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After 40 years, the existing Product Liability Directive 85/374/EEC is set to be replaced by Product Liability Directive EU 2024/2853 (New Directive). The New Directive entered into force on 8 December 2024, and EU Member States must transpose it into national law by no later than 9 December 2026.
The New Directive seeks to provide claimants with increased legal protection and certainty. It is also set to modernise the existing product liability framework so that it may function efficiently in the digital age and be fit for a global value chain.
This article is the final instalment in a three-part series on Irish product liability law. In our first article, we identified the key changes that the New Directive is set to introduce into Irish law. Our second article examined the potential implications of these changes for Irish businesses. In this briefing, we will consider how the New Directive is likely to interact with other relevant legislative instruments, such as the General Product Safety Regulation (GPSR) and the Representative Actions for the Protection of the Collective Interests of Consumers Act 2023 (Representative Actions Act 2023).
GPSR
The GPSR is the EU’s general framework for the safety of non‑food consumer products and has applied since 13 December 2024. GPSR places a clear duty on businesses to ensure their products are safe, taking into account factors such as product design, warnings, foreseeable use and any relevant digital or cybersecurity risks. The Regulation also introduced stronger obligations for online marketplaces and significantly enhanced product recall processes and enforcement across the EU.
The scope of GPSR differs from that of the New Directive. The GPSR establishes a preventative framework, focusing on product safety before and during their placement on the market. In contrast, the New Directive governs compensation after damage occurs due to a defective product. When taken together, the two regimes provide comprehensive consumer protection across the entire product lifecycle.
Representative Actions Act 2023
The Representative Actions Act 2023 established Ireland’s first formal framework that provides consumers with an option to join together to pursue a single, coordinated claim if their consumer rights have been infringed under specified consumer legislation. It has been in effect since 30 April 2024. This regime enables “qualified entities” to bring representative actions on behalf of consumers, at both national and cross-border level, and to seek orders stopping unlawful practices or secure remedies such as compensation, repairs or replacements for affected consumers. The Act applies across a wide range of sectors, including financial services, travel, data protection, energy and telecommunications.
It should be noted that concerns have been expressed about the funding of such actions given the general prohibition on third party funding of litigation in Ireland (as discussed in more detail in our earlier briefing). Nevertheless, like the GPSR, the Representative Actions Act 2023 will likely complement the New Directive. While the New Directive sets out the circumstances in which businesses are strictly liable for harm caused by defective products, the Representative Actions Act 2023 establishes a mechanism through which consumers can pursue collective proceedings to enforce those rights. Together, they significantly increase the potential scale and impact of product-related claims, thereby heightening litigation risk and financial exposure for businesses operating in Ireland.
Conclusion
For Irish businesses, the combined effect of the New Directive, the GPSR, and the Representative Actions Act 2023 is a significantly more demanding compliance and litigation landscape. The GPSR imposes stricter day‑to‑day product safety duties and enhanced recall obligations, while the New Directive will, once transposed, broaden strict liability to capture a wider range of economic operators and will significantly expand the types of claims that businesses may face. At the same time, the Representative Actions Act 2023 introduces a mechanism for collective redress in respect of breaches of specified EU consumer protection legislation, creating a pathway for coordinated, high-value claims in Irish courts.
Taken together, these regimes heighten both regulatory expectations and litigation exposure, meaning Irish businesses will need strong product safety governance, clear supply chain oversight, and robust ‘paper trails’ to mitigate the increased risk profile.
Key Takeaways from our Product Liability Series
Across this three‑part series, we have outlined the key changes the New Directive will introduce into Irish law, the practical implications for Irish businesses, and the related legislation that will shape how the New Directive operates in practice.
Key takeaways for businesses to keep in mind include:
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Broader definition of “products”: With the New Directive extending the scope of what constitutes a “product”,businesses, particularly those in the software and technology sectors, should assess whether their offerings will fall within scope.
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Introduction of “economic operators”: The New Directive broadens the range of potentially liable parties across the supply chain. Businesses at every stage of the supply chain ought to evaluate their potential exposure.
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Long‑stop period in certain cases: Although the standard long‑stop period is 10 years, it may now extend to 25 years in certain specified cases of latent harm. This has the potential to prolong liability exposure significantly, and businesses should take this into account when reviewing insurance arrangements and financial reporting obligations.
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Implications for Insurance Coverage: The expanded scope of liability under the New Directive is likely to result in increased demand for product liability insurance. For insurers, this may mean reassessing policy terms, exclusions and limits, particularly in light of the broader definition of “product” and the extended long-stop period in certain cases. For insured businesses, there will be a requirement to consider the adequacy of existing insurance arrangements and the need for coverage extensions in light of the evolving risk profile.
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Preparation for transposition by December 2026: With the deadline for transposition approaching, businesses should review their product governance, compliance processes, supply‑chain arrangements, and insurance coverage to ensure readiness for the enactment of the enhanced obligations.
The authors would like to thank Jane Rigby for her contribution to this article
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
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