EU modernises product liability rules
Brussels, 9 December 2024
The European Union has adopted a new directive modernising the bloc’s product liability rules. The new rules will make it easier for consumers to obtain compensation for damages caused by defective products, and will also strengthen the liability of producers.
The new directive will replace the current Product Liability Directive, which was adopted in 1985. The current directive has been criticized for being outdated and for not providing sufficient protection to consumers.
The new directive addresses a number of shortcomings in the current directive. For example, the new directive:
- Extends the definition of “product” to include digital products and services.
- Creates a new “defect” definition that is based on the concept of “reasonable safety”.
- Makes it easier for consumers to prove that a product is defective.
- Increases the maximum amount of compensation that consumers can claim.
The new directive also includes a number of provisions that are designed to strengthen the liability of producers. For example, the new directive:
- Makes it easier for consumers to hold producers liable for damages caused by their products, even if the producer was not at fault.
- Creates a new “strict liability” regime for certain types of products, such as pharmaceuticals and medical devices.
The new directive is expected to come into force in 2026.
Background
The Product Liability Directive was adopted in 1985. The directive was designed to harmonize the product liability laws of the EU Member States. The directive has been amended several times since its adoption, but the most recent amendment was in 2009.
The current Product Liability Directive has been criticized for being outdated and for not providing sufficient protection to consumers. For example, the current directive does not cover digital products and services. The current directive also makes it difficult for consumers to prove that a product is defective.
The new Product Liability Directive is designed to address these shortcomings. The new directive will provide consumers with greater protection and will also strengthen the liability of producers.
Impact
The new Product Liability Directive is expected to have a significant impact on businesses and consumers. Businesses will need to ensure that their products are safe and that they have adequate insurance coverage. Consumers will benefit from the new directive because they will be able to obtain compensation more easily for damages caused by defective products.
Next steps
The new Product Liability Directive will now need to be transposed into the national law of each EU Member State. The directive will come into force in 2026.
EU modernises product liability rules
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