Product & Civil Liability: Software Explicitly in Scope

(New Product Liability Directive)The revised Product Liability Directive formally brings software within the scope of EU product liability law, marking a profound shift in legal exposure for software providers. Software—including SaaS-like delivery models—is now treated as a product for liability purposes, expanding the range of claims and evidentiary expectations companies may face.Liability under the new framework is closely tied to evidence. Development decisions, update policies, security responses, and supplier dependencies must be documented and defensible. This places new emphasis on release management, incident handling, and cross-functional coordination between engineering, legal, and operations teams.While transposition timelines provide a window for preparation, litigation dynamics will evolve sooner. Claimants and courts will increasingly look to regulatory standards and internal documentation when assessing defectiveness or fault.Companies that integrate liability considerations into product governance—rather than treating them as a legal backstop—will be better positioned to manage risk without stifling innovation.