Essay on Chapter 8: Grimshaw V. Ford Motor Company

757 Words Feb 9th, 2013 4 Pages
Chapter 8: Grimshaw v. Ford Motor Company

Caption: Grimshaw v. Ford Motor Company
Citation: California Court of Appeals, Fourth District, 1981
174 Cal. Rptr. 348

Facts: 1. Ford developed a new model, later to be known as the pinto, changing the design drastically. 2. Ford discovered that the fuel tanks position was in a 'vulnerable place' and the car failed to met crash safety standards. 3. Ford was aware of the small cost to help the fuel tanks meet standards but refused to use them due to the slight delay in production that might occur and approved production of the prototype. 4. A 1972 Ford Pinto was involved in a rear ending when it unexpectedly stalled causing the care (presumably the fuel tank) to burst into
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It has been also interpreted to mean 'a conscious disregard of the probability that the actor's conduct will result injury to others.” And this is exactly what Ford did when they disregarded the fuel tank findings and refused to add the safety precautions to the fuel tank. Although higher than monetary penalties under government regulation, the punitive damages were high in order to set an example so that firms in the future would be deterred from disregarding safety and possible negative consequences when producing their products. 2. Although the cost is higher than the saving in the short run I believe it would be to Ford's benefit to take on the cost of adding the additional safety measures due to the fact that in the long run with more and more deaths attributed to what could be called the 'greedy, callous' nature of Ford, sales could decrease. By absorbing the $137.5 million and allowing the public to know of Ford's action (due to our concern over their safety) could possibly generate a good amount of future sales. On the other hand should the public discover that deaths could have been prevented public trust in the company could decline causing Ford's sales to suffer the same fate. 3. First the actual cause of Holmes accident should be verified, if it was indeed due to the tires, then yes he should be allowed to appeal for a trial. 4. First of all, even though they bare the heaviest blame (in my opinion) they

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