Sorry for the delay in responding. I actually do have to work sometimes, though I try to avoid it.
Would the change in the algorithm in future production without notifying current owners of the update constitute a) knowledge that there was a defect in the previous version
Keep in mind that I'm approaching this as an academic excercise in legal analysis. I could jump right to a conclusion, but that skips the more important parts of what a lawyer actually does.
Your question raises several issues. Let's discuss the change in the algorithm first. There are several relevant questions you have to ask, but the most basic are: (1) what was the change; and (2) why did Uwatec make the change. The mere fact of a change in a product does not necessarily mean that there was a "defect"
ab initio.
Here, Uwatec apparently changed its computer software so that on the surface, the computer calculated surface interval time and "no fly" time based upon the diver breathing plain old air. That could be a bad fact for Uwatec, and a good fact for the diver, depending upon the next question.
So let's consider the second question--why? Keep in mind that some evidence might not be admissible simply because subsequent remedial measures are generally not admissible under the rules of evidence.
Suppose Uwatec hires Dr. Deco for its expert witness (sorry Doc, gonna make you the bad guy here), and he testifies that after ten minutes on the surface--regardless of whether a diver breathes air or EAN32 on the surface--nitrogen offgasses at an identical rate. Then Dr. Deco testifies that in the vast majority of repetitive dives, a diver spends at least 10 minutes on the surface changing tanks. Thus, in his professional opinion, whether the computer calculated offgassing based upon breathing nitrox or air had no significant affect on the accuracy of the model. Then suppose Uwatec's R&D engineer testifies that the reason Uwatec changed the algorithm was simply because they added other features to the software, and in that process they simply rewrote the software using the same decompression model and one software engineer decided to write the nitrogen tracking subroutine in a different way.
Additionally, Uwatec might argue that at the time it coded the software, the model used for tracking residual nitrogen was the absolute best available, and there was no research at the time indicating that its coding was inaccurate or unsafe. That's effectively the "state of the art" defense, and as I said earlier, I don't know much about that defense.
So, as you can see, a mere change in an algorithm might not have anything to do with a defect in the software. Again, though, the ultimate conclusion depends upon the facts. That said, the fact that a change occurred would get me very excited if I were the plaintiff's lawyer, and I'd be doing some serious discovery work.
Would the change in the algorithm in future production without notifying current owners of the update constitute...b) concealment?
Believe it or not, mere non-disclosure of material facts is not necessarily wrong. The problem arises when one of the parties to a transaction has a duty to speak on a certain point and does not speak or takes steps to prevent the discovery of facts. Additionally, in some cases, a person who has an opportunity to discover the facts in the course of a reasonable investigation and does not take that opportunity will be barred from recovery.
The classic case is the purchase of a house. The seller presents the house for sale "as is", and the buyer has an opportunity to hire a home inspector to discover any problems. So long as the seller does not make misrepresentations concerning the condition of the house, the seller won't be held liable for undiscovered conditions. Now, before anyone gets all excited about the hypothetical, each state has laws governing the necessary disclosures in residential real estate transactions that modify the standard
caveat emptor ("buyer beware") philosophy I just described.
But that just highlights the real issue in this case: does Uwatec have a duty to disclose a change in its software and the reasons for that change? The general duty of care owed by one person to another is to exercise the degree of care and diligence that a reasonable person would exercise under the circumstances. I know that sounds like a bunch of mumbo jumbo, and it is. The greatest legal fiction ever devised by jurists is the "reasonable person." Such a person makes rational, reasoned decisions based upon all of the facts available under the circumstances, and is unswayed by emotional or other subjective influences. The reasonable person always thinks through all foreseeable permutations and possibilities arising out of a proposed course of conduct. Does this sound like anyone you know? Probably not, because the "reasonable person" does not exist. It's merely an objective standard against which courts measure the duties each of us owe to others.
So in this case, what are the elements of the duty of care owed by Uwatec? That's a difficult question, but a court will agree that Uwatec has a duty not to make a product that is unreasonably dangerous. A court might also agree that if a manufacturer creates a product that later becomes dangerous for a reason that was foreseeable at the time of manufacture, the manufacturer has a duty to inform consumers of that danger.
If Uwatec does have a duty to inform consumers of later-discovered problems, then we arrive at the question of whether Uwatec's non-disclosure was wrongful. If Uwatec failed to disclose the defect at all, and suppressed any knowledge of it from reaching the public, Uwatec breached its duty of disclosure. Furthermore, Uwatec's conduct might be considered reprehensible, extreme, outrageous and beyond the bounds of common decency. That could expose Uwatec to punitive damages.
Of course, if a court determines that Uwatec is strictly liable for any defects in its products, Uwatec is on the hook unless it can prove that the diver knowingly and willingly assumed the risk of injury in connection with using a Uwatec computer.
As you can see, there are a lot of "ifs" in this post. That's the nature of the law. Although we would like to think that there are absolutes, our world is not black or white; it's merely shades of grey, and we try to sort out which shade is darker or lighter than another. Let's not get off on a philosophical tangent, though.
