Causal Liability (Kausalhaftung)
Causal liability is a liability regime in which liability arises independently of the tortfeasor's fault, based solely on the existence of a legally defined causal link between a cause and the loss.
Concept
Causal liability (Kausalhaftung) refers to a group of liability regimes in which liability does not depend on fault (intent or negligence) on the part of the tortfeasor, but solely on whether a causal link exists between a specific, legally defined cause (e.g. operating a hazardous facility, or the position of a building owner or animal keeper) and the loss incurred. It thus stands in contrast to fault-based liability, which requires a culpable breach of duty.
Variants
Within causal liability, a distinction is made according to the intensity of liability: simple causal liability leaves the liable party the possibility of proving an absence of fault or that due care was exercised (e.g. building owner liability), whereas mild causal liability allows an exculpatory defence through proof of due care. Strict (severe) causal liability, as applies in particular to the operation of especially hazardous facilities (strict liability for dangerous activities), by contrast allows virtually no exculpatory defence and establishes liability merely upon realisation of the typical operational risk.
Relevance for Liability Insurance
Causal liability significantly increases liability risk, as the injured party need not prove fault; accordingly, businesses and activities subject to strict causal liability (e.g. operators of nuclear facilities, pipelines, or motor vehicles) are regularly required to take out mandatory liability insurance with legally defined minimum sums insured.