In 2021, an Italian consumer purchases a Ford car from dealer Stracciari. The vehicle is manufactured by Ford WAG in Germany and supplied by Ford Italia. When the airbag fails to deploy in an accident, the consumer sues Ford Italia as importer. Ford Italia argues that liability should be directed at Ford WAG, the entity whose name and mark appear on the vehicle.
Against the backdrop of consumer protection, the Court takes a wide view. The notion of producer also includes an undertaking that presents itself to consumers as being involved in the production process. Ford Italia is therefore held jointly responsible for the product’s safety and quality. What remains unclear is how far this reasoning stretches. Does it only cover companies within the same group, or could it also catch authorized dealers, franchisees or agents allowed by the trademark owner to use the brand and present themselves as its public face? Riding on the strength of a mark is attractive, but it may come with a liability price tag