Liability for AI Systems and Litigation
AI liability support: the revised Product Liability Directive (PLD 2024), the proposed AI Liability Directive, burden of proof, AI insurance and litigation management.
What we cover
AI product liability (PLD 2024)
Application of the new PLD 2024/2853 to software and AI as products, including updates and self-learning.
Contractual & tortious liability
Liability caps, burden of proof, presumptions for defective AI output.
Disclosure & evidence preservation
Duties to preserve logs, model artefacts and data for potential litigation.
AI insurance
Risk transfer strategy via AI, cyber and E&O policies with adapted coverage.
AI incident handling
Procedures for serious-incident reporting to the AI Office (EU AI Act) and affected customers.
AI litigation
Representation in algorithmic discrimination, hallucination and AI malpractice cases.
Applicable legal framework
- §Directive (EU) 2024/2853 — Product Liability Directive 2024 (revised)
- §Proposed Directive on AI Liability
- §EU AI Act Art. 73 — serious-incident reporting
- §Romanian Civil Code — contractual and tortious liability
- §Emerging CJEU and national case law on AI
How we work
- 1
AI system risk mapping
Analysis of failure scenarios, potential harms and legal exposure.
- 2
Defensive contracting
Liability caps, warranties, indemnities and realistic AI SLAs.
- 3
Evidence retention programme
Log retention, model versioning and audit-trail policies aligned with disclosure obligations.
- 4
Incident response plan
Response team, escalation, communication with authorities and users.
- 5
Litigation strategy
Representation in civil, administrative and supervisory matters.
Frequently asked questions
Are software and AI now 'products' under EU liability law?
Yes. PLD 2024/2853 (in force 9 Dec 2024, to be transposed by Dec 2026) defines software, including AI, as a product. Injured users can claim against the manufacturer directly for defects.
Who is liable if an AI hallucinates and causes harm?
It depends on the contract and the role (provider, deployer, integrator). PLD allows action against the manufacturer. The AI Liability Directive (proposed) would add presumptions easing the burden of proof.
Must I report AI incidents?
Yes. EU AI Act Art. 73 requires providers of high-risk systems to report serious incidents to the national supervisory authority within short deadlines (15, 10 or 2 days depending on category).
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