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January 6, 2021

COMMERCE Magazine: Liability Issues Associated with Automation, Robots and AI

With the growing implementation of artificial intelligence, automation and robots in the workplace, COMMERCE Magazine hosted a timely editorial roundtable asking legal and cybersecurity thought leaders to discuss the liability issues associated with the use of these technologies in a business environment.

In her submission, Michelle Schaap, founder of CSG's Privacy & Data Security practice, shares examples highlighting the potential risks of their use and offers practical tips for business leaders:

"Automated and connected technologies can be great resources to enhance workplace efficiencies and improve outcomes. However, with these solutions come risks and legal liability for businesses that don’t properly manage and secure these tools and the data they store. Consider the following real-world scenarios: You implement cloud-enabled wearable technologies for your construction workers. Their developer releases a patch resolving a software vulnerability allowing bad actors to capture, and potentially alter, the data collected – but, as a mid-sized business, you don’t have an IT department dedicated to deploying these updates. Your wearables are hacked and sensitive employee health information is compromised. You now have a reportable data breach and morale problem with the impacted personnel.

"You install tracking technologies into company delivery vehicles to track delivery status – and advertise these real-time capabilities online. However, this technology also records rates of speed. Rushed with a late delivery, your driver gets into an accident after running a red light and your business is sued. If the vehicle’s data is subpoenaed in litigation, there is now recorded evidence of reckless driving at the time of the accident.

"These are but two examples of potential liability and loss if technologies are not managed properly and personnel are not adequately trained. Be mindful of what you collect, how it is managed and secured, and do not retain data longer than needed."

To read the full article, please visit COMMERCE Magazine's website.

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