Final answer:
The doctrine of negligent design says that manufacturers must make products that are reasonably safe, not completely risk-free. Manufacturers face product liability claims if they fail to manage or warn about unreasonable risks. The provided example illustrates liability due to the sale of a known defective product.
Step-by-step explanation:
The doctrine of negligent design does not state that manufacturers must produce a product free of all risks or face product liability claims. Instead, manufacturers must ensure that their products are reasonably safe when used as intended and must provide appropriate warnings for any non-obvious dangers associated with their product's use. A product liability claim can arise if a product is defective in its design and if the manufacturer failed to either eliminate unreasonable risks or adequately warn users.
In the counter example situation provided, the manufacturer would be liable for proceeding with the sale of an automobile model with known defects in the brake system, which led to brake failures, injuries, and deaths. This liability arises because the manufacturer knowingly sold a product with a defect that posed a significant risk of harm to consumers.