§ 82.003.Liability of Nonmanufacturing Sellers

Title 4. Liability in Tort · Chapter 82. Products Liability · Last amended 2009 · Last verified August 29, 2026

In one sentenceSection 82.003 immunises a non-manufacturing seller from products liability unless the claimant proves one of seven things, including that the manufacturer is insolvent or beyond the court's jurisdiction.

Full Text of § 82.003

Text sizeJump to: (a) (b) (c)

(a)A seller that did not manufacture a product is not liable for harm caused to the claimant by that product unless the claimant proves:

(1)that the seller participated in the design of the product;

(2)that the seller altered or modified the product and the claimant's harm resulted from that alteration or modification;

(3)that the seller installed the product, or had the product installed, on another product and the claimant's harm resulted from the product's installation onto the assembled product;

(4)that:

(A)the seller exercised substantial control over the content of a warning or instruction that accompanied the product;

(B)the warning or instruction was inadequate; and

(C)the claimant's harm resulted from the inadequacy of the warning or instruction;

(5)that:

(A)the seller made an express factual representation about an aspect of the product;

(B)the representation was incorrect;

(C)the claimant relied on the representation in obtaining or using the product; and

(D)if the aspect of the product had been as represented, the claimant would not have been harmed by the product or would not have suffered the same degree of harm;

(6)that:

(A)the seller actually knew of a defect to the product at the time the seller supplied the product; and

(B)the claimant's harm resulted from the defect; or

(7)that the manufacturer of the product is:

(A)insolvent; or

(B)not subject to the jurisdiction of the court.

(b)This section does not apply to a manufacturer or seller whose liability in a products liability action is governed by Chapter 2301, Occupations Code. In the event of a conflict, Chapter 2301, Occupations Code, prevails over this section.

(c)If after service on a nonresident manufacturer through the secretary of state in the manner prescribed by Subchapter C, Chapter 17, the manufacturer fails to answer or otherwise make an appearance in the time required by law, it is conclusively presumed for the purposes of Subsection (a)(7)(B) that the manufacturer is not subject to the jurisdiction of the court unless the seller is able to secure personal jurisdiction over the manufacturer in the action.

End

Plain-English Summary

The innocent retailer provision, added in 2003, and it removed most sellers from products litigation.

A seller that did not manufacture a product is not liable for harm caused by that product unless the claimant proves one of seven things:

the seller participated in the design; the seller altered or modified the product and the harm resulted from that; the seller installed the product on another and the harm resulted from the installation; the seller exercised substantial control over the content of a warning or instruction that was inadequate and the harm resulted from the inadequacy; the seller made an express factual representation that was incorrect and relied on, and the claimant would not have been harmed had it been true; the seller "actually knew of a defect" when it supplied the product and the harm resulted from it; or the manufacturer is insolvent or not subject to the jurisdiction of the court.

The first six all involve the seller doing something beyond selling. A retailer that took the product off a pallet and sold it has done none of them.

The seventh is different, and it is the safety valve. Where the manufacturer cannot be reached — insolvent, or beyond the court's jurisdiction — the seller becomes liable, so an injured claimant is not left with no defendant at all. It is also why the indemnity provision matters: the seller pays, and recovers from a manufacturer only if one can be found.

Subsection (c) supplies a presumption on the jurisdiction branch: where a nonresident manufacturer served through the secretary of state fails to answer, it is conclusively presumed not subject to the court's jurisdiction unless the seller can secure jurisdiction over it.

Motor vehicle dealers governed by Chapter 2301 of the Occupations Code are excluded, and that chapter prevails in any conflict.

Frequently Asked Questions

Can I sue the store that sold me a defective product in Texas?

Only if you prove one of seven things — that the seller participated in the design, altered or installed the product, controlled an inadequate warning, made an incorrect express representation you relied on, "actually knew of a defect," or that the manufacturer is insolvent or beyond the court's jurisdiction.

What if the manufacturer is out of business?

That is the seventh route. Insolvency of the manufacturer makes the non-manufacturing seller liable.

What if the manufacturer is overseas?

If it is not subject to the court's jurisdiction the seller is liable, and a nonresident manufacturer served through the secretary of state that fails to answer is conclusively presumed to be beyond jurisdiction.

Amendment History

Added by Acts 2003, 78th Leg., ch. 204, Sec. 5.02, eff. Sept. 1, 2003.
Amended by:
Acts 2009, 81st Leg., R.S., Ch. 1351 (S.B. 408), Sec. 2(a), eff. September 1, 2009.

Source & verification. Section text is reproduced verbatim from Texas Legislature Online (statutes.capitol.texas.gov). Enacted by the Texas Legislature. Current through May 14, 2026. Last verified August 29, 2026. · Official source