-utility apply.
☐ Modified Comparative Fault: 51% bar rule applies - plaintiff cannot recover if more at fault than defendant(s).
☐ Seller Repose: Six-year statute of repose for sellers only under S.C. Code Ann. Section 15-3-545.
☐ Punitive Damages Cap: Greater of 3x compensatory or $500,000, with exceptions for intentional harm, DUI, or felonious conduct.
☐ Joint and Several Liability: South Carolina abolished joint and several liability for defendants less than 50% at fault. S.C. Code Ann. Section 15-38-15.
☐ Government Claims: If government entity involved, notice requirements under S.C. Tort Claims Act apply.
This template is specific to South Carolina law. Products liability law is complex and varies significantly by jurisdiction. This template must be customized for each case by a licensed South Carolina attorney.