Product Liability Lawyers — Part 3-5 ACL — All States & Territories
Product Liability Lawyers (ACL) — Defective Goods. Strict Liability. No Fault Required.
Part 3-5 of the Australian Consumer Law imposes strict liability on manufacturers and importers for loss or damage caused by goods that have a safety defect. You do not need to prove the manufacturer was negligent — the defect and the causation of your loss are the only elements. A consumer law lawyer advises consumers who have suffered injury, property damage, or economic loss from defective goods on their strict liability claim under the ACL.
⚠ Product liability claims under Part 3-5 ACL must be commenced within 3 years of the day the claimant became aware (or ought reasonably to have become aware) of the loss, the defect, and the identity of the manufacturer — and no later than 10 years after the goods were supplied. Act before time limits expire.
Product Liability Law
Strict liability for defective goods under Part 3-5 ACL
Part 3-5 of the ACL (ss 138–150) implements Australia's statutory product liability regime — based on the EU Product Liability Directive and the US Restatement (Second) of Torts. The regime imposes strict liability on manufacturers (and importers, who are deemed manufacturers for ACL purposes) for loss or damage caused by a defect in goods they supply.
A product has a safety defect for ACL purposes if its safety is not such as persons generally are entitled to expect — taking into account all relevant circumstances, including: the manner in which the goods were marketed; the use of any mark (including safety marks) in relation to the goods; instructions or warnings supplied with the goods; what might reasonably be expected to be done with the goods; and the time when the goods were supplied (s 9(2) ACL).
The claims that can be made under Part 3-5 ACL are: (1) s 138 — loss suffered by an individual because of personal injury caused by a defect; (2) s 139 — loss suffered by a person because of damage to other goods ordinarily acquired for personal, domestic, or household use caused by a defect; (3) s 140 — loss suffered by a person because of damage to land, buildings, or fixtures acquired for private use caused by a defect; and (4) s 141 — loss suffered by a person because of damage to other land, buildings, or fixtures caused by a defect in goods incorporated into the damaged property.
The defendants in a Part 3-5 ACL action are the manufacturer of the goods and any person who holds themselves out as the manufacturer (by putting their name or brand on the goods). The retailer is not strictly liable under Part 3-5 — but may be liable to the consumer under the consumer guarantee provisions (Part 3-2 ACL) or under common law negligence.
Key defences under s 142 ACL include: the defect did not exist when the goods were supplied by the manufacturer; the state of scientific or technical knowledge at the time of supply was not such that the defect could have been discovered (the "development risks" or "state of the art" defence); and the defect resulted solely from compliance with a mandatory standard.
Product Liability Matters
Product liability (ACL) matters we handle
Personal injury from defective products
ACL s 138 claims for personal injury — including burns, lacerations, fractures, and internal injuries — caused by defective electrical appliances, tools, toys, medical devices, and vehicles.
Property damage from defective goods
ACL s 139 and s 140 claims for damage to other property — including fire damage caused by defective batteries, appliances, and electrical products — caused by goods with a safety defect.
Defective food and beverages
ACL product liability and consumer guarantee claims for physical injury and illness caused by contaminated, adulterated, or incorrectly labelled food and beverages.
Motor vehicle defects
ACL strict liability claims against vehicle manufacturers for defective components — including airbag defects (Takata airbag recall), brake failures, and fuel system defects — that cause personal injury or property damage.
Defective children's products
ACL product liability claims for injury to children caused by defective toys, furniture, nursery products, and clothing that do not meet the applicable mandatory safety standards.
Medical device liability
ACL strict liability claims against manufacturers of defective medical devices — including implantable devices, surgical instruments, and diagnostic equipment — that cause personal injury or additional surgery.
Frequently Asked Questions
Product liability (ACL) questions answered
Can I sue the retailer (not the manufacturer) under the ACL product liability provisions?
The strict liability provisions in Part 3-5 ACL apply to the manufacturer (and importer, deemed to be the manufacturer) — not to the retailer. However, the retailer may be liable under the consumer guarantee provisions (Part 3-2 ACL) regardless of who made the goods. For personal injury from defective goods, claim against the manufacturer under Part 3-5 (strict liability) and consider a common law negligence claim against the retailer if applicable.
What is the limitation period for Part 3-5 ACL claims?
Section 143 ACL provides two limits: (1) 3 years from when the claimant became aware of the loss, the defect, and the identity of the manufacturer; and (2) a long-stop of 10 years from the supply date. Regardless of when you discover the defect, no claim can be made more than 10 years after the goods were supplied by the manufacturer.
What is the 'development risks' defence?
Section 142(c) ACL provides that a manufacturer is not strictly liable if the state of scientific or technical knowledge at the time of supply was not such that the defect could have been discovered. The burden lies on the manufacturer to establish that the defect was undiscoverable given the state of knowledge at the relevant time — distinguishing between genuinely unknowable defects and defects that were known but not acted on.