Case Study

Case Study

Case Study

Introduction

In an economic age ruled by consumerism, the idea that the consumer needs protection against certain abusive practices of sellers, suppliers or manufacturers follows naturally. On account of the difference in economic strength, influence and knowledge between producer and consumer, the latter is perceived to be in a weaker position and thus many national jurisdictions afford additional legal protection to him in the event of a dispute. Furthermore, the Single Market can be described as consumer-oriented to an extent, since a large part of the European Community policies is directed towards goals that in many respects serve the individual(product-liability.lawyers.com).

Increase in social awareness, improvement of working conditions, better standards of living, opening of the markets and, of course, a superior buying power, aim to ensure some of the fundamental interests of the individual within the framework of a new European legal order. Consequently, the interests of the consumer cease to be the exclusive preoccupation of national legal orders and become a concern for the Community as a whole. The Maastricht Treaty has now elevated consumer protection to the status of a Union policy1 but specific European-wide programmes envisaging rights for the consumers have been implemented since 1975.2 For the Community, consumerism is defined in terms of a clash of interests between collective and individual forces of the market, with European unification offering further opportunity for malpractices across the failing barriers.

In order to preserve the unity of this market and protect the individuals appropriately, the EC has not only to devise a common policy and to ensure its enforcement, but also to bring the Member States in line with it. The task is quite arduous as it is necessary to ensure that the Community measures are sufficiently adaptable to take effect within the diverse national systems of all the Member States, without compromising the legal protection offered by the Community rules or by the individual countries themselves(Tsouroulis 1993).

Discussion

One of the most important aspects of consumer protection is the problem of claiming compensation against a producer when the goods have been defective and have caused injury (or death) to a person or damage to property. The system concerned with the operation of the basic rules of liability of manufacturers, retailers, importers and installers for defects in the products they supply is called, for short, product liability. Although every country has its own methods and ways of applying the theories of product liability, two brood areas exist where problems arising from defective or unsatisfactory goods can be dealt with: liability in contract and liability in delict.

The former deals with the situations were the plaintiff consumer is bound to the manufacturer directly by some contractual relation, usually sale of goods. However, the problems arise mainly in assessing the liability of the producer were there is no direct link between him and the final consumer of the goods, usually because of the existence of a long chain of distributors, importers, suppliers, resellers and ...