Artificial Intelligence And The Law: Challenges Of Liability And Regulation In A Tech-Driven World

ABSTRACT

The rapid rise of Artificial Intelligence (AI) in key areas of our lives—like self-driving cars, predictive policing, healthcare diagnostics, and algorithmic governance—has sparked a serious reevaluation of legal systems around the globe. While AI brings incredible efficiencies and capabilities, it also poses significant challenges to established legal principles, particularly those related to liability, accountability, and regulatory oversight. Traditional legal frameworks, which were mainly built around human intent and control, seem increasingly out of touch with the decentralized, opaque, and ever-evolving nature of AI. This research paper takes a hard look at the shortcomings of our current legal structures in managing harm caused by AI and the uncertainty surrounding regulations. It highlights how fault-based liability systems struggle when it comes to autonomous technologies, especially when there are no human actors involved in the decisionmaking process. The paper also explores alternative legal strategies, such as product liability, strict liability, and the emerging concept of “electronic personhood.” It argues that while product liability can offer some solutions, it falls short for AI systems that learn and adapt after deployment, often in unpredictable ways