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Product Liability
Product liability is the body of law that holds manufacturers, distributors, and sellers responsible when a product defect causes injury or loss to a user or third party. For AI governance, it matters because courts and regulators are beginning to ask whether AI systems, including software that makes decisions or generates content, count as "products" subject to these rules. Companies deploying AI should expect that flawed training data, inadequate warnings, or unsafe design choices could expose them to claims even without a contract with the harmed party.
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