Global Company Liability Knowledge

Summary

Constructive knowledge in California implies that an entity should have known something through reasonable diligence. If a US subsidiary could have reasonably known about complaints tracked by an overseas headquarters, it might be deemed to have constructive knowledge. Courts will consider the relationship and communication between the subsidiary and headquarters. Consulting a local attorney can provide more detailed guidance.

Full Conversation

if a global companies has an internal system that tracks complaints and only its headquarter (out of country) has access. Would the US subsidiary have constructive knowledge when sued to product liabilty
In California, constructive knowledge means a person or entity should have known something, even if they didn't actually know it.
- If the US subsidiary should reasonably have known about the complaints through due diligence, it may be considered to have constructive knowledge.
- Courts may look at the relationship and communication between the subsidiary and headquarters.
Would you like to consult a local lawyer for more detailed assistance?