Author name- Kirtika Sarangi, ICFAI LAW SCHOOL
The development of AI-driven cars, or self-driving cars, is one of the most exciting and disruptive innovations of our time. No doubt these cars have the potential to make driving safer, more efficient, convenient and revolutionary transportation. However, these technical evolutions raise numerous legal and . ethical questions, including liability for an AI-driven car if it . causes an accident or other legal and ethical breaches. .
India's . Motor Vehicle Act 1988 and . Consumer Protection Act 1986 cover legal liability for car incidents.
By the doctrinal study of the existing regulatory framework in India and a reform-oriented approach through the study of legal positions in the UK and Germany, both of which have notable developments in their legal systems to accommodate autonomous vehicles.
UK law holds autonomous car owners liable for accidents, but not the manufacturer. Germany makes manufacturers liable for accidents caused by self-driving systems and can recover up to €10 million in damages. India has no dedicated legislation for self-driving cars, and AI personhood remains a concern. Manufacturers need to establish fair culpability systems.
There needs to be more discussion in India about who is accountable for AI mistakes. The National Strategy for AI released in 2018 does not address AI liability. India may adopt the British or German model for liability. The Consumer Protection Act 2019 defines product liability as the responsibility of the manufacturer or seller. If AI is considered a product, the manufacturer is liable for damage caused. However, whether AI is a product or a service is still being determined.
Whether self-driving cars should be subject to 'no fault liability' is significant. Section 140 of the Motor Vehicle Act 1988 prescribes compensation for deaths and permanent damages. However, the Supreme Court has ruled that compensation cannot be imposed if there is no negligence on the part of the driver or owner. In the case of self-driving cars, the manufacturer may be liable for compensation due to their negligence. The United States v. Athlone Indus Inc. case held that legal liability could be imposed on manufacturers for faulty robotic systems. Proper legislation with clear liability demarcation is necessary in India, which has a high rate of road accidents. Allowing autonomous cars to operate without proper legislation would be catastrophic, given India's alarming statistics on road accidents.
Car makers like Volvo are taking responsibility for accidents caused by their autonomous vehicles. Safety standards for self-driving cars are still in the early stages, but some manufacturers, like Volvo, have pledged to pay for any injuries or damages.
Self-driving cars are still in progress, and determining liability in the event of an accident can be complicated. Manufacturers may be held responsible for defects, but the driver or owner may also be liable in certain situations. It is essential to establish liability for injuries in accidents involving self-driving cars.
Liability in self-driving car accidents can fall on the manufacturer, driver, third-party suppliers, repair shops, or road contractors. A thorough investigation is necessary to determine responsibility and seek compensation.
To address the issue of autonomous vehicles in India, it is essential to consider other relevant laws, such as the Information Technology Act and the Geospatial Information Regulation Bill. The IT Act should be updated to broaden the definition of hacking and require automobile makers to implement anti-hacking systems and safety features. The Geospatial Bill aims to regulate the acquisition and transmission of geospatial information and restricts ground checking/verification for certain entities. However, this bill is still in the negotiation stage. The Motor Vehicle and Consumer Protection Act may need to be amended to accommodate self-driving cars and impose liability on manufacturers for AI-related faults. This will encourage manufacturers to make their products error-free and provide more significant compensation to victims of accidents.

