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To Spur Growth in AI, We Need a New Approach to Legal Liability

Published:
July 13, 2021

Along with all of the discussion around AI risk, regulation, ethics, and responsibility, a new question has come into the limelight as of late. How will the US legal system engage with the new paradigm of that AI presents. This Harvard Business Review piece penned by researchers we featured in Issue 5 suggests that, if we want to enable innovation and adoption, our current system of liability and approach to adjudication will need a major overhaul. Insurers have an important role to play in encouraging strong governance practices, and creating a tribunal system to take the load off the courts and adjudicate complaints about lower impact, higher volume AI systems.

Another examination in Information Week explores AI risk from a number of angles. On the topic of liability, law expert and adjunct professor Cynthia Cole notes that product liability claims related to AI are "gaining traction in judicial and regulatory circles...I think that this notion of 'the machine did it' probably isn't going to fly eventually." AI fairness expert Liz O'Sullivan also wrote in TechCrunch, using the Apple Card debacle to explain the legal peril enterprises will face with biased systems.

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Risks & Liability