Product Liability in EU-1 (1)

Product Liability - Product Liability in European Union QI WU 1 Abstract This paper concerns product liability legislation and implementation

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Product Liability in European Union QI WU March 24, 2009 1
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Abstract This paper concerns product liability legislation and implementation within the European Union and its Member of States. In particular, the effectiveness of the European Product Liability Directive will be evaluated. The victim of a product related accident must be able to recover damage suffered under the Directive 85/374/EEC. This requires a transparent, accessible liability system. In the past ten years, the European Commission issued several reports on application of the Directive. The 2006 report concluded that the Directive works by and large in a satisfactory way, and that there is no need for amendments. This project integrates many resources and articles focusing on how to approach product liability in European Union and Member States? What are the differences between these countries dealing with this legislation and whether the Directive indeed works in a satisfactory way? 2
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The Product Liability Directive The Product Liability Directive was signed in 1985 and imposed on August 1, 1988. It is the oldest and most significant European Union directive, established the modern concept of product liability. Till now, fourteen of sixteen European countries who are part of the European Union have passed the product Liability Directive. The directive only applies, in each respective country, to products put into circulation after the directive’s effective date. Product Liability Directive provides, in Article 1 1 , that described producer shall be liable for damage caused by a defect in his product. Producers include manufacturers, component part suppliers, importers and anyone using a trade name or trade mark. A product is defective when it “does not provide the safety which a person is entitled to expect” considering all circumstances, including: The presentation of the product The products reasonably expected uses The time the product was put into circulation The consumer to prove defect, causation and damages Defenses . Several defenses are available under the Product Liability Directive. Article 7 2 provides that a producer is not liable if The producer did not put the product in circulation The defect did not exist when the product in the course of business The defect is due to compliance with mandatory public regulations Existing knowledge and science could not have discovered the defect The producer is a component supplier and the defect is attributable to the final product. 1 Directive 85/374/EEC, Article 1. 2 Directive 85/374/EEC, Article 7 3
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Damage. Product liability is the attempt to answer the question of whom the risk of damage resulting from modern machine-guided mass production should be allocated. It should be allocated to: The victim, as the price for his participation in the advantages of the industrial development. To the state, this means to all taxpayers in solidarity
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This note was uploaded on 04/18/2010 for the course ECON 314 taught by Professor Qian during the Spring '10 term at Saint Louis.

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Product Liability - Product Liability in European Union QI WU 1 Abstract This paper concerns product liability legislation and implementation

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