1. Necessity of Products Liability Law in Korea
Even though it has been possible for every country to protect consumers form harm or damages caused by product defects without products liability law (PLL), in recent decades many countries - like the...
1. Necessity of Products Liability Law in Korea
Even though it has been possible for every country to protect consumers form harm or damages caused by product defects without products liability law (PLL), in recent decades many countries - like the U.S, every European country, and Japan - have legislated their own types of PLL. that many lawmakers found that PLL helps protect consumers.
In the U.S, there is no federal products liability law, but products liability has become a part of the tort law of every state through numerous litigations. Section 402A, adopted in 1964 by the American law Institute (ALI) as a part of the Restatement Second of Torts and entitled “Special Liability of Seller of Product for Physical Harm to User or Consumer”, has been accepted as a principle rule for judicial decision.
In Europe, the “Council Directive of 25 July 1985 on the approximation of laws, regulations and administrative provisions of the Member States concerning liability for defective products (85/374/EEC)” was adopted in order to make the competitive conditions in the EC common market uniform, to promote the movement of goods in the market, and to protect consumers in the member states. It took some time, but each EC country has established according to the Directive its own statutes, regulations or administrative procedures for product liability. The last Euro country to legislate PLL was France, which on 19 May 1998 made it a part of the civil law.
Only Japan among leading advancing industrial countries had not made relevant law, it finally have made law of products liability on June, 1994 and our Korea becomes to lie under effect of above countries inevitably.
This also affected EFTA-countries aimed at establishing EEA throu호 unification with EC, finally causing all EFTA-joining Countries to make law of Product liability. In addition, Australia, Brazil, 껴냠, China ect also made law of products liability to adopt strict liability.
Under such situations our Korea cannot sit idle watching, Administration Innovation Committee under the Prime Minister office have examined to make law of products liability as strategic issue for consumer protection from end of 1993 and reached final conclusion to make of products liability recently. it finally have made law of products liability on 12 January 2000.
2. Composition of Essay
At such time, this Essay is prepared to help relating discussion.
In Chapter 1, I'll examine whole of present situation under which products liability saw is discussed, then establishing study orientation of this essay.
In Chapter 2, I'll examine conception and history of law theory for products liability, position of our judicial precedents, law composition method on present law and its problem, appearance and theoretical, political base of new law theory to overcome its limit.
In chapter 3, I'll explain hole contents products liability law.
In Chapter 4, I'll explain the other nation's products liability system.
In Chapter 5, I'll explain the issue and subject of products liability law.
Finally, in Chapter 6, I'll tentative conclusion with regard to desirable orientation and contents in made products liability law in our Korea.
3. Development of Product Liability Theories
Until the early 1800s, one could not be compensated for harm caused by product defect if there was no privity of contract between the plaintiff and the defendant(see Winterbottom v. Wright (Court of Exchequer, 1842)). However, in the late 1800s, the courts were recognizing privity-free product liabilities. Courts in many states began imposing negligence and strict warranty liabilities on commercial sellers defective goods, though in the beginning it was under very limited conditions (Thomas v. Winchester ( 6 N.Y. 397, 1852), Macpherson v. Buick Motor Co. (217 N.Y.382,111N.E. 1050,1916)).
In the early 1960s, American courts began to recognize that a commercial seller of any product having a manufacturing defect should be liable in tort for harm caused by defect, regardless of plaintiff's ability to maintain a traditional negligence or warranty action. A plaintiff was not required to be in direct privity with defendant seller to bring an action. Strict liability in tort for defectively manufactured products merges the concept of implied warranty, in which negligence is not required, with the tort concept of negligence is not required, with the tort concept of negligence, in which contractual privity is not required.
The rationale for imposing strict liability in tort on commercial sellers of defective products is as follows:
(1) The seller has an abundance of high technical knowledge and information about its products and is in the position who could control or eliminate danger in the use of such products.
(2) The seller earns profits by selling products.
(3) The seller can diminish the burden of cost caused by defective products by raining the price of its products or by getting insured against the costs of defective products.
(4) The potential for imposition of liability could give the sellerincentive to make safer goods.
Form the 1970s to the mid-1980s, in order to strengthen protection of consumers, US courts have applied many other principles. It could be said the history of litigation for product liability is the history of expansion of concept of defects of products. Until the late 1960s and the early 1970s, strict liability has been imposed in connection with manufacturing defects; however, as time went on, strict liability began to be imposed for even design defects and inadequate instructions or warnings.
4. Conclusion
Tentative conclusion with regard to major points and subject in made relevant law in Korea is summed up as followings:
(1). Law form follows comprehensive law according to made of special law.
(2). Characteristics of law follows law to relieve the injured on the base of understanding it as special case of illegal action (even though so understand, likewisely main object is to protect consumer).
(3). Range of manufacturing products includes movable estate and rel estate which is marketable products. Non-processed agricultural, forestry, fishery products is desirable to contained in object. Fundamentally intangible energy such as service and electricity, and software shall not be contained in manufacturing products shall be object for products liability law.
(4).Principal subject of liability shall be manufacturer(including similar manufacturer), importer, supplier shall bear subsidiary liability in case which manufacturer is not noticeable.
(5). Limit of damage compensation is not restricted as long as we regard this law as the injured relief law of special law of illegal action.
Only damage of manufacturing products itself shall be excluded from compensation. Additional penalty (damage compensation as penalty) shall not be admitted.
(6). Plea with regard to development risk shall not be admittable.
(7). Legal presumptive provision for the existence of defeat regarding evidence liability and the cause-effect relation between defect and damage shall not be admittable. only presumptive provision for existence time of defect shall be made considering on evidence burden of the injured. In this case, a fixed exemption cause of manufacturer is admitted.
(8). Liability limit amount and indemnity amount shall not needed separately and interpretation of liability restrict special contract shall follow the Civil Law.