The cabinet has approved the draft Defective Products Liability Act, which would provide consumers with statutory…

The cabinet has approved the draft Defective Products Liability Act, which would provide consumers with statutory protection against product defects.

Under the draft, general consumer goods are covered for six months, while motor vehicles are covered for one year from the date of delivery.

According to deputy government spokeswoman Lalida Persvivatana, the legislation also introduces additional protections for cars and motorcycles. If a safety-related defect is discovered and cannot be repaired to restore the vehicle to its normal operating condition, the buyer has the right to request a replacement vehicle or terminate the contract. Sellers would be required to cover expenses or provide substitute benefits while repairs are being carried out.

Ms Lalida said the cabinet approved the draft, as proposed by the Office of the Consumer Protection Board and reviewed by a Council of State committee.

The bill aims to establish clear rules governing liability for product defects, aligning the law with current commercial practices, strengthening protections for both buyers and sellers, and reducing disputes arising from the sale of goods, she noted.

Current liability provisions for defective products under the Civil and Commercial Code are considered insufficient to address the increasingly complex issues of modern commerce, particularly in cases where defects cannot reasonably be detected at the time of purchase or delivery.

Key provisions of the draft include extending its application to transactions involving general goods in both business-to-consumer and business-to-business relationships. The law would also cover hire-purchase agreements, financing arrangements and barter transactions.

However, the draft would not apply to second-hand goods, live animals or certain categories of products specified in ministerial regulations.

The legislation also introduces a presumption of defect to enhance consumer protection. Under this provision, if a defect becomes apparent within a specified period, the product will be presumed to have been defective at the time of delivery unless proven otherwise. The periods are six months for general goods, one year for motor vehicles, and six months for motorcycles, measured from the date of delivery.

The draft clearly defines buyers' rights to seek remedies from sellers. For general goods with a material defect, buyers may request a replacement product. If the seller is unable to provide a replacement, the buyer may terminate the contract. For non-material defects, buyers may request repairs, a price reduction or contract termination, subject to conditions set out in the law.

For electrical appliances, electronic devices and engine-powered equipment, if a material defect is discovered within 14 days of delivery, buyers may immediately request a replacement. If a replacement cannot be provided, the buyer may terminate the contract and claim damages.

The bill would also allow buyers to seek compensation for additional necessary and reasonable expenses, while setting limitation periods for bringing claims of one year for general goods and two years for motor vehicles, motorcycles, electrical appliances and electronic devices, calculated from the date the buyer discovers the defect or the date the seller agrees to undertake corrective action.