I 

115TH CONGRESS 

1ST SESSION H. R. 1118 

To prevent undue disruption of interstate commerce by limiting civil actions 

brought against persons whose only role with regard to a product in 

the stream of commerce is as a lawful seller of the product. 

IN THE HOUSE OF REPRESENTATIVES 

FEBRUARY 16, 2017 

Mr. FARENTHOLD (for himself, Mr. DUNCAN of Tennessee, and Mr. SMITH

of Texas) introduced the following bill; which was referred to the Committee on the Judiciary, and in addition to the Committee on Energy and 

Commerce, for a period to be subsequently determined by the Speaker, 

in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned 

A BILL 

To prevent undue disruption of interstate commerce by limiting civil actions brought against persons whose only 

role with regard to a product in the stream of commerce 

is as a lawful seller of the product. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Innocent Sellers Fair5 ness Act’’. 


lotter on DSK5VPTVN1PROD with BILLS
2 

•HR 1118 IH

1 SEC. 2. FINDINGS. 

2 Congress finds that— 

3 (1) an innocent seller should not be held re4 sponsible under the doctrine of product liability for 

5 damages that the seller did not cause; 

6 (2) as a result of product liability, sellers are 

7 often brought into litigation despite the fact that 

8 they had no control or input in the design, produc9 tion, or any other aspect of an allegedly defective 

10 product, and may therefore face increased costs due 

11 to the possibility or result of disproportionate dam12 age awards; 

13 (3) due to high liability costs and unwarranted 

14 litigation costs, sellers face higher costs in pur15 chasing insurance through interstate insurance mar16 kets to cover their activities; 

17 (4) liability reform for sellers will promote the 

18 free flow of goods and services, lessen burdens on 

19 interstate commerce, decrease litigiousness, and 

20 lower prices to consumers; and 

21 (5) legislation to address these concerns is an 

22 appropriate exercise of the powers of Congress under 

23 clauses 3, 9, and 18 of section 8 of article I of the 

24 Constitution of the United States, and the 14th 

25 Amendment to the Constitution of the United 

26 States. 


lotter on DSK5VPTVN1PROD with BILLS
3 

•HR 1118 IH

1 SEC. 3. LIMITATION ON LIABILITY OF PRODUCT SELLERS. 

2 (a) IN GENERAL.—No seller of any product shall be 

3 liable for personal injury, monetary loss, or damage to 

4 property arising out of an accident or transaction involv5 ing such product, unless the claimant proves one or more 

6 of the following activities by the seller: 

7 (1) The seller was the manufacturer of the 

8 product. 

9 (2) The seller participated in the design of the 

10 product. 

11 (3) The seller participated in the installation of 

12 the product. 

13 (4) The seller altered, modified, or expressly 

14 warranted the product in a manner not authorized 

15 by the manufacturer. 

16 (5) The seller had actual knowledge of the de17 fect in the product as a result of a recall from the 

18 manufacturer or governmental entity authorized to 

19 make such recall or actual inspection at the time the 

20 seller sold the product to the claimant. 

21 (6) The seller had actual knowledge of the de22 fect in the product at the time the seller supplied the 

23 product. 

24 (7) The seller intentionally altered or modified 

25 a product warranty, warning or instruction from the 


lotter on DSK5VPTVN1PROD with BILLS
4 

•HR 1118 IH

1 manufacturer in a way not authorized by the manu2 facturer. 

3 (8) The seller knowingly made a false represen4 tation about an aspect of the product not authorized 

5 by the manufacturer. 

6 (b) LIABILITY OF SELLER IN CASES OF NEG7 LIGENCE.—If the claimant proves one or more of the ac8 tivities described in subsection (a) and such activity was 

9 negligent, the seller’s liability is limited to the personal 

10 injury, monetary loss, or damage to property, directly 

11 caused by such activity. 

12 (c) DEFINITIONS.—In this Act: 

13 (1) MANUFACTURER.—The term ‘‘manufac14 turer’’ means a person who is lawfully engaged in 

15 the business of manufacturing a product in inter16 state or foreign commerce during such person’s reg17 ular course of trade or business. 

18 (2) PERSON.—The term ‘‘person’’ means any 

19 individual, corporation, company, association, firm, 

20 partnership, society, joint stock company, or any 

21 other entity, including any governmental entity. 

22 (3) SELLER.—The term ‘‘seller’’ means a per23 son who is lawfully engaged in the business of mar24 keting, distributing, advertising, or selling a product 


lotter on DSK5VPTVN1PROD with BILLS
5 

•HR 1118 IH

1 in interstate or foreign commerce during such per2 son’s regular course of trade or business. 

3 (d) EFFECTIVE DATE.—This Act applies to any civil 

4 action involving a product that was sold to the claimant 

5 on or after the date of the enactment of this Act. 

Æ 


lotter on DSK5VPTVN1PROD with BILLS