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Product Liability 2009 - Arnold & Porter LLP

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Allen & Overy Luxembourg Luxembourg<br />

II. Contractual and tort liability<br />

According to Luxembourg case law, if several producers are liable<br />

for the same damage, they will be declared jointly and severally<br />

liable towards the victim (responsabilité in solidum).<br />

There is no “market-share liability” in Luxembourg.<br />

2.4 Does a failure to warn give rise to liability and, if so, in<br />

what circumstances? What information, advice and<br />

warnings are taken into account: only information provided<br />

directly to the injured party, or also information supplied to<br />

an intermediary in the chain of supply between the<br />

manufacturer and consumer? Does it make any difference<br />

to the answer if the product can only be obtained through<br />

the intermediary who owes a separate obligation to assess<br />

the suitability of the product for the particular consumer,<br />

e.g. a surgeon using a temporary or permanent medical<br />

device, a doctor prescribing a medicine or a pharmacist<br />

recommending a medicine? Is there any principle of<br />

“learned intermediary” under your law pursuant to which<br />

the supply of information to the learned intermediary<br />

discharges the duty owed by the manufacturer to the<br />

ultimate consumer to make available appropriate product<br />

information?<br />

As previously mentioned (see the answer to question 1.1), a duty of<br />

information lies with the manufacturer or the seller of a product.<br />

The manufacturer or the seller must generally provide consumers<br />

with relevant information on the product, on the means of use and<br />

on the dangers involved (obligation d’information et de conseil).<br />

A specific duty of information lies with the manufacturer or seller<br />

of medical products, who must provide information on such<br />

products to users and doctors, in particular as to the possible<br />

harmful side effects. Otherwise they may be held liable (both<br />

contractually and in tort) to the extent the breach of the information<br />

duty is directly linked to a damage suffered by the victim.<br />

There is no principle of “learned intermediary” in Luxembourg.<br />

3 Defences and Estoppel<br />

3.1 What defences, if any, are available?<br />

The liability of the producer is not reduced where the damage is<br />

caused both by a defect in the product and by the fault of a third<br />

party.<br />

(c) The liability of the producer vis-à-vis the victim under the<br />

Defective <strong>Product</strong>s Act cannot be contractually limited or excluded.<br />

II. Contractual and tort liability<br />

(a) Where a fault must be proved by the victim (in both contractual<br />

and tort liability), the manufacturer or the seller may avoid or limit<br />

his liability if he proves a case of absolute necessity (état de<br />

nécessité) or a fault of the injured person.<br />

Where a presumption of liability exists (i.e. article 1384, first indent<br />

of the LCC), the manufacturer or the seller may avoid his liability<br />

if he proves (i) a case of unforeseeable circumstances (force<br />

majeure), (ii) a fault of the victim or (iii) a fault of a third party,<br />

provided that this fault presents the characters of force majeure (i.e.<br />

is unforeseeable, unavoidable and beyond his control).<br />

(b) In principle, Luxembourg law recognises the possibility for<br />

parties to contractually exclude or limit their liability for breach of<br />

contract or negligence. However, liability for death, personal<br />

injury, gross negligence or fraud cannot be excluded or limited by<br />

way of contract.<br />

3.2 Is there a state of the art/development risk defence? Is<br />

there a defence if the fault/defect in the product was not<br />

discoverable given the state of scientific and technical<br />

knowledge at the time of supply? If there is such a<br />

defence, is it for the claimant to prove that the fault/defect<br />

was discoverable or is it for the manufacturer to prove that<br />

it was not?<br />

The Defective <strong>Product</strong>s Act has not implemented into Luxembourg<br />

law the provision of the EU Directive on defective products<br />

whereby the producer cannot be held liable if he proves that the<br />

state of scientific and technical knowledge at the time when he put<br />

the product into circulation was not such as to enable the existence<br />

of the defect to be discovered. Hence, the Defective <strong>Product</strong>s Act<br />

does not consider development risk as a means of defence for the<br />

producer.<br />

There are no Luxembourg case law precedents on this specific<br />

issue.<br />

WWW.ICLG.CO.UK 213<br />

I. Legislation on defective products<br />

(a) Pursuant to article 4 of the Defective <strong>Product</strong>s Act, the producer<br />

shall not be liable if he proves:<br />

3.3 Is it a defence for the manufacturer to show that he<br />

complied with regulatory and/or statutory requirements<br />

relating to the development, manufacture, licensing,<br />

(i) that he did not put the product into circulation;<br />

marketing and supply of the product?<br />

(ii) that, having regard to the circumstances, it is probable that<br />

the defect which caused the damage did not exist at the time The producer shall not be held liable under the Defective <strong>Product</strong>s<br />

when the product was put into circulation or that this defect Act, in contract or in tort, if he proves that the defect is due to<br />

came into being afterwards;<br />

compliance of the product with mandatory regulations issued by<br />

(iii) that the product was neither manufactured for sale nor for<br />

any other form of distribution for economic purposes, nor<br />

public authorities.<br />

manufactured or distributed in the scope of the producers’<br />

business;<br />

(iv) that the defect is due to compliance of the product with<br />

mandatory regulations issued by the public authorities; or<br />

3.4 Can claimants re-litigate issues of fault, defect or the<br />

capability of a product to cause a certain type of damage,<br />

provided they arise in separate proceedings brought by a<br />

different claimant, or does some form of issue estoppel<br />

(v) in the case of a manufacturer of a component, that the defect<br />

is attributable to the design of the product in which the<br />

prevent this?<br />

component has been fitted or to the instructions given by the<br />

manufacturer of the product.<br />

Pursuant to article 1351 of the LCC, the authority of res judicata (la<br />

chose jugée) does not allow a challenge to what was definitely<br />

(b) According to article 5 of the Defective <strong>Product</strong>s Act, the liability judged between the same parties. Consequently, the same parties<br />

of the producer can be reduced if the damage is caused jointly by a cannot initiate new legal proceedings based on the same grounds<br />

defect in the product and by the fault of the victim or any person for and the same subject matter.<br />

whom the victim is responsible.<br />

However, it is possible for another victim to sue the same producer<br />

ICLG TO: PRODUCT LIABILITY <strong>2009</strong><br />

© Published and reproduced with kind permission by Global Legal Group Ltd, London<br />

Luxembourg

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