TX product liability guide

Average product liability settlement in Texas

How Texas treats manufacturing, design, and warning defects, whether the state has a statute of repose that bars older claims, and how punitive damages caps change ceiling value.

Product liability settlement ranges in Texas

Case typeSeverityLowTypical rangeHighNotes

The five rules that decide value in Texas

1. Strict liability doctrine

Texas recognizes strict products liability under Restatement (Second) § 402A for manufacturing, design, and marketing defects (Tex. Civ. Prac. & Rem. Code Ch. 82).

2. Statute of repose

15-year statute of repose from the date the product was sold (Tex. Civ. Prac. & Rem. Code § 16.012). 2-year tort statute of limitations from injury.

3. Punitive damages

Punitive damages capped at the greater of $200,000 or 2× economic damages plus non-economic damages up to $750,000 (Tex. Civ. Prac. & Rem. Code § 41.008).

4. Seller / retailer liability

Innocent seller protected under § 82.003 unless the manufacturer is insolvent, out of jurisdiction, or the seller modified the product.

5. Modified comparative — 51% bar

You can recover if you are 50% or less at fault. At 51% or more, recovery is barred. Recovery barred at 51% or more fault under Tex. Civ. Prac. & Rem. Code § 33.001.

What drives Texas product liability value

  • Defect theory. Manufacturing defects are the easiest to prove; design and warning defects require expert testimony on the risk-utility trade-off.
  • Preservation of the product. The defective product itself is the case. Spoliation destroys claims.
  • Regulatory history. Recalls, FDA warning letters, NHTSA investigations, and CPSC actions are admissible and shift leverage.
  • Class or MDL posture. Consolidated cases (MDL, mass tort) settle on grid values; individual value depends on tier.
  • Punitive posture. Where Texas's cap allows real punitives, defendants settle higher pre-trial.

What to do in the first 30 days after a Texas product injury

  1. Preserve the product — do not repair, dispose, or return it.
  2. Photograph the product, packaging, labels, warnings, and instructions before anything is moved.
  3. Save the receipt, model number, serial number, and any registration or warranty documents.
  4. Get medical care and keep every bill and record.
  5. Check the CPSC and NHTSA databases for recalls and open investigations on the product.
  6. Do not sign a release or return-and-refund offer from the manufacturer.
  7. Consult counsel before the 2-year tort statute or the statute of repose runs.
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Statutes, negligence rules, and damages caps change product liability settlement value at the state line. Compare across the top venues:

Frequently asked questions

Sources

  1. [1]MWL 50-state comparative-fault chart
  2. [2]Tex. Civ. Prac. & Rem. Code Ch. 82
  3. [3]CPSC — U.S. Consumer Product Safety Commission
  4. [4]NHTSA Recalls

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