Source: HFW

HFW discusses legal liability in the context of decisions made by AI systems, particularly when errors occur that cause damage to individuals or organizations. The article considers how current legal systems—especially tort and contract law—might allocate responsibility for outcomes generated by autonomous or semi-autonomous AI tools. It emphasizes the complexity of assigning fault when AI acts independently or through non-transparent mechanisms.

HFW notes that the legal framework may hold developers, operators, or deploying entities liable, depending on the nature of the error and the contractual terms in place. The piece also explores the evolving standards of care expected from parties using AI and how courts may interpret negligence or foreseeability when human oversight is absent or insufficient. It concludes by advising organizations to review liability clauses, audit AI systems, and ensure transparency to reduce exposure to litigation.