[TheThinkTank] Legal Liability for Bikes Donated and then given out for free?

Hello, I'm in NY the "litigation state" and am trying to get my former employer, a BIG Ten employer to organize a bike collection event at their local manufacturing facility. The company has DEEP pockets so they get concerned about the potential for liability in the event that a donated bike ends up injuring someone due to defects that existed when it was donated, or that occurred when it was repaired before it was given away. Let me know your experience with this, from legal prospective, please don't reply with complaints about the "system" as we all know the system s**ks! Thanks, Mike