The report card on the performance of product liability law is mixed. In some instances tort liability does serve a potentially risk-reducing role by fostering new safety measures. However, the safety-enhancing role of liability fails to be realized in general because of fundamental deficiencies in product liability law and the way such cases are handled by the courts. In particular, courts make excessive and unpredictable awards and stumble when faced with uncertainties. New products posing uncertain risks are especially hard hit so that product liability often serves as a barrier to innovations that would reduce accidents.