What is MARKET SHARE LIABILITY?

Entity accountability assumes product risk liability in proportion to the entity’s market share as this legal doctrine. Here is a scenario: even if an entity did not produce the actual drug that caused an injury, as a pharmaceutical company in that market, it will be liable to the complainant because it produces a different, yet specific drug with side effects. The entity incurs liability as it is in the same market as the actual company manufacturing the product that caused the injury.

More On This Topic




Link to This Definition

Did you find this definition of MARKET SHARE LIABILITY helpful? You can share it by copying the code below and adding it to your blog or web page.
Written and fact checked by The Law Dictionary