A. A manufacturer shall indemnify and hold harmless a seller against loss arising out of a product liability action, except for any loss caused by the seller's negligence, intentional misconduct, or other act or omission, such as negligently modifying or altering the product, for which the seller is independently liable.
§ 832.1.Product Liability Actions - Duty of Manufacturer to Indemnify Seller
Chapter 13: Limitation of Actions · Last amended November 1, 2004 · Last verified August 3, 2026
In one sentenceSection 832.1 requires a product manufacturer to indemnify and hold harmless a seller against loss from a product liability action, except for loss caused by the seller's own negligence, misconduct, or independent fault such as modifying the product.
Full Text of § 832.1
B. For purposes of this section, "loss" includes court costs and other reasonable expenses, reasonable attorney fees, and any reasonable damages.
C. Damages awarded by the trier of fact shall, on final judgment, be deemed reasonable for purposes of this section.
D. For purposes of this section, a wholesale distributor or retail seller who completely or partially assembles a product in accordance with the manufacturer's instructions shall be considered a seller.
E. The duty to indemnify under this section:
1. Applies without regard to the manner in which the action is concluded; and
2. Is in addition to any duty to indemnify established by law, contract, or otherwise.
F. A seller eligible for indemnification under this section shall give reasonable notice to the manufacturer of a product claimed in a petition or complaint to be defective, unless the manufacturer has been served as a party or otherwise has actual notice of the action.
G. A seller is entitled to recover from the manufacturer court costs and other reasonable expenses, reasonable attorney fees, and any reasonable damages incurred by the seller to enforce the seller's right to indemnification under this section.
H. Nothing contained in this section shall operate to permit or require dismissal of a party with a right of indemnification arising under this section and nothing in this section shall be used as a basis for dismissal of a plaintiff's claim against the seller.
Amendment History
Added by Laws 2004, HB 2661, c. 368, §8, eff. 11/1/2004.
Plain-English Summary
Section 832.1 shifts the cost of a product liability suit from the seller back to the manufacturer. The manufacturer must indemnify and hold the seller harmless against loss arising from the action, unless the loss traces to the seller's own negligence, intentional misconduct, or some other act, like negligently modifying the product, that makes the seller independently liable. "Loss" reaches court costs, other reasonable expenses, reasonable attorney fees, and any reasonable damages, and damages a jury or judge awards are deemed reasonable once final judgment is entered.
The duty covers more than the obvious retailer. A wholesale distributor or retail seller who assembles the product following the manufacturer's instructions counts as a seller too. The indemnity duty applies no matter how the case ends and stacks on top of any other indemnity duty that already exists under law or contract. To collect, the seller must give the manufacturer reasonable notice of the claimed defect, unless the manufacturer is already a party or otherwise has actual notice of the suit, and the seller can recover the costs, fees, and damages spent enforcing that right. None of this lets a court dismiss a party who has an indemnification right, or use the indemnity duty as a reason to dismiss the plaintiff's claim against the seller.
Frequently Asked Questions
If a customer sues a retailer over a defective product, does the manufacturer have to cover the retailer?
Generally yes. Section 832.1 requires the manufacturer to indemnify and hold the seller harmless against loss from the product liability action.
Are there exceptions to the manufacturer's duty to indemnify the seller?
Yes. The manufacturer isn't on the hook for loss caused by the seller's own negligence, intentional misconduct, or other independently liable conduct, such as negligently modifying the product.
What counts as "loss" the manufacturer must cover?
Court costs and other reasonable expenses, reasonable attorney fees, and any reasonable damages.
Does a wholesaler or retailer who assembles the product still count as a "seller" entitled to indemnification?
Yes, as long as the assembly follows the manufacturer's instructions.
Does the seller have to tell the manufacturer about the lawsuit first?
Yes. The seller must give the manufacturer reasonable notice of the claimed defect, unless the manufacturer is already a party or otherwise has actual notice of the action.
Source & verification. Section text is reproduced verbatim from
Title 12 of the Oklahoma Statutes, enacted by the Oklahoma Legislature.
Last verified August 3, 2026.
· Official source
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