The Claim: A tricycle manufacturer settled out of court for $7.5 million rather than risk a jury verdict award over the color of its trikes. 

The Truth: One of the more distorted anecdotes perpetuated, the color of the tricycle had no relevance or bearing on the outcome of this action. 

The suit was filed on behalf of a 20-month-old child whose life was tragically altered by a defectively designed tricycle. He was riding the trike, which had a wire metal basket over the handlebars, when it tipped over, causing an exposed prong on the basket to penetrate his skull through the nostril. The resultant leakage of cerebrospinal fluid required a craniotomy and insertion of a lumbosacral shunt that allows excess fluid to empty into a plastic box in his abdomen. 

Before settlement, the child had undergone five surgeries, had been hospitalized ten times, and was expected to require additional operations in the future. Besides this brain damage, his physical abilities have been permanently limited. 

The suit alleged defective and dangerous design of the tricycle, as well as failure to warn of the danger of the metal basket. While one of the numerous design problems cited was the fact that the color of the basket and trike concealed the dangerous nature of the metal prong, this was not the main defect asserted nor the reason the defendant parties elected to avoid a trial. 

The manufacturer and seller of the tricycle decided to settle the case for $1.9 million, enabling the child to meet his future medical needs.