Considering all of the mortgage issues in the last several y

Considering all of the mortgage issues in the last several years, should a \"mortgage loan\" be considered a \"product\" and fall under the theory of product\'s liability? Fully explain in 200 words or more.

CASE NUGGET WHAT IS A PRODUCT? Radford v. Wells Fargo Bank 2011 WL 1833020 (D. Haw. 2011) Plaintiff Richard Radford brought a suit against Wells Fargo Bank alleging that he was enticed into purchasing a defective product and claiming an intentional or negligent failure to warn of a defective product (i.e., his mortgage loan). The district court held that a mortgage is not a \"product\" that can be subject to product liability claims for at least three reasons. First, \"[p]roducts liability covers products that are reasonably certain to place life and limb in peril and may cause bodily harm if defective. The language of products liability law reflects its focus on tangible items.\" Second, the Restatement (Second) of Torts provides examples of items covered by product liability claims, and a mortgage loan does not appear on the list. Finally, there was no case law in Hawaii supporting Radford\'s contention that a loan is a product. In summary, a product may be defective because of a manufacturing defect, a design defect, or inadequate warnings. As you read the chapter think about how these types of defects fit in with the three theories of liability: negligence, strict liability, and breach of warranty

Solution

Yes morgge loan is using as a product due to below mentioned reasons.

1).Value of property or product you can earn if you cant pay, or you can say company can get money back for the product you put for morgaddge.

2).Loan provider company always first do the valuation of product after that will provide loan against that product.

3).Comoany is providing loan for fix duration after that you have to pay against product.

4).If you are not paying money against morgadge oan even you have to face panelty for the same. these are basic rules of loans.

Here you have mentioned 3 reasons

1).Mortgage loan is not a product - No it is not tengible thing but it is a documented application and you can get benifit out of it same way insurance policy is a procuct where if you can pay loan amount will be extract from the insurance policy. but as court correctly say frominsurance policy you can get money but not extract money from loan.and in mortgage you have to put something tengible which has higher value and which is tengible item. so court is correct.

2).Every thing should be mentioned in document if its not written in doc you can\'t claim.Not only written but everything should be written on stamp paper authorised by government.some time witness also necessary for claim.so all items what you claim must be written in claim documents otherwise you cant claim or when you will claim for it you have to show to court in written in policy document.

3).Different govenrment and coutries have different criterias and laws that must be taken in consideration,That should be check before you make any agreement.

so here its definately a case of negligennce of redford who has not checked law,not taken any claim in written and and not studied law of country also.

Bank also cant take items which are not tengible.

Liability and warannty has alwayas criteria those are again should be in claim documents if its not there than document is not perfect so its again case of negligence .