What is usually a key reason for indemnification among suppliers in strict product liability cases?

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Indemnification among suppliers in strict product liability cases often centers on the need to allocate liability among previous suppliers in the distribution chain. This is particularly relevant in strict liability, where a supplier can be held responsible for harm caused by a defective product regardless of fault. When one supplier is sued, they may seek indemnification from other suppliers involved to share the burden of liability. This mechanism helps ensure that the financial responsibility for defects is fairly divided, reflecting the contribution of each party to the product's supply chain. In essence, indemnification serves as a risk management tool, allocating liability back to those who may have played a role in the defect's origin or distribution.

Other options, such as ensuring proper marketing strategies or maintaining competitive pricing, may be relevant in different business contexts but do not directly pertain to the legal responsibilities and risks associated with product liability claims. Protecting against defective product claims, while relevant, does not encapsulate the core purpose of indemnification in the context of shared liability among suppliers.

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