1. Current framework and changes 
    1. What are the key changes to Montenegro’s product liability laws following the updated EU directive, if applicable.
    2. Has any specific case law evolved?
    3. Are there any aspects of the directive that are subject to varied interpretations or pose particular legal challenges in Montenegro ?

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Montenegro
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Current framework and changes 

Montenegrin law encompasses two regimes for non-contractual liability for damage caused by defective products: (a) the general regime prescribed by the Law on Obligations and (b) the specific regime established by consumer protection laws. The specific rules on producer liability in the consumer context are modeled after the Directive on Liability for Defective Products 85/374/EEC. 

Only consumer regulations define a product as any movable item, whether separate or incorporated into another movable or immovable item, including energy produced or collected to provide light, heat, or movement. 

The general regime grants the right to compensation for damages directly from the manufacturer. For damages caused by imported goods with defects, the importer or the seller is liable if the importer is not identified on the product. 

In addition to the general regime, there is a specific liability regime governed by consumer protection laws, which are more detailed if the amount of damage exceeds 500 euros. The special consumer regime applies only if the manufacturer of the defective item qualifies as a trader, while the injured party can only be an individual. Under the special rules, compensation can be claimed only for property damage resulting from death, bodily injury, or the destruction or damage of property primarily used for personal use or consumption by the injured party or household members. The principle of full compensation for property damage does not apply when the manufacturer is liable under consumer protection rules; regarding the type of damage and the extent of liability, the general liability rules provide stronger protection to the injured party than the special regulations. If the injured party suffers any form of non-property damage, the general liability rules apply.

1. What are the key changes to Montenegro’s product liability laws following the updated EU directive, if applicable.

Montenegro is obligated to harmonize its legal rules on producer liability with the new European regulations. Although there are no indications that the legislator will commence work on harmonization soon, we expect that the harmonization will be implemented at the level of consumer legislation. This includes addressing damages from defective software or software components of a product, related digital services, defining who is considered the manufacturer of modified or (non)updated software or a physical item modified to extend its lifecycle (as required by the principles of the circular economy and environmental protection), or when the product is obtained directly from abroad (via an online platform), etc.

2. Has any specific case law evolved?

None so far.

N/A.