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Product Liability 2009 - Arnold & Porter LLP

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Scotland<br />

274<br />

McGrigors <strong>LLP</strong> Scotland<br />

relation to claims under the Act the Pursuer requires to prove that<br />

the producer supplied the product, that the product was defective<br />

and that the defect caused the injury or damage. The onus of<br />

proving a defence under the Act rests with the producer. The<br />

standard of proof is, again, the balance of probabilities.<br />

2.2 What test is applied for proof of causation? Is it enough<br />

for the claimant to show that the defendant wrongly<br />

exposed the claimant to an increased risk of a type of<br />

injury known to be associated with the product, even if it<br />

cannot be proved by the claimant that the injury would<br />

not have arisen without such exposure?<br />

It is unlikely to be enough for the claimant to show that the defender<br />

wrongly exposed the claimant to an increased risk known to be<br />

associated with the product (particularly where general causation is<br />

in issue) and if the claimant cannot prove (on the balance of<br />

probabilities) that the injury would not have arisen without such<br />

exposure. For example, in McTear v Imperial Tobacco Limited<br />

(2005 2 SC 1), it was held that in order to establish that exposure to<br />

a substance can cause, or has caused, a condition it must be shown<br />

on the evidence that, on the balance of probabilities, the condition<br />

would not have occurred “but for” the exposure. This applies to<br />

exposure on a single occasion and cumulative exposure. In McTear,<br />

the Court was concerned with whether smoking could cause lung<br />

cancer and if it could, whether it caused Mr. McTear’s lung cancer.<br />

(The claim failed and it was held that there was no liability on the<br />

defenders.) Evidence of exposure associated with an increased risk<br />

of injury complained of is unlikely to be enough to prove causation<br />

although that is likely to depend on the circumstances of the case<br />

including the nature and strength of the association.<br />

The “but for” test had been affirmed by the House of Lords in<br />

Fairchild v Glenhaven Funeral Services Ltd and Others (2002) All<br />

ER 305. In that case, it was accepted that the plaintiffs would not<br />

have contracted mesothelioma but for exposure to asbestos: the<br />

problem was that it was not possible to say whether it was an<br />

accumulation of asbestos fibres or one individual fibre which had<br />

triggered the condition. It was not possible to determine if only one<br />

employer, or some employers, out of several who had been<br />

negligent in respect of exposure to asbestos, were responsible for<br />

the exposure which caused the condition. Since the exposure could<br />

have been on a single occasion, could liability nevertheless be<br />

established against each of the employers? The Court held that<br />

where an employee had been exposed by different defendants<br />

during different periods of employment, to inhalation of asbestos<br />

dust in breach of each defendant’s duty to protect him from the risk<br />

of contracting mesothelioma and where that risk had eventuated<br />

but, in current medical knowledge, the onset of the disease could<br />

not be attributed to any particular or cumulative wrong, a modified<br />

approach to causation was sufficient. Accordingly, the claimant<br />

could, on a balance of probabilities, prove the necessary causal<br />

connection to establish the defendants’ liability.<br />

The decision means that individuals who have been exposed to<br />

asbestos while working for more than one employer are entitled to<br />

seek compensation, despite being unable to prove which employer<br />

exposed them to the asbestos which may have caused their illness,<br />

it being possible that mesothelioma could be caused by just one<br />

speck or fibre of asbestos dust. The decision is not easy to translate<br />

to other circumstances and it is important to note that there was no<br />

issue among the parties as to whether 1) asbestos could cause<br />

mesothelioma and 2) that it caused mesothelioma in the employee<br />

in question. Damages for claims for mesothelioma are now covered<br />

by section 3 of the Compensation Act 2006.<br />

2.3 What is the legal position if it cannot be established which<br />

of several possible producers manufactured the defective<br />

product? Does any form of market-share liability apply?<br />

No. If the pursuer cannot prove his case on the balance of<br />

probabilities against a specific producer the claim will fail.<br />

However, if several companies supply parts to a manufacturer who<br />

assembles “the product” it may be that all of those businesses could<br />

be liable. This has not been tested in the Scottish Courts.<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 />

Failure to warn may give rise to liability under the Act and in<br />

negligence. In terms of section 3(1) of the Act, there is a defect in<br />

a product if the safety of that product is not such as persons<br />

generally are entitled to expect. In determining what persons<br />

generally are entitled to expect a variety of factors will be<br />

considered, such as any instructions or warnings provided in<br />

relation to the product. In Chadwick v Continental Tyre Group Ltd<br />

[2008] CSOH 24, the court considered that “a reasonably<br />

foreseeable risk cannot amount to a defect in a product within the<br />

meaning of Section 3”.<br />

Producers/distributors are likely to owe a duty to take reasonable<br />

care to provide sufficient information and warnings with their<br />

products.<br />

There are few Scottish reported cases on the Act and the Scottish<br />

Courts have not decided the relevance of warnings provided by<br />

intermediaries.<br />

In McTear v Imperial Tobacco Ltd (2005 2 SC 1), the Court<br />

accepted the proposition that there is no duty to warn of risks of<br />

which the ordinary member of a relevant class of people may<br />

reasonably be assumed to be aware. The Court referred to the<br />

standard of the “normally intelligent person”.<br />

Whether ‘learned intermediaries’ warnings are likely to be<br />

sufficient to discharge the obligation on the manufacturer to provide<br />

appropriate product information to the ultimate consumer will<br />

depend on the relevant facts and circumstances.<br />

3 Defences and Estoppel<br />

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

Section 4(c) of the Act contains six defences. It is for the producer<br />

to prove these to the court’s satisfaction:<br />

(a) The defect in the product arose through compliance with a<br />

requirement imposed by law or a European Community<br />

obligation. This defence may be difficult to utilise<br />

successfully. Government guidance suggests that a producer<br />

WWW.ICLG.CO.UK<br />

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

© Published and reproduced with kind permission by Global Legal Group Ltd, London

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