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Consumer Protection

We provide advice to local and international suppliers on issues related to the Consumer Protection Act and associated  risks.

The introduction of the Consumer Protection Act of 2008 (“CPA”) holds severe implications for entities forming part of the supply chain.  Certain provisions of the CPA came into operation on 24 April 2010, whereas the bulk of the Act, came into operation on 31 March 2011.

The CPA introduces strict product liability for any harm caused as a result of the supply of unsafe products, product failure, or inadequate warnings and instructions.  In terms of strict liability, it is not necessary for the consumer to prove that the manufacturer was at fault in causing the defect.  The net effect is that the supply chain will be exposed to product liability minefields.

In addition, the CPA introduces a number of requirements with which suppliers must comply.  Our CPA team is able to provide assistance and advice on a wide range of CPA-related issues, including:

• advising clients with regard to compliance with the CPA;
• drafting and negotiating CPA-compliant supply chain agreements;
• assisting clients with their consumer terms and conditions; and
• conducting due diligence exercises with respect to CPA-compliance and identifying potential risk areas.

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