Final answer:
A software supplier is not held responsible for every product defect that causes customer or third-party loss.
Step-by-step explanation:
When sued for negligence, a software supplier is not held responsible for every product defect that causes customer or third-party loss.
This statement is TRUE. When it comes to product defects, a software supplier can be liable for negligence only if they fail to exercise reasonable care and their actions or omissions cause harm to customers or third parties. In other words, they are not held responsible for every product defect that could potentially result in loss.
An example situation that supports this is the case of a manufacturer of automobiles who knowingly produces and sells models with brake defects. In this case, the manufacturer can be held liable for injuries and deaths resulting from the defective brakes because they had prior knowledge of the defect and the likelihood of brake failure.