Jacob Bronsther (Michigan State U College Law) has posted “When the Cheapest Cost Avoider Is the Machine: Direct Sanctions for Autonomous AI” on SSRN. Here is the abstract:
The scholarship on artificial intelligence and legal liability assumes that the cheapest cost avoider is always a human being: a designer, deployer, or user. This Article identifies the conditions under which that premise fails. As an AI system’s behavior becomes less observable to its developer and more autonomous from human direction, the system may become the actor best positioned to foresee and forestall harmful outcomes. When such a system is also sensitive to the threat of legal penalties, the economic logic of AI-liability theory requires sanctions to reach the system itself. To the extent the system is judgment-proof, those sanctions must take nonmonetary form: limits on the computational resources it can use, the capabilities it can exercise, or its continued operation, calibrated to the severity of harm and the difficulty of detection. Human liability remains for the upstream risks humans could efficiently prevent; direct sanctions apply only to the residual conduct-level choices the system is best positioned to control.