[WWI] Is the sky falling?

Douglas Jones aeroc at comcast.net
Tue Jan 18 09:49:28 EST 2005


I have some experience with this. I own a small company call Aero Classics
Mfg. I have one R/C kit that I can manufacture and sell. It is a 72" wing
span Northrop Gamma. I have not pursued this endeavor because of liability
insurance. When I checked into it could have added about $300/kit to the
cost. Many of the folks are now selling ARFs (Almost Ready to Fly) have them
manufactured overseas. The reasons are two-fold: 1) They labor is very
cheap; 2) Since the US provider is NOT the manufacturer it is harder to
catch them in a product liability suit. It is almost impossible to sue a
foreign company, or at least that's what I have been told by someone who
sells these imported ARFs. I have a friend who is a product liability lawyer
and will chat with him about all this stuff.

I did contact Northrop because I wanted permission to use there logo's and
need to know what the proper fed chip numbers were. They agreed to furnish
me the info and were willing to let me manufacture kits at the rate I
expected to sell them. Hopefully 50 a year. They did not require me to pay
any royalties or provide liability insurance. I also did not enter into a
licensing agreement. In which case they might have been able to be dragged
into court in the event of a product liability case.

Doug




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