The law has been relatively slow to regulate artificial intelligence, but the rules are evolving. An important question is whether an AI company can be held liable for malfunctioning AI.
A company’s liability for its AI depends on whether a defect was present upon the AI release and whether, in the EU at least, the application is “high-risk.”
In 2019 the EU released Liability for Artificial Intelligence and other Emerging Technologies. The document explains that some applications of AI will warrant strict liability - such as in the case of persons operating “AI-driven robots in public places.” Manufacturers of products that incorporate emerging digital technology - including AI - should, as with other products, be “liable for damage caused by defects in their products[.]” The manufacturer can be liable “even if the defect was caused by changes made to the product [so long as it was still] under the producer’s control.”
AI liability road rules in the US and EU are developing. One thing is clear: under what circumstances a company will be liable for its AI depends on whether a defect was present upon the AI’s release and whether, in the EU at least, the application is “high-risk.”
This report examines the future of work after COVID-19. Based on in-depth conversations across the EMEA region, it identifies three trends:
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