introduction to the law of robots and ais - lecture 5

Introduction to the Law of Robots and Artificial IntelligencesIntroduction to the Law of Robots and Artificial IntelligencesIntroduction to the Law of Robots and Artificial IntelligencesIntroduction to the Law of Robots and Artificial Intelligences

Prof. Nicolas Petit ©Prof. Nicolas Petit ©Prof. Nicolas Petit ©Prof. Nicolas Petit ©

University of Liege, 2015University of Liege, 2015University of Liege, 2015University of Liege, 2015----2016201620162016

Lecture V: Liability Issues (Civil)

www.lcii.euwww.lcii.euwww.lcii.euwww.lcii.eu

Goals of the lecture

� Who should pay for robot generated harm?

� How is the issue dealt with under basic legal

structure?

� Should regulation be adopted?


� Friends Friends Friends Friends paypaypaypay youyouyouyou a a a a visitvisitvisitvisit

� Robot Robot Robot Robot killskillskillskills a a a a friend’sfriend’sfriend’sfriend’s catcatcatcat, , , , whichwhichwhichwhich

itititit confuses confuses confuses confuses withwithwithwith an an an an insectinsectinsectinsect

Hypothetical scenario

� You You You You have a have a have a have a gardengardengardengarden

� BuyBuyBuyBuy a a a a robot robot robot robot gardenergardenergardenergardener

� UnmannedUnmannedUnmannedUnmanned system system system system withwithwithwith veryveryveryvery

high high high high autonomyautonomyautonomyautonomy

� Can Can Can Can flyflyflyfly and and and and taketaketaketake photographsphotographsphotographsphotographs

of of of of youryouryouryour treestreestreestrees to to to to assessassessassessassess

maturation of maturation of maturation of maturation of fruitsfruitsfruitsfruits

� Robot has «Robot has «Robot has «Robot has « actuatorsactuatorsactuatorsactuators »»»»

� Turn irrigating devices « on »

� Prun the grass

� Kill mosquitos

� Carry and spill water,

pesticides and other

liquid/aerial products


Social goals of liability law

� Solution to Solution to Solution to Solution to bebebebe foundfoundfoundfound sosososo as to as to as to as to fulfillfulfillfulfillfulfill goals of goals of goals of goals of liabilityliabilityliabilityliability lawlawlawlaw

� Disputed

� G. Williams, « The Aims of the Law of Tort », 4 Current LegalProblems, 1951

� Corrective/protective

� Return those injured to the situation before injury

� Deterrence

� No gain from harmful conduct

� Encourage precaution


S. Lehman Wilzig, « Frankestein Unbound », 1981

� Product Product Product Product liabilityliabilityliabilityliability

� Robot is piece of hardware

� Liability on producer, plus possible limited liability on importers, wholesalers and retailers

� « Inherent risk »

� Dangerous Dangerous Dangerous Dangerous animalsanimalsanimalsanimals

� Liability on owner, unless « usually harmless species »

� SlaverySlaverySlaverySlavery

� Several regimes: master is liable v slave is liable

� Roman law: master only liable for civil claims, not criminal acts; and only if accomplice

� What punishment against the bot?

� DiminishedDiminishedDiminishedDiminished capacitycapacitycapacitycapacity: : : : independentindependentindependentindependent personspersonspersonspersons, but not , but not , but not , but not entirelyentirelyentirelyentirely intelligentintelligentintelligentintelligent

� ChildrenChildrenChildrenChildren: : : : fullyfullyfullyfully intelligent, but intelligent, but intelligent, but intelligent, but withwithwithwith lowlowlowlow moral moral moral moral responsibilityresponsibilityresponsibilityresponsibility

� AgentAgentAgentAgent

� PersonPersonPersonPerson


Landscaping of basic legal structure

� Default Default Default Default rulesrulesrulesrules (not exclusive)(not exclusive)(not exclusive)(not exclusive)

� Default liability regimes: articles 1382 to 1386 Civil Code

� Litigation in court

� AdditionalAdditionalAdditionalAdditional rulesrulesrulesrules (not exclusive)(not exclusive)(not exclusive)(not exclusive)

� Defective products liability

� Directive 85/374/EEC on liability for defective products was adopted in 1985;

� Loi du 25 février 1991, relative à la responsabilité du fait des produits défectueux

� Consumer rights

� Directive 2011/83/EC on Consumer Rights

� BE: Book VI CDE

� Latent defects

� Only for sales

� Duty of guidance

� Only for contracts


� LiabilityLiabilityLiabilityLiability of of of of

ownerownerownerowner////holderholderholderholder????

� LiabilityLiabilityLiabilityLiability of of of of perpetratorperpetratorperpetratorperpetrator????

� LiabilityLiabilityLiabilityLiability of of of of

manufacturer?manufacturer?manufacturer?manufacturer?

Framing the options

� WhoWhoWhoWho shouldshouldshouldshould paypaypaypay for robot for robot for robot for robot

generatedgeneratedgeneratedgenerated harmharmharmharm????

� ClassicClassicClassicClassic imputabilityimputabilityimputabilityimputability issueissueissueissue

� «««« Imputer c’est Imputer c’est Imputer c’est Imputer c’est reprocherreprocherreprocherreprocher », », », », FlourFlourFlourFlour et et et et

Aubert, 7Aubert, 7Aubert, 7Aubert, 7èmeèmeèmeème edededed....

Basic Legal Structure, Discrete Externalities


Default rules: liability law (BE)

LiabilityLiabilityLiabilityLiability of of of of

ownerownerownerowner////keeperkeeperkeeperkeeper/user (1)/user (1)/user (1)/user (1)

� Due to Due to Due to Due to actactactact of robot of robot of robot of robot consideredconsideredconsideredconsidered

as (i) a «as (i) a «as (i) a «as (i) a « thingthingthingthing » » » » underunderunderunder one’sone’sone’sone’s

keepingkeepingkeepingkeeping; (ii) or as an «; (ii) or as an «; (ii) or as an «; (ii) or as an « agentagentagentagent »»»»

� Article 1384 (and 1385 and Article 1384 (and 1385 and Article 1384 (and 1385 and Article 1384 (and 1385 and

1386) of the Civil Code1386) of the Civil Code1386) of the Civil Code1386) of the Civil Code

LiabilityLiabilityLiabilityLiability of of of of perpetratorperpetratorperpetratorperpetrator (2)(2)(2)(2)

� LiabilityLiabilityLiabilityLiability of robot of robot of robot of robot itselfitselfitselfitself

� Article 1382 and 1383 of the Article 1382 and 1383 of the Article 1382 and 1383 of the Article 1382 and 1383 of the

Civil CodeCivil CodeCivil CodeCivil Code


� WillingnessWillingnessWillingnessWillingness to to to to ensureensureensureensure effective effective effective effective protection protection protection protection of of of of victimsvictimsvictimsvictims, by , by , by , by providingprovidingprovidingprovidingsolventsolventsolventsolvent targettargettargettarget

� Damage Damage Damage Damage causedcausedcausedcaused by by by by «««« thingsthingsthingsthings » or » or » or » or «««« thirdthirdthirdthird partiespartiespartiesparties »»»»

� LiabilityLiabilityLiabilityLiability incurredincurredincurredincurred, , , , regardlessregardlessregardlessregardless of of of of anyanyanyanyfaultfaultfaultfault of «of «of «of « guardianguardianguardianguardian » or «» or «» or «» or « principalprincipalprincipalprincipal »»»»

� Ratio: control Ratio: control Ratio: control Ratio: control over «over «over «over « thingsthingsthingsthings » or » or » or » or «««« agentsagentsagentsagents » supposes power to » supposes power to » supposes power to » supposes power to avoidavoidavoidavoidharmharmharmharm

� NeedNeedNeedNeed illicitillicitillicitillicit conductconductconductconduct of of of of thirdthirdthirdthirdparty/vice party/vice party/vice party/vice of the of the of the of the thingthingthingthing underunderunderundercustodycustodycustodycustody

� Strict or Strict or Strict or Strict or veryveryveryvery strict strict strict strict liabilityliabilityliabilityliability systemsystemsystemsystem

� Additive Additive Additive Additive liabilityliabilityliabilityliability: : : : victimvictimvictimvictim cancancancan actactactactagainstagainstagainstagainst thirdthirdthirdthird party and party and party and party and principalprincipalprincipalprincipal

� Exhaustive Exhaustive Exhaustive Exhaustive listlistlistlist for for for for thirdthirdthirdthird parties parties parties parties liabilityliabilityliabilityliability

Liability of owner/keeper/user (1)

� Article 1384 Civil Code: «Article 1384 Civil Code: «Article 1384 Civil Code: «Article 1384 Civil Code: « On est On est On est On est responsable non seulement du dommage responsable non seulement du dommage responsable non seulement du dommage responsable non seulement du dommage que l'on cause par son propre fait, mais que l'on cause par son propre fait, mais que l'on cause par son propre fait, mais que l'on cause par son propre fait, mais encore de celui qui est causé par le fait des encore de celui qui est causé par le fait des encore de celui qui est causé par le fait des encore de celui qui est causé par le fait des personnes dont on doit répondre, ou des personnes dont on doit répondre, ou des personnes dont on doit répondre, ou des personnes dont on doit répondre, ou des choses que l'on a sous sa garde.choses que l'on a sous sa garde.choses que l'on a sous sa garde.choses que l'on a sous sa garde.

[Le père et la mère sont responsables du [Le père et la mère sont responsables du [Le père et la mère sont responsables du [Le père et la mère sont responsables du dommage causé par leurs enfants mineurs.] dommage causé par leurs enfants mineurs.] dommage causé par leurs enfants mineurs.] dommage causé par leurs enfants mineurs.] <L 06<L 06<L 06<L 06----07070707----1977, art. 1>1977, art. 1>1977, art. 1>1977, art. 1>

Les maîtres et les commettants, du Les maîtres et les commettants, du Les maîtres et les commettants, du Les maîtres et les commettants, du dommage causé par leurs domestiques et dommage causé par leurs domestiques et dommage causé par leurs domestiques et dommage causé par leurs domestiques et préposés dans les fonctions auxquelles ils préposés dans les fonctions auxquelles ils préposés dans les fonctions auxquelles ils préposés dans les fonctions auxquelles ils les ont employés.les ont employés.les ont employés.les ont employés.

Les instituteurs et les artisans, du Les instituteurs et les artisans, du Les instituteurs et les artisans, du Les instituteurs et les artisans, du dommage cause par leurs élèves et dommage cause par leurs élèves et dommage cause par leurs élèves et dommage cause par leurs élèves et apprentis pendant le temps qu'ils sont sous apprentis pendant le temps qu'ils sont sous apprentis pendant le temps qu'ils sont sous apprentis pendant le temps qu'ils sont sous leur surveillance.leur surveillance.leur surveillance.leur surveillance.

La responsabilité ciLa responsabilité ciLa responsabilité ciLa responsabilité ci----dessus a lieu, à moins dessus a lieu, à moins dessus a lieu, à moins dessus a lieu, à moins que les père et mère, instituteurs et artisans, que les père et mère, instituteurs et artisans, que les père et mère, instituteurs et artisans, que les père et mère, instituteurs et artisans, ne prouvent qu'ils n'ont pu empêcher le fait ne prouvent qu'ils n'ont pu empêcher le fait ne prouvent qu'ils n'ont pu empêcher le fait ne prouvent qu'ils n'ont pu empêcher le fait qui donne lieu à cette responsabilitéqui donne lieu à cette responsabilitéqui donne lieu à cette responsabilitéqui donne lieu à cette responsabilité »»»»


� SubordinationSubordinationSubordinationSubordination

� HYPO: robot gardener instructedto optimally protect flowers and trees; autonomous understandingthat mosquito killing includeskilling the neighbour’s cat whoeats the grass

� Bostrom’s smile dystopia

� On On On On the occasion of the occasion of the occasion of the occasion of itsitsitsits functionsfunctionsfunctionsfunctions

� HYPO: robot gardenerinstructed to keep the grassgreen; decides to preventvisitors from walking on the grass; throws toxic product at them

� Beyond or within its gardeningfunctions?

� Bostrom’s paperclip hypothesis

Master and principal (article 1384 § 3)

� 3 3 3 3 conditionsconditionsconditionsconditions

� Subordination;

� Fault;

� On the occasion of its functions

� (+ causality and harm)

� CannotCannotCannotCannot bebebebe rebuttedrebuttedrebuttedrebutted

� VeryVeryVeryVery strictstrictstrictstrict liabilityliabilityliabilityliability systemsystemsystemsystem


� Point of robots Point of robots Point of robots Point of robots isisisis to to to to avoidavoidavoidavoid to to to to

monitor and to monitor and to monitor and to monitor and to educateeducateeducateeducate

Father and mother (article 1384 § 2)

� 3 conditions3 conditions3 conditions3 conditions

� Father and mother

� Harm by minor

� Objectively illicit act

� (+ causality and harm)

� PresumptionPresumptionPresumptionPresumption of of of of faultfaultfaultfault in in in in educationeducationeducationeducation

and surveillanceand surveillanceand surveillanceand surveillance

� Can Can Can Can bebebebe rebuttedrebuttedrebuttedrebutted

� Proof of both proper surveillance

and education

� Strict Strict Strict Strict liabilityliabilityliabilityliability systemsystemsystemsystem

� IncentiveIncentiveIncentiveIncentive for for for for properproperproperproper educationeducationeducationeducation

and surveillance + protection of and surveillance + protection of and surveillance + protection of and surveillance + protection of

victimsvictimsvictimsvictims by provision of by provision of by provision of by provision of solventsolventsolventsolvent

targettargettargettarget


� HYPO: robot HYPO: robot HYPO: robot HYPO: robot gardenergardenergardenergardener isisisis not a not a not a not a

deepdeepdeepdeep learninglearninglearninglearning machine, but one machine, but one machine, but one machine, but one

thatthatthatthat needsneedsneedsneeds input and input and input and input and labelinglabelinglabelinglabeling

Teacher and craftsmen (article 1384 § 4)

� 3 conditions3 conditions3 conditions3 conditions

� Student or apprentice

� Objectively illicit act

� During surveillance time

� PresumptionPresumptionPresumptionPresumption of of of of faultfaultfaultfault in in in in

surveillancesurveillancesurveillancesurveillance

� Can Can Can Can bebebebe rebuttedrebuttedrebuttedrebutted

� Strict Strict Strict Strict liabilityliabilityliabilityliability systemsystemsystemsystem


� Social Social Social Social purposepurposepurposepurpose unclearunclearunclearunclear

� ProtectProtectProtectProtect victimsvictimsvictimsvictims by by by by providingprovidingprovidingproviding

a a a a solventsolventsolventsolvent targettargettargettarget

Liability for « things » under one’s control

� General General General General rulerulerulerule of of of of liabilityliabilityliabilityliability

� Things under one’s

control (article 1384 § 1

Civil Code)

� Owner or keeper of

animal (article 1385 Civil

Code)

� Owner of a building

(article 1386 Civil Code)


� LiabililityLiabililityLiabililityLiabilility of the «of the «of the «of the « holderholderholderholder »»»»

� The The The The holderholderholderholder

� has power of surveillance,

direction or control; and

� uses it for its own benefit

� Not Not Not Not necessarilynecessarilynecessarilynecessarily the the the the ownerownerownerowner

� HYPOHYPOHYPOHYPO

� You lend the drone to a

neighbor for his own garden?

� You lease it on a sharing

economy website?

� You carry a robotic prosthesis

which dysfunctions?

« Things »

� MovableMovableMovableMovable////unmovableunmovableunmovableunmovable; ; ; ; MannedMannedMannedManned////unmannedunmannedunmannedunmanned

� Cars, Cars, Cars, Cars, treestreestreestrees, planes, statues, lifts, planes, statues, lifts, planes, statues, lifts, planes, statues, lifts

� NeedNeedNeedNeed to to to to proveproveproveprove an an an an intrinsicintrinsicintrinsicintrinsic defectdefectdefectdefect (vice(vice(vice(vice): ): ): ): «««« abnormalabnormalabnormalabnormal featurefeaturefeaturefeature thatthatthatthat makesmakesmakesmakes itititit likelylikelylikelylikely to to to to cause cause cause cause injuryinjuryinjuryinjury in certain in certain in certain in certain circumstancescircumstancescircumstancescircumstances »»»»

� HYPOHYPOHYPOHYPO

� Drone overheats whilst transportingstraws in its basket, which catch fire=> // with Ccass, 5 June 1998, Pas 1998, I, p.692 v Pas 1971, I, p.391

� BurdenBurdenBurdenBurden of proof on of proof on of proof on of proof on claimantclaimantclaimantclaimant

� No No No No defensedefensedefensedefense basedbasedbasedbased on on on on factfactfactfact thatthatthatthat vice vice vice vice causedcausedcausedcausedthirdthirdthirdthird party party party party misconductmisconductmisconductmisconduct, force majeure or , force majeure or , force majeure or , force majeure or ignorance of ignorance of ignorance of ignorance of defectdefectdefectdefect

� Engineering defect does not exonerateholder liability

� But But But But defensedefensedefensedefense if damage if damage if damage if damage exclusivelyexclusivelyexclusivelyexclusively causedcausedcausedcausedby by by by thirdthirdthirdthird party/party/party/party/victimvictimvictimvictim misconductmisconductmisconductmisconduct or force or force or force or force majeuremajeuremajeuremajeure

� Third party spilled gas on straws;

� VeryVeryVeryVery strict strict strict strict liabilityliabilityliabilityliability systemsystemsystemsystem


Animals

� Article 1385 Civil CodeArticle 1385 Civil CodeArticle 1385 Civil CodeArticle 1385 Civil Code

� «««« Le Le Le Le propriétaire d'un animal, ou celui qui s'en sert, pendant qu'il est à son propriétaire d'un animal, ou celui qui s'en sert, pendant qu'il est à son propriétaire d'un animal, ou celui qui s'en sert, pendant qu'il est à son propriétaire d'un animal, ou celui qui s'en sert, pendant qu'il est à son usage, est responsable du dommage que l'animal a causé, soit que l'animal usage, est responsable du dommage que l'animal a causé, soit que l'animal usage, est responsable du dommage que l'animal a causé, soit que l'animal usage, est responsable du dommage que l'animal a causé, soit que l'animal fût sous sa garde, soit qu'il fût égaré ou fût sous sa garde, soit qu'il fût égaré ou fût sous sa garde, soit qu'il fût égaré ou fût sous sa garde, soit qu'il fût égaré ou échappééchappééchappééchappé ».».».».

� OwnerOwnerOwnerOwner or or or or keeperkeeperkeeperkeeper

� Animal Animal Animal Animal subjectsubjectsubjectsubject to appropriation, to appropriation, to appropriation, to appropriation, bebebebe itititit a a a a domesticateddomesticateddomesticateddomesticated animal or notanimal or notanimal or notanimal or not

� No vice No vice No vice No vice neededneededneededneeded

� Non Non Non Non rebuttablerebuttablerebuttablerebuttable presumptionpresumptionpresumptionpresumption

� But But But But possibilitypossibilitypossibilitypossibility to break to break to break to break causalitycausalitycausalitycausality linklinklinklink, if damage , if damage , if damage , if damage exclusivelyexclusivelyexclusivelyexclusively causedcausedcausedcaused by by by by

externalexternalexternalexternal eventeventeventevent: : : : thirdthirdthirdthird party or party or party or party or victimvictimvictimvictim misconductmisconductmisconductmisconduct

� HYPO: visitors trash used cans on grass; drone « senses » visitors as

pollution agents like mosquitos; drone spill toxic pesticides on visitors

� VeryVeryVeryVery strict strict strict strict liabilityliabilityliabilityliability systemsystemsystemsystem


Liability of perpetrator (2)� Articles Articles Articles Articles 1382 and 1382 and 1382 and 1382 and 1383 Civil Code1383 Civil Code1383 Civil Code1383 Civil Code

� FaultFaultFaultFault

� But But But But cancancancan youyouyouyou impute a impute a impute a impute a faultfaultfaultfault to a robot?to a robot?to a robot?to a robot?

� MorallyMorallyMorallyMorally????

� LegallyLegallyLegallyLegally????

� Precedent with corporations

� Precedent with impaired persons

� L. Solum, « Legal Personhood for Artificial Intelligences », North Carolina Law Review Vol. 70, 1992, p. 1231-1287: some inanimate object could be

subject of rights and duties: temples, ships (in rem)

� Shall trees have standing?


Fault-based liability (aka + or – negligence)

PrinciplesPrinciplesPrinciplesPrinciples

� Violation of a Violation of a Violation of a Violation of a legallegallegallegal dutydutydutyduty or of a or of a or of a or of a rulerulerulerule of good of good of good of good conductconductconductconduct (to (to (to (to bebebebeexpectedexpectedexpectedexpected fromfromfromfrom a a a a reasonablereasonablereasonablereasonablepersonpersonpersonperson

� ActoriActoriActoriActori incumbitincumbitincumbitincumbit probatioprobatioprobatioprobatio (+ (+ (+ (+ Article 1315 Article 1315 Article 1315 Article 1315 civil code + 870 civil code + 870 civil code + 870 civil code + 870 judicialjudicialjudicialjudicial codecodecodecode))))

� The concept of The concept of The concept of The concept of faultfaultfaultfault isisisis assessedassessedassessedassessed in in in in abstracto: «abstracto: «abstracto: «abstracto: « bonus pater familiasbonus pater familiasbonus pater familiasbonus pater familias »»»»

� «««« ExonerationExonerationExonerationExoneration causescausescausescauses » (» (» (» (faultfaultfaultfaultprongprongprongprong) or «) or «) or «) or « externalexternalexternalexternal causescausescausescauses » » » » ((((causalitycausalitycausalitycausality prongprongprongprong))))� Fault of the victim

� The cat trespassed; the touriststepped into an area marked as dangerous

PracticePracticePracticePractice

� More More More More demandingdemandingdemandingdemanding for for for for victimsvictimsvictimsvictims

thanthanthanthan liabilityliabilityliabilityliability on on on on

ownerownerownerowner////keeperkeeperkeeperkeeper/user/user/user/user


Conclusion

OwnerOwnerOwnerOwner////keeperkeeperkeeperkeeper/user /user /user /user

imputabilityimputabilityimputabilityimputability� VeryVeryVeryVery protective of protective of protective of protective of victimvictimvictimvictim

� Not Not Not Not necessarilynecessarilynecessarilynecessarily aptaptaptapt to to to to achieveachieveachieveachievedeterrencedeterrencedeterrencedeterrence purposepurposepurposepurpose of of of of liabilityliabilityliabilityliability lawlawlawlaw

� LittleLittleLittleLittle basedbasedbasedbased on control of robot or on control of robot or on control of robot or on control of robot or AIAIAIAI

� Limited Limited Limited Limited exonerationexonerationexonerationexoneration ((((causalitycausalitycausalitycausalityprongprongprongprong mostlymostlymostlymostly))))

� Perverse Perverse Perverse Perverse effectseffectseffectseffects on innovation on innovation on innovation on innovation incentivesincentivesincentivesincentives? => ? => ? => ? => killskillskillskills marketmarketmarketmarket for the for the for the for the purchasepurchasepurchasepurchase of robotsof robotsof robotsof robots

� Mitigated with insurance Mitigated with insurance Mitigated with insurance Mitigated with insurance requirements?requirements?requirements?requirements?� Policy of NeoTech Assurances

� OptionalOptionalOptionalOptional or or or or compulsorycompulsorycompulsorycompulsory

� MarketMarketMarketMarket sizesizesizesize----relatedrelatedrelatedrelated????� Robolaw: driverless cars

(optional?); robotic prostheses(mandatory?)

Robot Robot Robot Robot imputabilityimputabilityimputabilityimputability

� FaultFaultFaultFault----basedbasedbasedbased liabilityliabilityliabilityliability

� CouldCouldCouldCould achieveachieveachieveachieve deterrencedeterrencedeterrencedeterrence, for , for , for , for

robots and robots and robots and robots and AIsAIsAIsAIs cancancancan

� Make cost-benefit analyzis

� Be taught some legal and

moral principles: bonus pater

familias

� But not But not But not But not practicalpracticalpracticalpractical????

� Robots need registration and

to have property (capital

endowment)

� Swedish car insurance system


Additional rules: Product Liability Law

� Directive 85/374/EECDirective 85/374/EECDirective 85/374/EECDirective 85/374/EEC on on on on liabilityliabilityliabilityliability for for for for defectivedefectivedefectivedefective

productsproductsproductsproducts;;;;

� Loi du 25 février 1991, relative à la responsabilité du Loi du 25 février 1991, relative à la responsabilité du Loi du 25 février 1991, relative à la responsabilité du Loi du 25 février 1991, relative à la responsabilité du

fait des produits défectueuxfait des produits défectueuxfait des produits défectueuxfait des produits défectueux


Recitals of PLL Directive

� “liability without fault on the part of the producer is the sole means of adequately solving the problem, peculiar to our age of increasing technicality, of a fair apportionment of the risks inherent in modern technological production”

� “All producers involved in the production process” including “importers”

� If products “lack of the safety which the public at large is entitled to expect”, “excluding any misuse of the product not reasonable under the circumstances”

� Rebuttable if “exonerating circumstances” but no third party excuse except

victim’s “contributory negligence”

� “consumer requires compensation for death and personal injury as well as compensation for damage to property”

� “an injured party may have a claim for damages based on grounds of contractual liability or on grounds of non-contractual liability other than that provided for in this Directive”

� Defense based on “the state of scientific and technical knowledge” can be

prohibited by national law, but standstill for new legislation

� No ceiling on producer financial liability


Provisions of PLL Directive (1)

� Article 1: The Article 1: The Article 1: The Article 1: The producerproducerproducerproducer shallshallshallshall bebebebe liable (Article 1 BEL)liable (Article 1 BEL)liable (Article 1 BEL)liable (Article 1 BEL)

� Article 2: all Article 2: all Article 2: all Article 2: all movablesmovablesmovablesmovables

� Article 4: proof of damage, Article 4: proof of damage, Article 4: proof of damage, Article 4: proof of damage, defectdefectdefectdefect and causal and causal and causal and causal connectionconnectionconnectionconnection on on on on injuredinjuredinjuredinjured personpersonpersonperson(Article 7 BEL)(Article 7 BEL)(Article 7 BEL)(Article 7 BEL)

� Article 6: Article 6: Article 6: Article 6: defectdefectdefectdefect meansmeansmeansmeans thatthatthatthat productproductproductproduct ““““doesdoesdoesdoes not not not not provideprovideprovideprovide the the the the safety which a safety which a safety which a safety which a person is entitled to person is entitled to person is entitled to person is entitled to expectexpectexpectexpect” => amongst other things, “” => amongst other things, “” => amongst other things, “” => amongst other things, “use use use use to which it could to which it could to which it could to which it could reasonably be reasonably be reasonably be reasonably be expected that expected that expected that expected that the product would be the product would be the product would be the product would be putputputput” (Article 5 BEL)” (Article 5 BEL)” (Article 5 BEL)” (Article 5 BEL)

� HYPO revisedHYPO revisedHYPO revisedHYPO revised

� User uses User uses User uses User uses the drone to take group pictures of the drone to take group pictures of the drone to take group pictures of the drone to take group pictures of friends;friends;friends;friends;

� Drone explodesDrone explodesDrone explodesDrone explodes

� Injury Injury Injury Injury

� Not Not Not Not the initial purpose of the the initial purpose of the the initial purpose of the the initial purpose of the drone?drone?drone?drone?

� Very limited exoneration: did not put the product into circulation, mandatory Very limited exoneration: did not put the product into circulation, mandatory Very limited exoneration: did not put the product into circulation, mandatory Very limited exoneration: did not put the product into circulation, mandatory compliance with rule of law, scientific or technical state of the artcompliance with rule of law, scientific or technical state of the artcompliance with rule of law, scientific or technical state of the artcompliance with rule of law, scientific or technical state of the art

� Article 8(2): Producer liability can only be reduced if defect + fault of injured Article 8(2): Producer liability can only be reduced if defect + fault of injured Article 8(2): Producer liability can only be reduced if defect + fault of injured Article 8(2): Producer liability can only be reduced if defect + fault of injured victim or person for whom he is responsible (Article 10victim or person for whom he is responsible (Article 10victim or person for whom he is responsible (Article 10victim or person for whom he is responsible (Article 10§§§§2 BEL)2 BEL)2 BEL)2 BEL)


Provisions of PLL Directive (2)

� Article 9: Article 9: Article 9: Article 9: ““““damage damage damage damage caused by death or by personal caused by death or by personal caused by death or by personal caused by death or by personal injuriesinjuriesinjuriesinjuries” or “” or “” or “” or “to propertyto propertyto propertyto property””””

� HYPO revised: drone takes photographs of neighbor producer beating its HYPO revised: drone takes photographs of neighbor producer beating its HYPO revised: drone takes photographs of neighbor producer beating its HYPO revised: drone takes photographs of neighbor producer beating its

dog, and posts it on social dog, and posts it on social dog, and posts it on social dog, and posts it on social networksnetworksnetworksnetworks

� But Article 11But Article 11But Article 11But Article 11§§§§1 BEL: “1 BEL: “1 BEL: “1 BEL: “dommagesdommagesdommagesdommages" " " " causés aux personnes, causés aux personnes, causés aux personnes, causés aux personnes, ““““y y y y compris les compris les compris les compris les dommages dommages dommages dommages morauxmorauxmorauxmoraux””””

� Article 13: Article 13: Article 13: Article 13: ““““This This This This Directive shall not affect any rights which Directive shall not affect any rights which Directive shall not affect any rights which Directive shall not affect any rights which an injured an injured an injured an injured person person person person may have according to the rules of may have according to the rules of may have according to the rules of may have according to the rules of the law the law the law the law of contractual or nonof contractual or nonof contractual or nonof contractual or non----contractual contractual contractual contractual liability or liability or liability or liability or a a a a specialspecialspecialspecial liabilityliabilityliabilityliability systemsystemsystemsystem””””

� Article 16: possible ceiling for damages for death or personal injury, up to Article 16: possible ceiling for damages for death or personal injury, up to Article 16: possible ceiling for damages for death or personal injury, up to Article 16: possible ceiling for damages for death or personal injury, up to

€€€€70 millions70 millions70 millions70 millions

� Article 27: no possibility to exclude liability by contractArticle 27: no possibility to exclude liability by contractArticle 27: no possibility to exclude liability by contractArticle 27: no possibility to exclude liability by contract


HYPO revised

� Not a Not a Not a Not a privateprivateprivateprivate gardengardengardengarden, but a , but a , but a , but a vineyardvineyardvineyardvineyard

� PLL PLL PLL PLL onlyonlyonlyonly for for for for consumersconsumersconsumersconsumers

� Drone spreads Drone spreads Drone spreads Drone spreads toxictoxictoxictoxic pesticide on pesticide on pesticide on pesticide on visitorsvisitorsvisitorsvisitors takingtakingtakingtaking a tour in the a tour in the a tour in the a tour in the

vineyardvineyardvineyardvineyard

� Back in Article 1384 Civil Code area

� Drone Drone Drone Drone usedusedusedused to to to to spyspyspyspy on on on on neighbour’sneighbour’sneighbour’sneighbour’s techniquestechniquestechniquestechniques

� Other regimes, including unfair trading practices


Assessment into context

� Manufacturer Manufacturer Manufacturer Manufacturer liabilityliabilityliabilityliability

� LiabilityLiabilityLiabilityLiability withoutwithoutwithoutwithout faultfaultfaultfault

� VeryVeryVeryVery strict strict strict strict liabilityliabilityliabilityliability

� PrimaryPrimaryPrimaryPrimary goal goal goal goal isisisis correctivecorrectivecorrectivecorrective

� ComplementedComplementedComplementedComplemented by the General Product by the General Product by the General Product by the General Product SafetySafetySafetySafety Directive, Directive, Directive, Directive, whichwhichwhichwhich isisisis

more more more more preventivepreventivepreventivepreventive and and and and seeksseeksseeksseeks to to to to avoidavoidavoidavoid or or or or mitigatemitigatemitigatemitigate harmharmharmharm causedcausedcausedcaused by by by by

manufacturersmanufacturersmanufacturersmanufacturers in in in in theirtheirtheirtheir productsproductsproductsproducts

� General duty of information on normal or foreseeable risks

� General duty of warning

� ConcernConcernConcernConcern of of of of chillingchillingchillingchilling effecteffecteffecteffect on innovation if PLL on innovation if PLL on innovation if PLL on innovation if PLL isisisis extendedextendedextendedextended

accrossaccrossaccrossaccross manymanymanymany sectorssectorssectorssectors, as automation , as automation , as automation , as automation unravelsunravelsunravelsunravels


What the basic legal structure achieves

� MultiplicityMultiplicityMultiplicityMultiplicity of of of of potentialpotentialpotentialpotential regimesregimesregimesregimes are applicableare applicableare applicableare applicable

� No No No No legallegallegallegal desertdesertdesertdesert!!!!

� Most Most Most Most likelylikelylikelylikely to to to to taketaketaketake place place place place underunderunderunder Article 1384 Civil Code in Article 1384 Civil Code in Article 1384 Civil Code in Article 1384 Civil Code in

relation to relation to relation to relation to thingsthingsthingsthings and and and and underunderunderunder PLLPLLPLLPLL

� LessLessLessLess likelylikelylikelylikely to to to to occuroccuroccuroccur underunderunderunder Article 1382 and 1383 Civil CodeArticle 1382 and 1383 Civil CodeArticle 1382 and 1383 Civil CodeArticle 1382 and 1383 Civil Code

� BothBothBothBoth regimesregimesregimesregimes set set set set veryveryveryvery strict strict strict strict liabilityliabilityliabilityliability systemssystemssystemssystems

� For consumer goods, imputability on manufacturer

� For non consumer goods, imputability on owner/user

� LiabilityLiabilityLiabilityLiability bothbothbothboth on on on on supplysupplysupplysupply and and and and demanddemanddemanddemand sidesidesideside

Regulation? Systemic Externalities


The issue

� DoesDoesDoesDoes the basic the basic the basic the basic legallegallegallegal structure structure structure structure –––– existingexistingexistingexisting liabilityliabilityliabilityliability lawlawlawlaw –––– limitslimitslimitslimits the the the the

production of production of production of production of sociallysociallysociallysocially beneficialbeneficialbeneficialbeneficial technologytechnologytechnologytechnology? => ? => ? => ? => chillingchillingchillingchilling effecteffecteffecteffect

on innovation (1)on innovation (1)on innovation (1)on innovation (1)

� DoesDoesDoesDoes the basic the basic the basic the basic legallegallegallegal structure structure structure structure –––– existingexistingexistingexisting liabilityliabilityliabilityliability lawlawlawlaw –––– promotespromotespromotespromotes

the production of the production of the production of the production of unsafeunsafeunsafeunsafe technologytechnologytechnologytechnology? => ? => ? => ? => safetysafetysafetysafety measuresmeasuresmeasuresmeasures (2)(2)(2)(2)


1. Chilling effect on innovation

� Appeals to limit liability, as a way both to boost innovation in the robotic

industry, by reducing the fears of liability-related costs (Calo, 2011)

� Calls for robots electronic personhood (Leroux et al, 2012)

� Would be registered and hold an asset in order to compensate for

damages

� Would ensure the “bundling of all the legal responsibilities of the various parties (users, sellers, producers, etc…)”.

� “Sum of money would be raised from producers and users alike, and would be collected before the machine would be put into use”

� Strict liability of owner, with cap: owner benefits from introduction of

technology, and victim faces tough causality problem (Decker, 2014)


Ryan Calo, « Open Robotics », 2011� Distinction btw closed and open robots

� Closed robots are designed to perform a set task: // dishwasher

� Open robots invite third party contribution: multifunction, open to all

software, hardware modularity

� According to Calo, « open robots » are more « generative » in terms of

innovation

� But, “open robotics may expose robotics platform manufacturers and distributors to legal liability for accidents in a far wider set of scenarios than closed robotics”

� Roomba example: vacuums up and kills an animal

� Manufacturer liability if Roomba causes injury in its normal use

� If product misuse – attempt to use Roomba as pet locomotion device – no

manufacturer liability

� With open robots: no product misuse defense for the robot is not designed

to perform predetermined tasks


The problem

� Disincentive to investments in (open) robotics

markets

� “Early adopters of robotics are likely to be populations such as the elderly or disabled that need in-home assistance. Other early applications have involved helping autistic children. These populations would make understandably sympathetic plaintiffs in the event of litigation”

(http://cyberlaw.stanford.edu/blog/2009/11/robotic

s-law-liability-personal-robots)


Selective immunity

� Immunizing manufacturers of open robotic platforms from

damages lawsuits arising out of users’ implementation of

robots, at least temporarily;

� Precedent in aviation industry, crippled by litigation under PLL

=> General Aviation Revitalization Act (“GARA”) of 1994

� // immunity enjoyed by firearms manufacturers and website

operators

� Websites not liable for users’ postings (re. defamation, for

instance)

� Selective immunity: “presumption against suit unless the plaintiff can show the problem was clearly related to the platform’s design”


Insurance question

� OftenOftenOftenOften referredreferredreferredreferred to as to as to as to as liabilityliabilityliabilityliability ex anteex anteex anteex ante

� InsuranceInsuranceInsuranceInsurance isisisis likelylikelylikelylikely to to to to emergeemergeemergeemerge on large on large on large on large marketsmarketsmarketsmarkets: : : :

driverlessdriverlessdriverlessdriverless carscarscarscars

� Volvo and Google accept liability

http://www.roboticstrends.com/article/volvo_well_

accept_liability_in_self_driving_car_accidents

� InsuranceInsuranceInsuranceInsurance lesslesslessless likelylikelylikelylikely to to to to emergeemergeemergeemerge on on on on thinthinthinthin marketsmarketsmarketsmarkets: : : :

roboticroboticroboticrobotic prosthesesprosthesesprosthesesprostheses? => must ? => must ? => must ? => must bebebebe made made made made mandatorymandatorymandatorymandatory????


2. Safety measures

� PrivatePrivatePrivatePrivate orderingorderingorderingordering mechanismsmechanismsmechanismsmechanisms

� International Standardization organs (ISO, IEC)

� ISO/TS 15066:2016(en), Robots and robotic devices —

Collaborative robots

� EU organizations (CEN, CENELEC)

� ManyManyManyMany EU EU EU EU rulesrulesrulesrules on on on on machinerymachinerymachinerymachinery and and and and productproductproductproduct safetysafetysafetysafety

� Example: Directive 2006/42/EC of the European

Parliament and the Council of 17 May 2006 on

machinery

Should Someone else Pay?


Coase Theorem

� HYPO HYPO HYPO HYPO

� A uses robot gardener at night, when water and electricity cost less

� Neighbour B moves in, creates a boutique hotel

� With noise at night, B’s clients flee in droves

� Who should be liable for injury?

� Standard legal solution: A liable to compensateexternality

� But at the same time, it is B that creates harm if A isforbidden to use its robot gardener simply bc the former moved

� Coase argues that who is liable is to some extentirrelevant: as long as no transaction costs and propertyrights well defined, parties will bargain the efficient solution


� This This This This isisisis onlyonlyonlyonly possible absent transaction possible absent transaction possible absent transaction possible absent transaction costscostscostscosts, , , , ieieieie whenwhenwhenwhen itititit isisisis easyeasyeasyeasy to to to to negotiatenegotiatenegotiatenegotiate

� OftenOftenOftenOften not the case in the real worldnot the case in the real worldnot the case in the real worldnot the case in the real world

� A A A A isisisis a a a a cooperativecooperativecooperativecooperative of multiple of multiple of multiple of multiple ownersownersownersowners, , , , whowhowhowho are are are are nevernevernevernever presentpresentpresentpresent, for , for , for , for theirtheirtheirtheiragricultural exploitation agricultural exploitation agricultural exploitation agricultural exploitation isisisis fullyfullyfullyfullyautomatedautomatedautomatedautomated: : : : searchsearchsearchsearch costscostscostscosts and and and and negotiationnegotiationnegotiationnegotiationcostscostscostscosts

� B B B B wouldwouldwouldwould contemplatecontemplatecontemplatecontemplate installinginstallinginstallinginstalling double double double double glazingglazingglazingglazing:::: €€€€10,000 10,000 10,000 10,000 losslosslossloss

� Not the Not the Not the Not the cheapestcheapestcheapestcheapest costcostcostcost solutionsolutionsolutionsolution

� WhenWhenWhenWhen theretheretherethere are transaction are transaction are transaction are transaction costscostscostscosts, , , , lawlawlawlawshouldshouldshouldshould assignassignassignassign liabilityliabilityliabilityliability sosososo as to as to as to as to achieveachieveachieveachievethe the the the cheapestcheapestcheapestcheapest costcostcostcost solution solution solution solution thatthatthatthat wouldwouldwouldwouldhave been have been have been have been foundfoundfoundfound in in in in negotiationnegotiationnegotiationnegotiation

� A A A A isisisis liableliableliableliable

� NegativeNegativeNegativeNegative externalityexternalityexternalityexternality inflictedinflictedinflictedinflicted by by by by regulatoryregulatoryregulatoryregulatory system system system system shouldshouldshouldshould bebebebe as as as as littlelittlelittlelittleefficiencyefficiencyefficiencyefficiency harmfulharmfulharmfulharmful as as as as possiblepossiblepossiblepossible

Cheapest cost solution principle

� OptionsOptionsOptionsOptions

� A sends robot for mechanicalupdate so it makes less noise: 5,000€

� B installs double glazing: extra €15,000.00

� Solution Solution Solution Solution

� Efficient social solution is thatrobot gardener is retooled

� This happens regardless of liability assignement

� If town hall assigns B right to control noise, A will pay 5,000€to retool bot

� If town hall assigns A right to noise, B will pay to A 5,000€ to retool bot

� In both cases, the efficient solution is followed, regardlessof who is liable


Application to robotics

� Invites to Invites to Invites to Invites to researchresearchresearchresearch whatwhatwhatwhat isisisis the the the the cheapestcheapestcheapestcheapest costcostcostcost solutionsolutionsolutionsolution

� Not one Not one Not one Not one obviousobviousobviousobvious culpritculpritculpritculprit, , , , avoidavoidavoidavoid moral moral moral moral biasbiasbiasbias

� A, B or A, B or A, B or A, B or someonesomeonesomeonesomeone elseelseelseelse????


Liability on the creator/programmer?

� Robot manufacturer to encode Robot manufacturer to encode Robot manufacturer to encode Robot manufacturer to encode ex ante ex ante ex ante ex ante robot prohibition to robot prohibition to robot prohibition to robot prohibition to

operateoperateoperateoperate at night?at night?at night?at night?

� One line of code: 1One line of code: 1One line of code: 1One line of code: 1€€€€????

� If all the Bs of If all the Bs of If all the Bs of If all the Bs of thisthisthisthis world world world world couldcouldcouldcould negotiatenegotiatenegotiatenegotiate freelyfreelyfreelyfreely, , , , theytheytheythey wouldwouldwouldwould

contact all robot contact all robot contact all robot contact all robot gardenergardenergardenergardener producersproducersproducersproducers and and and and askaskaskask themthemthemthem to encode to encode to encode to encode

thisthisthisthis prohibitionprohibitionprohibitionprohibition

� Not possibleNot possibleNot possibleNot possible

� LegalLegalLegalLegal system to system to system to system to holdholdholdhold robot robot robot robot producersproducersproducersproducers liable if noise liable if noise liable if noise liable if noise harmharmharmharm at at at at

nightnightnightnight

� But bots But bots But bots But bots wouldwouldwouldwould bebebebe lesslesslessless valuablevaluablevaluablevaluable for for for for buyersbuyersbuyersbuyers, and , and , and , and pricepricepriceprice system system system system

wouldwouldwouldwould correct correct correct correct thisthisthisthis????


References

� R. R. R. R. CoaseCoaseCoaseCoase, , , , ““““The The The The ProblemProblemProblemProblem of Social of Social of Social of Social CostCostCostCost””””, 3 , 3 , 3 , 3 JJJJ. Law & . Law & . Law & . Law & Econ.Econ.Econ.Econ. [1960][1960][1960][1960]

� R. Coase, “The R. Coase, “The R. Coase, “The R. Coase, “The Federal Communications Federal Communications Federal Communications Federal Communications Commission”, Commission”, Commission”, Commission”, 2222 J. Law & J. Law & J. Law & J. Law & Econ. Econ. Econ. Econ. [[[[1959195919591959]]]]

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