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  #1  
Old 10-31-2016, 06:22 AM
KatanaPilot KatanaPilot is offline
 
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Default Fact versus rumor

We are about to take on another build project (RV-7A) while in the midst of building an RV-10. The RV-7A is a roller and could be completed fairly quickly.

The issue is "manufacturer" liability. Our intent is to "sell" the RV-7A to our son in a couple of years when the -10 is completed. The -10 will eventually be his as well. However, if he is not in a position to accept either airplane, we may then want to sell the plane(s).

I know of the fairly affluent individual that crushed his plane rather than sell it.

Is anyone aware of a documented case where an individual (the manufacturer of the plane) was successfully sued by another following an accident or incident involving a plane built by the "manufacturer". I know you can sue a ham sandwich, which is why I specifically asked about lawsuits that found the manufacturer liable.

Links to real cases would be very helpful.
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  #2  
Old 10-31-2016, 06:43 AM
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Auburntsts Auburntsts is offline
 
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Also kind of depends on how you define "successfully". IIRC there have been out of court settlements (John Denver's crash comes to mind).

In any event I think the probability of a suit is low - lawyers tend to go after deep pockets. So I guess it all depends on your net worth and whether you feel you are at risk.
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  #3  
Old 10-31-2016, 07:57 AM
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Snowflake Snowflake is offline
 
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I can't say for the US, but I know there hasn't been one in Canada.
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  #4  
Old 10-31-2016, 09:49 AM
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rmartingt rmartingt is offline
 
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Remember that even a successful defense against a lawsuit can still cost you many thousands of dollars...
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  #5  
Old 10-31-2016, 09:55 AM
KatanaPilot KatanaPilot is offline
 
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Quote:
Originally Posted by rmartingt View Post
Remember that even a successful defense against a lawsuit can still cost you many thousands of dollars...
Thanks. I am aware of that and have an umbrella liability policy for that reason.

As with most insurance against liability, it needs to be big enough so that the insurance company will vigorously defend you and make the potential litigant think twice about suing.
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DA20-A1 "Princess Amelia" - gone home to Amelia Island
RV-7A Phase 2
RV-10 under construction at Synergy Air South
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  #6  
Old 10-31-2016, 10:12 AM
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az_gila az_gila is offline
 
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Location: 57AZ - NW Tucson area
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Question

Quote:
Originally Posted by KatanaPilot View Post
Thanks. I am aware of that and have an umbrella liability policy for that reason.

As with most insurance against liability, it needs to be big enough so that the insurance company will vigorously defend you and make the potential litigant think twice about suing.
Does your umbrella liability insurance cover aviation items? Some do not...
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  #7  
Old 10-31-2016, 12:21 PM
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BlackhawkSP BlackhawkSP is offline
 
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Default Selling a Homebuilt

How about the bill of sale that states that you sold "Miscellanious Aircraft Parts" to someone, even if they jump right in it and fly it home?
You can always say that "I just sold him parts" he must have not put them together right.
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  #8  
Old 10-31-2016, 12:38 PM
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Carl Froehlich Carl Froehlich is offline
 
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I've sold two RVs and used the EAA sales contract format - and recommend it for anyone selling an RV.

As we venture further into the nanny state, the rule of "anyone can sue anyone for any reason at anytime" becomes more prevalent. I strongly recommend you know the person you are selling to as this is, in my opinion, a good mitigation against unforeseen consequences.

Carl
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  #9  
Old 10-31-2016, 12:53 PM
sblack sblack is offline
 
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It is just as likely, if not more so that you would be sued by the purchaser's family. Unless they signed some sort of waiver, which is almost never the case, getting a buyer to sign something ain't worth spit. You can't really eliminate the risk. All you can do is manage it by building and maintaining the airplane well and selling it to a person who is competent. Or you can part he airplane out.
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Last edited by sblack : 11-01-2016 at 11:51 AM.
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  #10  
Old 10-31-2016, 01:04 PM
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TajMahal TajMahal is offline
 
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It's the attorneys for passengers along for the ride with the new owner that worries me more.

http://www.vansairforce.com/communit...d.php?t=130797

(Not to revive that thread or discussion, just illustrate the point.)
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