IANAL, but I believe that in English law in order for any type of product liability to arise there has to exist a contract, and in order for a contract to exist there has to be a voluntary exchange of value (usually a payment, although a contract stipulating payment of a "peppercorn" signed by both parties is acceptable).
Free software - no contract - no liability?
Then there's the explicit disclaimer in the GPL license. Note license, not contract. If you do not accept the license you have no legal right to use the product. Can someone who steals a product really hold the victim liable for its deficiencies?
(Of course, there is still all the non-English law to worry about).
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