Dáil Éireann díospóireacht -
Tuesday, 20 Feb 1990

Vol. 395 No. 9

Written Answers. - Council of European Conventions.

John Bruton

Ceist:

157 Mr. J. Bruton asked the Minister for Industry and Commerce the reason Ireland has not yet signed the Council of Europe Convention on Product Liability; when the Convention was opened for signature; if he proposes to introduce legislation to ratify this Convention; the advantages of this Convention for Ireland and Europe; the countries which have ratified it; and if he will make a statement on any reservations Ireland has about the Convention from a cost or other point of view.

Minister for Industry and Commerce (Mr. O'Malley)

As the European Convention on Products Liability in regard to Personal Injury and Death has not been ratified by any member state of the Council of Europe, it has not yet come into force. The Convention provides that it shall only come into force when it has been ratified by three member states of the Council.

With regard to the question of Ireland's ratification, the position is that when the Convention was opened for signature on 27 January 1977 discussions had already begun on a draft EC Directive on liability for defective products. Because of this the question of Ireland's ratifying the Convention was left in abeyance.

The EC Directive on Liability for Defective Products was adopted in July 1985. I have already indicated, in reply to Question No. 8 on 15 February 1990 that I hope to be in a position to introduce in the current session legislation to give effect to the directive. This will introduce in Ireland a regime of strict liability which was also the objective of the Convention. In these circumstances, I do not now propose to pursue the question of ratification.

John Bruton

Ceist:

158 Mr. J. Bruton asked the Minister for Industry and Commerce the reason Ireland has not yet signed the Council of Europe Convention on the Establishment of Companies; when the Convention was opened for signature; if he proposes to introduce legislation to ratify this Convention; the advantages of this Convention for Ireland and Europe; the countries which have ratified it; and if he will make a statement on any reservations Ireland has about the Convention from a cost or other point of view.

Minister for Industry and Commerce (Mr. O'Malley)

The Council of Europe Convention on the Establishment of Companies is designed to provide common rules for the treatment to be accorded to companies and other bodies of each ratifying State in the territories of the other ratifying States.

Since the Convention was opened for signature in 1986, only Luxembourg has ratified it. The Convention has not entered into force because to do so requires the ratification of five countries.

While the adoption of a unified code for the treatment to be accorded to companies as proposed in the Convention might have certain advantages, a substantial revision of Irish law would clearly be involved. In a sense, the EC Programme aimed at harmonising the laws of member states governing the formation and operation of limited liability companies which also addresses this area supersedes the Convention, and we have concentrated our resources and negotiating and implementing the relevant EC Directives and Regulations.

In the circumstances, I do not propose to pursue the question of signing and ratifying the Convention.