EXCULPATORY AGREEMENT RELEASING MANUFACTURER FROM STRICT PRODUCTS LIABILITY CLAIMS VIOLATES PUBLIC POLICY

The Colorado Supreme Court has ruled that an exculpatory agreement releasing a manufacturer from strict products liability claims violates public policy and is void. Boles v. Sun Ergoline, Inc., 08SC970 (Feb. 8, 2010).

Boles was injured while using a tanning booth manufactured by Sun Ergoline, Inc. ("Sun"). She file suit against Sun, asserting a products liability claim for personal injury. The trial court ruled that Boles's claim was barred because she signed a general release of liability prior to using the tanning both. The court of appeals affirmed.

The Colorado Supreme Court reversed and held that, although an exculpatory agreement may insulate a party from liability for its own simple negligence (See, Jones v. Dressel, 623 P.2d 370 (Colo. 1981)(sets forth four factors to be considered in determining whether a release of simple negligence should be enforced)), a release of liability for strict products liability, claims for which having been allowed due to public policy concerns over the inequitable relationship between manufacturers and consumers,violates public policy and is void.

Posted By: Brent W. Houston, Esq.