E.E.C. Directive on Product Liability
The E.E.C. has issued a Directive on Product Liability which has important implications for Irish Law.
The Directive, which requires Member States to bring in the laws and regulations necessary to comply with its provisions not later than the 30th July, 1988, supplements the existing remedies in tort and contract.
The essence of the Directive is that the producer shall be liable for damage caused by a defect in his product. Liability is based, not on wrongful conduct by the producer, but merely on proof of the fact that a defect in the product caused the plaintiff damage. Under Article 6 a product is defective when it "does not provide the safety which a person is entitled to expect" taking all circumstances into account. As the key word is safety, products that are safe but shoddy do not fall within the scope of the Directive.
Articles 2 & 3 define "product" and "producer" and the onus of proof is clearly on the injured person.
A general limitation period of 3 years, to run from the day on which the Plaintiff became aware or should reasonably have become aware, of the damage, the defect and the identity of the producer, will apply to proceedings for damages under the Directive. However, the rights of an injured person are to be extinguished on the expiry of 10 years from the date on which the producer put the product into circulation - unless proceedings have been instituted in the meantime.
The Directive provides five defences to the "strict liability" principle and also provides for contributory negligence on the part of the injured person.
Practitioners are referred to the comprehensive article on the Directive by Mr. William Binchy in the March & April 1986 issues of The Law Society Gazette for further information.