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The European Commission has publicized new liability
rules on digital products and artificial intelligence (AI) in order
to protect consumers from harm, including in cases where
cybersecurity vulnerabilities fail to be addressed. The two
proposals the Commission adopted on September 28th, 2022 will
modernize the existing rules on the strict liability of
manufacturers for defective products, from smart technology to
pharmaceuticals.
Additionally, the Commission proposes – for the first
time, it says – a targeted harmonization of national liability rules
for AI, making it easier for victims of AI-related damage to get
compensation. This will be adopted in line with the
Commission’s 2021 AI Act proposal. The liability rules allow
compensation for damages when products like robots, drones or
smart-home systems are made unsafe by software updates, AI or
digital services that are needed to operate the product, as well as
when manufacturers fail to address cybersecurity vulnerabilities.
Explaining how the new rules shift the focus in such
litigations, John Buyers, head of AI at Osborne Clarke, said
“there is a very intentional interplay between the AI Act and the
proposed new presumptions on liability, linking non-compliance
with the EU's planned regulatory regime with increased exposure
to damages actions. Instead of having to prove that the AI system
caused the harm suffered, claimants who can prove noncompliance with the Act (or certain other regulatory
requirements) will benefit from a presumption that their damages
case is proven. The focus will then shift to the defendant to show
that its system is not the cause of the harm suffered.”
However, one challenge Buyers points out is the need for
claimants to get hold of the defendant's regulatory compliance
documentation to inform their claims. In addition, Buyers said
that the AI Act is not expected to become law before late 2023,
with a period for compliance after that — which will likely be 2
years, but this is still being debated.
Internet: <www.infosecurity-magazine.com> (adapted).