Legal professional recommends caution regarding AI, data protection, and ecological assertions

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By Car Brand Experts


To successfully maneuver the evolving legal and ethical landscapes surrounding Artificial Intelligence (AI), data security, and environmental accountability, the automotive industry must remain alert.

Delivering his insights at the Motor Ombudsman and Radius Law Automotive Business & Law Conference in London on May 15, Iain Larkins, a director at Radius Law, emphasized the increasing prominence of liability questions in an environment that is becoming more automated.

He highlighted the significance of the Automated Vehicles draft legislation, released in November 2023 in response to recommendations from the Law Commission after an extensive four-year evaluation. The legislation predominantly addresses the management of personal data and the liability aspect.

Larkins underscored the complexity surrounding liability determination, pointing out new concepts like the Authorised Self-Driving Entity (ASD) and the User in Charge.

According to Larkins, the issue of liability is intricate, as it necessitates discerning responsibility, leading to the emergence of novel ideas such as the Authorised Self-Driving Entity (ASD) and the User in Charge.

“Parliament is currently grappling with this dilemma, engaging in extensive debates, given the intricate nature of determining when liability shifts from the vehicle to the driver. Factors such as the vehicle’s location, road layout, and internet connectivity in a specific area all influence the handover responsibility, signifying a lengthy road ahead in unraveling this Bill,” Larkins explained.

Transitioning to a broader perspective on AI, Larkins found the diverse approaches taken by the EU and the UK intriguing. The EU is proactively enforcing legislation in this domain to establish a unified legal framework for AI products and services, aiming to balance concerns encompassing privacy, bias, discrimination, safety, and security.

Regarding data security regulations, Larkins noted significant advancements both in the UK and the EU. For example, the EU Data Act targets governing the usage and access of data generated through interconnected devices, ensuring user access while imposing constraints on data charging. Compliance with these statutes is pivotal, given the substantial penalties for non-compliance.

Shedding light on overarching data issues, Larkins remarked on the persistent challenge for manufacturers concerning access to technical information for repairs.

Recent legal instances accentuate the criticality of robust data security protocols, with supervisory bodies holding data processors and controllers accountable. Rigorous vetting of data processing agreements and vigilant oversight have now become indispensable.

Furthermore, the ongoing dialogues and progressions surrounding data transfer agreements and employee monitoring accentuate the imperative for enterprises to stay well-informed and adhere to regulations.

In terms of environmental concerns, particularly within the automotive industry, Larkins highlighted the escalating focus on sustainability, prompting intensified scrutiny of the veracity of environmental assertions.

To avoid fines or legal repercussions, businesses must guarantee transparency and fairness in their online selling practices, as regulatory bodies such as the Competition and Markets Authority (CMA) are closely examining issues related to online sales procedures.







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