The EU is currently overhauling its product liability laws. Prompted by the perceived risks of new technologies and a desire to make it easier for claimants to bring claims for medical device and pharmaceutical claims, the changes represent a major shift in the litigation landscape in the EU. They will have a profound effect for life sciences companies, especially when taken together with the EU’s new class actions mechanisms. As a result, businesses need to prepare for an increase in the already growing trend of EU consumer claims against life sciences manufacturers and suppliers.
New EU liability rules proposed for artificial intelligence
European Commission publishes new liability rules to simplify claims for damage caused by AI-systems
Court of Appeal Lifts Stay to Allow English Court to Determine the Validity of Arbitration Clause
The Court of Appeal of England and Wales has set aside a stay in order to allow the English court to determine the validity of an arbitration clause contained in a contract between an English consumer and a foreign company. The stay had been imposed by the Commercial Court under section 9 of the Arbitration Act 1996 in favour of arbitral proceedings in New York. The Court of Appeal considered that the case had significant implications for consumers in general and it was therefore important that the issues were considered and ruled upon in public in an English court rather than privately in a US arbitration.
New EU Class Actions Mechanisms to be Implemented by Christmas
New laws allowing groups of EU consumers to launch class actions against traders are to be implemented by 25 December 2022 and will apply from June next year. The EU’s Representative Actions Directive (EU) 2020/1828 represents a major overhaul of the European class actions landscape, introducing mechanisms for group litigation in every one of the EU’s 27 Member States, alongside a new cross-border mechanism for class actions.
Misleading ESG Claims – Will They Wash?
‘Greenwashing’ is the practice of a company providing information on its environmental, social and corporate governance (ESG) policies, or its products and practices, with the intent to present an environmentally responsible public image that masks harmful business practices.
UK Supreme Court rules on whether a product is defective
A decision of the UK Supreme Court has reaffirmed recent judicial guidance on the approach to defects under the UK’s product liability regime and held that actions including the issuing of official notices and alerts by regulators and the manufacturer, and the voluntary withdrawal of the product range from the market, are not prima facie evidence of a defect alone and should be considered in light of other evidence.